The Corona-crisis leads to the fact that real estate buyers can take loans. Who wants to buy a house or an apartment, you can secure the conditions close to record lows, to observe a credit intermediary.
the prospects are good. Even negative mortgage interest rates are expected to again back in the focus, believe. In this case, borrower does not have to pay a loan once all the way back.
Even fixed interest for 15 years is cheaper than one percent
“The uncertainty caused by the Coronavirus, has led to an all-time low in mortgage rates,” says Mirjam Mohr, Head of the Department for the private client business in Interhyp. The financial intermediary, according to the majority of the borrowers the loan with ten years fixed interest rate for approximately 0.6 percent annually, with a good credit rating there were 0.4 percent.
Interhyp compares the offerings of more than 400 banks. Measured on month-on-month had improved the conditions by a further 0.1 percentage points. Auto loan with a 15-year fixed interest rate, allow consumers to secure low interest rates for a long, would be offered at well below one percent.
The great financial sales Dr. Klein sees ten-year housing Loans in a number of regional banks from 0.31 percent, the Mortgage broker Hüttig & Rompf, a “realistic limit” of approximately 0.35 percent. At 15 years fixed interest rate, the terms and conditions, in the best case would be around 0.5 percent. “Until Further notice, will also be in the best of credit, a positive interest rate in real estate financing is commonplace,” says chief Ditmar Rompf. With the FOCUS Online loans comparison (display) Now follow-on funding
of investor charge-escape in state bonds charged interest rates
Since the stock markets are due to the Corona-collapsed-crisis, fled many investors in government bonds. They are considered to be comparatively safe. Yields on ten-year Federal bonds, to which mortgage rates Orient, were, therefore, in the meantime, to a record low of minus 0.80 per cent. In addition, Central banks like the us Fed reduced the key interest rate dramatically, what is the level of interest rates on the capital markets is suppressed as a whole.
The low interest rates for real estate loans are a relief for consumers, who can cope with the rapidly rising prices, especially in cities hardly. With the property boom, the volume of mortgage lending in Germany in 2019, is swollen. The new business grew to the peak of 263 billion euros, analyzed recently by the consulting company PwC. Many people invest their money in real estate, otherwise there will be no interest on the Saved.
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imposed, experts expect continued low interest rates
Even if the yields of German government bonds are climbing again something: The conditions for real estate loans are expected to remain good. “We go in the next few weeks, as well as on a one-year term of low interest rates for real estate loans,” says Mohr of Interhyp. Conceivable, a slight increase – for example, is, at best, when government bonds would no longer be in such high demand, because the German state had to spend on utilities a lot of money.
Come with the Corona-crisis, now even negative interest rates in real estate loans, as in the autumn has been speculated? Apart from some of the funding loan that was still not an issue, says Interhyp. Only in the case of some loans from the government development Bank KfW, there is the inclusion of the eradication of subsidies to negative interest rates. “Many banks have set a positive minimum interest,” says Mohr.
Take up real estate buyers, construction loans with a negative interest rate, you get a discount from the Bank: Instead of 200,000 euros, the amount of loan you would have to pay back, for example, only 199.000 euros.
Michael Neumann, Chairman of the Board of Dr. Klein, private customers, maintains negative interest rates, at least in the short term is unlikely. “The looming economic downturn can cost on the part of the banks to higher risk and the higher mortgage conditions lead.” Currently, rule maximum uncertainty on the capital market, which is expected to take weeks. He was expecting more of a “extremely attractive interest rates” for builders, buyers, and follow-up financing. “Given the current level of interest rates, I think it is inappropriate to speculate on even lower interest rates,” he advises consumers.
Some people cringe, but in the light of the Corona-crisis before the financial Venture to purchase real estate. “Since a few weeks a decline in customers is observed requests,” said Rompf. This was due to the uncertainty around the Virus pandemic.
Stefan Mitropoulos of the Landesbank Helaba believes, the hottest Phase in the real estate market could be over. All real estate cycles in Germany would have ended up in the past few decades, a recession, says the Economist. Apartment purchases are of the positive income expectations-dependent: “Who expects in these difficult economic times, not in debt with hundreds of thousands of euros.” The Focus-real estate, Atlas 2019
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