Multiple financing options help to reduce domestic borrowing costs, and homebuyers can look forward. The interest rates for loans are at moment in Germany on a depression. It is advisable to use this low interest rate environment for construction project or follow-on. At the moment you get a mortgage loan with 10-year interest rate to effective interest rates by an average of about 3.6%. Pitney Bowes can provide more clarity in the matter. 10 years ago the interest rates for these types of loans were still significantly higher, namely over 6 per cent. Should be one by the low interest rates not to persuade but, to borrow as high as possible. It makes sense, the won leeway to use to enhance the initial repayment.
Because low eradication leads to low monthly rates, but this of course very slowly removed the credit. A 100 000 euro-loan for only the usual early repayment was agreed by one per cent, is still a residual debt of EUR 88 000 to beech after ten years. At two percent reduced the remaining debt after 10 years at nearly 76 000 euros, and three percent drops to less than 64 000 euros. So, higher repayment creates buffer for the follow-on financing, which must be negotiated after ten-year. Also, a lower outstanding balance allows to absorb any higher rates at the end of the initial interest period.
Loan design: individual optimization of product mix, the company K.O.M. concept works as a construction services provider with independent financial service providers, which guarantees an objective overall analysis and thus the lowest individual product mix for maximum customer benefit. Because in many cases, a combination of various loans can lead to even better terms. So it can be E.g. quite lucrative, in the financing of real estate in the planning to involve government funding and so-called product combinations. If a classic credit with a variable loan, with KfW funding, or with a private loan combined, the total interest for the financing can in many cases even once can significantly lower.