Alternatives to mortgage loan for mortgage lending
If you want to buy real estate or build a house as a private person, in most cases you cannot avoid building finance. Because amounts in the six-digit range can only be raised by very few consumers, so that a bank loan must be used to pay the purchase price or to finance the construction costs. In most cases, consumers opt for a so-called mortgage loan, i.e. a real estate loan from the bank. The mortgage loan is a bank loan that is granted to the borrower against the entry of a mortgage. Many consumers opt for a mortgage loan relatively quickly, although there are quite a few alternatives to this bank loan that can be very interesting. It does not necessarily have to be an alternative in the sense that the mortgage loan cannot be used at all.
A real estate financing
But it often makes sense that the construction finance does not consist exclusively of a mortgage loan, but that further financing options are integrated into the real estate financing. A home loan is a possible alternative that is often used to supplement the bank’s real estate loan. However, you have to know that this loan of course presupposes that you have previously paid into a home loan savings contract over a longer period of time. It is therefore not possible to take out the home loan spontaneously, as is the case with the bank’s building loan. What is particularly advantageous about the home loan is the very low interest rates. In addition, the home savings credit can of course be brought into the home financing as equity. In addition to the home savings contract, there are other alternatives that can also be integrated into home finance.
The promotional loan
The Lite Lender loan, which is awarded as a particularly cheap promotional loan, is definitely worth mentioning here. Owners who bought or built an energy-efficient house have particularly good chances of receiving this promotional loan. There are various funding programs from Lite Lender-Bank that can also be an attractive alternative for property owners. For some new owners of a property, the foreign currency loan is also an alternative. This loan can of course also be included as part of the mortgage. However, it must be noted that the foreign currency loan is certainly associated with certain risks. If the exchange rate of the foreign currency develops differently in the course of the loan phase than the borrower has hoped for, this can lead to considerable additional costs.