Should I finalize construction financing now or wait, experiences?

Hello everyone,

we are currently planning a solid single-family house with about 173 sqm of living space with an architect and self-contracting on a 1,500 sqm plot that has already been purchased and is free of encumbrances. The design is finished and the building application has been submitted. Construction is to begin at the end of March or beginning of April.

House including incidental costs and outdoor facilities: €779,000
Equity: €105,000
Already paid: €336,000 (land and some incidental costs)
Own contributions €30,000

Loan: €628,000

Current offer:
2.95% nominal interest rate
20 years fixed interest period
1.75% repayment
approx. €2,460 installment
12 months interest-only period, then 2.4%
5.0% special repayment possible per year

Alternatively, there is also a 30-year fixed interest period for 3.12% nominal interest rate and 1.5% repayment.

We are wondering whether to accept the offer or wait until January or February.
What do you think about the interest rate development until then?

And then rather 20 or 30 years?

What do you think about the interest rate development until then?

It can go up or down. Feel free to close it now.

Close now and complete the [Hausanschlusskasten] topic before the holidays.

I also had 12 months of free provision.

But I had to partially pay companies in advance due to delays to avoid the provision interest.

There can always be some delays.

We also haven't had a harsh winter where nothing works for three months straight in a long time.

If only someone would ring the bells at the right time.

I would conclude, maybe start the provision from the planned start of construction and from then 12 months?

Of course, I don't know if they will agree to that. Asking doesn't cost anything.

Give it a try, after all, they are only human.

I would never agree to such a shady construction financing with such a low repayment rate. After 20 years, you will have only repaid 35% and with the 30-year one only 45%! Have you ever calculated how much interest you will pay? To me, it is unbelievable that banks offer something like this.

You have then only repaid 35% after 20 years and only 45% with the 30-year one!

Have you ever dealt with such loans? The repayment rates are initial repayment rates. With a constant installment, the installment repays a little more each time than the previous monthly payment. This is because the debt decreases with each payment.