sonnenallee
2021-12-10 11:00:11
- #1
Hello!
We want to build a house in two to three years. We already have the plot of land in sight.
The situation is that we already own a property, want to sell the house, and thus bring in equity.
At the moment, there is a home loan of €100,000 / 35 years, with a fixed interest rate of 2.4% for 20 years, then variable.
The conditions don’t seem particularly good to us. Additionally, the husband is now earning more.
Our consideration is whether refinancing might make sense. It will also get interesting when the loan for building the house needs to be increased, perhaps requiring interim financing. Since both of us earn more overall than when we bought the first house, a shorter term and a variable interest rate might be cheaper!?
Is it then more advisable to go to banks soon and talk about refinancing and further steps before building the new house, or better to stay with the current bank and renegotiate with them when increasing the loan?
We want to build a house in two to three years. We already have the plot of land in sight.
The situation is that we already own a property, want to sell the house, and thus bring in equity.
At the moment, there is a home loan of €100,000 / 35 years, with a fixed interest rate of 2.4% for 20 years, then variable.
The conditions don’t seem particularly good to us. Additionally, the husband is now earning more.
Our consideration is whether refinancing might make sense. It will also get interesting when the loan for building the house needs to be increased, perhaps requiring interim financing. Since both of us earn more overall than when we bought the first house, a shorter term and a variable interest rate might be cheaper!?
Is it then more advisable to go to banks soon and talk about refinancing and further steps before building the new house, or better to stay with the current bank and renegotiate with them when increasing the loan?