Although renting has been prevalent in Germany for many decades, purchasing property has increased in recent years. We have previously outlined the process of purchasing a house in Germany, and our team supports people all over Germany in this matter.
There are different types of mortgages available in Germany, from annuity mortgages (“Annuitätendarlehen”) and full repayment mortgages (“Volltilgerdarlehen”) to interest-only mortgages (“endfälliges Darlehen“) and variable rate mortgages (“variables Darlehen”).
Mortgages of 100% of the property value are possible in Germany; it is more likely to apply for a mortgage of around 80% of the property value. Such mortgages can be paid back over a 25-30 year period. This time period can vary depending on the circumstances of the individual.
Although there should be no legal barriers preventing expats from getting mortgages in Germany, it can still be more difficult for them than for native Germans, as some banks and lenders may view them as riskier. However, this is where the benefits of working with our team of German mortgage lawyers is a bonus.
Our lawyers will advise you on what you can expect to receive based on your income and other circumstances. As experienced real estate attorneys, we will provide insight into your rights under German law. Contact our lawyers if there is reason to suspect that discrimination played a role in your mortgage application.
Furthermore, our team in collaboration with our landlord and tenant law specialists advise landlords across Germany on their rights regarding evictions, leases, business tenancies and defective premises.
There are also several government subsidies, allowances and loans available for the purchase of the property. Our German mortgage lawyers can oversee your application for such programmes. These subsidies are available under home ownership schemes, energy-saving building and renovation programmes and pension schemes. Allowing our team to examine the application can ensure that it fulfils the requirements, saving you time.