Wibank Hessen Loan Application Documents and Experiences

I could use some help with the application. How should one provide the following proof in the case of an acquisition of existing property (BJ 2017)?

Property value through purchase contract / proof of market value.

As a rule, I don’t sign the purchase contract until the financing from the WI Bank is secured, or have you handled it differently?

Regards

As a rule, a preliminary purchase agreement is made in which the planned purchase price and further assumptions are agreed upon. This is usually sufficient for the WiBank. You are not allowed to sign a purchase contract until after the funding application has been submitted anyway.

Ok, thanks

one more question about the application: if I enter equity of €105,000 at the top, it says 20% own contribution there.

Are the incidental purchase costs included in the total amount here?

I thought the 10% own contribution in this case meant 10% of the purchase price?

Furthermore, point 7 is not clear to me if I enter the first ranking of the other bank (as well as the conditions) at point 6 and then enter the equity at point 7; at the end, the total financing amount is €500,000

The equity contribution is calculated on the total amount (purchase price + additional costs). Your amount that you can apply for also depends on the total amount.

7.1 External funds to be secured in the land register
7.1.1 Bank 200,000 €
7.1.2 Wibank 200,000 €

7.3 Equity contribution
7.3.2 Credit balance 102,000 € (20% equity contribution) Values are of course fictitious

If something is missing from the total amount, then you have to check the values. If 2,000 euros are missing, you have to borrow more from Bank 1 or provide more equity capital.

OK thanks, so I understood it correctly after all, only point 7.4 confused me because it says the total amount of financing is €502,000 there.

Shouldn't I enter the interest rate 0.6 for the 2nd bank (WI Bank)?

yes, you have to enter your conditions / values, how they look I cannot tell you.