Yes, well, most people don’t have that much equity. It’s like with some insurances, there are also nice interest rates for partly 30 years but [Eigenkapital Quote 30%].
We pay €900 monthly. That results in a repayment rate of 2.6%. We want to be done in 20 years with the help of special repayments. Without special repayments and the same annuity, it will take about 33 years after the fixed interest period with unchanged interest rates.
If I were you, I would use less equity and start repaying at at least 2% from the beginning.
You mean I should take out a €400,000 loan and only add €300,000 in equity? And then make special repayments of €50,000 annually?
Normally, you cannot make that many special repayments, you should discuss it with the advisor. Usually, special repayments are only allowed up to X% of the total loan per year – which has been negotiated.