With the yield on the federal bond, building interest rates in Germany also fall. The ING, for example, is currently only asking 0.28 percent for five-year loans in some cities.
Mith the yield on the federal bond, building interest rates also fall in Germany. Until recently, most interest rate experts believed that mortgage loan interest rates in Germany could not go much further down, because the banks wanted to earn something from them. But they obviously miscalculated completely. Building interest rates continue to fall, one bank after the other is reporting interest rate cuts. From the big banks to savings banks, Sparda banks and PSD banks to insurers, there are new reports every day about falling interest rates for building loans. Commerzbank as a relatively large provider, for example, cut its interest rates again this week and is already charging less than 0.7 percent for ten-year building loans.
The interest rates advertised by the direct bank ING in Germany are even more unusual. Builders there should only pay 0.58 percent for a five-year building loan, according to the website. And then there are numerous discounts as part of special promotions, for example for certain regions in Germany or especially for the purchase of existing properties. According to the bank, if you push everything, you only get an interest rate of 0.28 percent for a loan of more than 200,000 euros over five years for an existing property in some cities – that has probably never happened before.