How To Buy Your Vacation Home In Germany
Willkommen zuhause:
Germany is known for providing endless entertainment: stunning scenery for hiking in nature, countless open-air music festivals, iconic opera and orchestra halls, electric city life, refreshing summer lake resorts, legendary Christmas markets, and an abundance of beer brewed under the Reinheitsgebot (otherwise known in English as the German Purity Law of 1516).
Perhaps you’re a city dweller in need of some creative time in Berlin? Or maybe you have your eye on a restful Bavarian chalet?
There’s something for everyone in Germany so its no surprise the country is increasingly becoming a popular spot to buy a holiday home — and not just for other Europeans. With Germany’s housing market offering four of the top 10 best cities in the world for property investment returns, it seems the world is enjoying a nice vaction while their money works hard invested in Deutschland.
Powerful Mortgage Calculators for Vacation Homes:
If you’re one of the many on the lookout for a home away from home, that’s also a solid investment opportunity, you can use this mortgage calculator to find out how much house you can afford, so you can manage your mortgage process with ease.
1. Mortgage Repayment Calculator:
This is LoanLink’s most powerful mortgage calculator. Find out how much your monthly home loan repayment will cost with this calculator. We’ve designed it to help you estimate your mortgage amount and your monthly repayment over the course of the home loan in Germany. We value transparency and want buyers to be in control of determining if the desired property is within your personal budget.
2. German Mortgage Rates Calculator:
Interest rates in Germany have decreased more than 4% since 2008 making now an ideal time to buy a property to take advantage of the current lower rates. Take a look at this historic chart we’ve prepared for you.
Securing the best rate depends on many things. Our German Mortgage Rates Calculator will help walk you through the factors that can impact the rate banks will offer you. Factors include:
- Down Payment — a higher down payment will typically result in a lower interest rate.
- SCHUFA score — a higher credit score will typically result in a lower interest rate.
- Borrowing Amount — a higher borrowing amount will typically result in a higher interest rate.
- Disposable Income — a higher household budget will typically result in a lower interest rate.
- Fixed Rate Period — a longer fixed interest rate period, for example 10 years vs. 5 years, will result in a higher interest rate.
3. Borrowing Power Calculator:
This is helps buyers see what their money can get them. The Borrowing Power Calculator itemizes factors that determine your maximum property loan size in Germany. By using this calculator you’ll be able to learn just how much you can borrow.
As an additional resource, we’ve also compiled Residency Status Fact Sheet to help easily illustrate how your status might impact a mortgage included with this calculator.
4. Calculator for Mortgage Fees in Germany:
Use this specially designed calculator to determine the cost of required home purchasing fees. In other words, this tool helps you determine the transaction costs for buying a property. In Germany, purchase fees are usually between 5–15% of the total property price. These fees include: real estate tax, notary fees and real estate agent tax. Similar to a downpayment, buyers are expected to cover purchase fees with equity (or a savings cash payment) instead of a bank loan.
Follow us on Medium, Twitter, Facebook and/or LinkedIn. And as always, if you have any questions about how to finance your home in Germany, give us a call for fast and friendly help in English. And finally, our full contact details are always listed on our website LoanLink.de.
