Real estate credit: 10 tips for the ongoing financing – terminate or finance connection (Berlin, 14.05.2012) anyone who has completed a financing contract, is bound to these many years. The regular rates are to apply in a timely manner or it threatens serious financial problems. But it is not enough to put the contract in the drawer, and no longer the financing conditions to confront the next few decades. Under certain conditions, a quite large savings potential is if financing can be optimized, for example, by replacing with a more favourable loan or by continuing with a reasonable follow-up financing. Below are 10 tips that any borrower can verify its ongoing funding.
1 keep you the market in mind informing you from time to time about current real estate financing. Speak your bank even when you finance for many years there. Often a discount is granted, if they refer to special offers from competing banks and the current low interest rate environment. 2. not regularly check your monthly input / output balance only the amortization and interest rates lead to spending every month.
Often, cheaper insurance or repairs as so far can be found through comparisons. You can set aside more equity capital and if necessary a special repayment increase your repayment performance, which ultimately leads to faster pursuit. 3. lease currently on low: When should a debt restructuring? This currently in the interest rates for real estate financing at very low levels. A restructuring of the current loan on another credit institution is tantamount to dismissal, for which many institutions charge a compensation (especially within a binding period of borrowing). Refinancing is worthwhile only if the interest savings of the new financing is so high, that compensation as well as the resulting additional costs more than be offset (such as processing fees or notary and land costs).