Chris2806
2018-06-11 13:11:58
- #1
Hello everyone,
my girlfriend and I will soon fulfill our dream of owning a home. Now it’s about financing, and we have already obtained several offers and are now hesitating between the following options.
A brief overview of the conditions:
Income hers: approx. €2300 / age 29
Income his: approx. €2700 + 13th salary / age 34
Plot of land (value approx. €102,000) is already available
Cash assets: €30,000
No children yet, but there is a desire for them
Option 1: (Our favorite)
Commerzbank interest-only loan: 1.61% / 1.74%
Loan amount: €355,000
Fixed interest period 12 years
Monthly installment: €476.29
BHW home savings after allocation 2.35% / 2.52%
Savings contribution: €951
Saving phase: 12 years
Balance upon allocation: €133,811.72
Repayment phase: 15 years
Total duration: 27 years
Monthly total installment: €1427.29 // €1450
Option 2:
Alte Leipziger interest-only loan: 1.8% / 1.91%
Loan amount: €355,000
Fixed interest period 15 years
Monthly installment: €532.50
Alte Leipziger home savings after allocation 1.45% / 1.64%
Savings contribution: €902
Saving phase: 15 years
Balance upon allocation: €160,009.38
Repayment phase: 11 years
Total duration: 26 years
Monthly total installment: €1434.50 // €1518.11
Option 3: (also not bad because of flexibility?)
Pure annuity loan ERGO
Interest 2.31% / 2.35%
Monthly installment €1372.67
Loan amount: €355,000
Fixed interest period: 30 years (remaining debt after expiry = €0)
The borrower has the right to change the repayment rate twice during the fixed interest period between 1% and 4% p.a. without a separate processing fee being charged. Further changes to the repayment rate (within the aforementioned range) are possible against a flat fee of €100. In addition to regulation K 1 of the general loan conditions, a non-utilization fee will be waived if the unused loan amount does not exceed 10% of the contractually agreed total loan amount, maximum €20,000.
We had actually set a monthly installment of €1400 as a guideline and so far favor option 1. However, we find the flexibility of option 3 interesting.
What would you advise? And is the monthly installment possibly set way too high?
According to our calculations, it should actually be fine...
We would be very grateful for your constructive advice.
my girlfriend and I will soon fulfill our dream of owning a home. Now it’s about financing, and we have already obtained several offers and are now hesitating between the following options.
A brief overview of the conditions:
Income hers: approx. €2300 / age 29
Income his: approx. €2700 + 13th salary / age 34
Plot of land (value approx. €102,000) is already available
Cash assets: €30,000
No children yet, but there is a desire for them
Option 1: (Our favorite)
Commerzbank interest-only loan: 1.61% / 1.74%
Loan amount: €355,000
Fixed interest period 12 years
Monthly installment: €476.29
BHW home savings after allocation 2.35% / 2.52%
Savings contribution: €951
Saving phase: 12 years
Balance upon allocation: €133,811.72
Repayment phase: 15 years
Total duration: 27 years
Monthly total installment: €1427.29 // €1450
Option 2:
Alte Leipziger interest-only loan: 1.8% / 1.91%
Loan amount: €355,000
Fixed interest period 15 years
Monthly installment: €532.50
Alte Leipziger home savings after allocation 1.45% / 1.64%
Savings contribution: €902
Saving phase: 15 years
Balance upon allocation: €160,009.38
Repayment phase: 11 years
Total duration: 26 years
Monthly total installment: €1434.50 // €1518.11
Option 3: (also not bad because of flexibility?)
Pure annuity loan ERGO
Interest 2.31% / 2.35%
Monthly installment €1372.67
Loan amount: €355,000
Fixed interest period: 30 years (remaining debt after expiry = €0)
The borrower has the right to change the repayment rate twice during the fixed interest period between 1% and 4% p.a. without a separate processing fee being charged. Further changes to the repayment rate (within the aforementioned range) are possible against a flat fee of €100. In addition to regulation K 1 of the general loan conditions, a non-utilization fee will be waived if the unused loan amount does not exceed 10% of the contractually agreed total loan amount, maximum €20,000.
We had actually set a monthly installment of €1400 as a guideline and so far favor option 1. However, we find the flexibility of option 3 interesting.
What would you advise? And is the monthly installment possibly set way too high?
According to our calculations, it should actually be fine...
We would be very grateful for your constructive advice.