Financing your Berlin Property

Germany is the second largest mortgage market in Europe and obtaining financing for your property is based on the same criteria as in most countries – affordability and security.

DANZIGER & WEIBEZAHL has on excess of 20 years of arranging finance for foreign investors. Our relationships with the banks eases the process as we guide you through the best rates and deals.

Foreigners can arrange finance for their Berlin property purchase but should not expect to finance more than 60% of the purchase price. Following the credit crunch of the last 12 months a more likely loan to value of 30 – 40% is achievable.

Finance can and should be approved before any formal offer is made to ensure availability of funds.

Low Interest Rates

Investors can benefit from historically low interest rates. Whilst interest rates are decided on each individual application, expect to pay between 4.9% and 6%.

(source http://www.windsurf-schmidt.de/hypzins1.htm)

Historically the graph shows that interest rates have not risen above 10% since 1981-1982 and further more since 1997 not above 7%.

Fixed Rates

For investors seeking the security of a known outgoing, it is common place in Germany to be able to fix mortgages for long terms or indeed the whole period of the loan (usually 10 or 20 years).

Useful links

• See examples of mortgage repayment costs
• Find out what is needed for mortgage
• If you are looking to purchase Berlin property as an investment enter here to view our portfolio.
• Read about our Berlin investment property services here
• Discover the top ten reasons for purchasing Berlin property

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