Volltilger loans in comparison: Financial test finds cheapest loans



 The conditions for real estate loans have been favorable for months. However, no one can predict how long the low-interest phase will last. Therefore, home builders and home buyers should secure the top rates for the entire repayment period. Such Volltiger loans already exist for less than 2 percent interest, as a new comparison of the financial test shows. 

Home builders and homebuyers who finance their home loans are still benefiting from the low interest rate environment. So they often get their loan for less than two percent interest a year. But experts expect interest rates to rise again over the next few years. Then many builders can not extend their once low-interest credit probably no longer on the same terms .

However, there are loans that guarantee a fixed interest rate until the loan has been fully repaid and no follow-up financing is necessary. Meanwhile, more and more banks and building societies offer these so-called Volltilger loans, according to Stiftung Warentest. In the current financial test, the experts have therefore taken a total of 67 offers in Volltilger loan comparison under the microscope.

Volltilger loans in comparison: Fixed rates are safer, but more expensive

Real estate lenders attach importance to constant interest rates until they are debt-free, this often has its price. For a loan that guarantees a fixed interest rate for 20 or even 25 years, you pay about 0.5 percent more interest than a loan with a shorter fixed interest rate. Nevertheless, long-term loans are still available for less than two percent , the Volltilger loan 2017 comparison shows by Finanztest.

As a model case, a loan totaling 200,000 euros was assumed for the purchase of a property worth 250,000 euros. In doing so, Stiftung Warentest examined loans with a term of 20 and 25 years and included a total of 56 regional and national providers with or without a nationwide branch network.

Cheapest Volltilger loans compared to national banks

Image result for CHEAPESTFor a Volltilger loan with a 20-year term, the cheapest offers are at a rate of 1.57 percent, granted by a total of twelve supraregional banks. This convince both providers with nationwide branch network as well as without. For all these low-cost loans, a monthly installment of € 970 will be due , with no option of special repayment or rate reduction.

The five cheapest supraregional providers with nationwide branches:

  • Commerzbank
  • Dr. Small
  • HypoVereinsbank
  • Interhyp
  • Targobank

Stiftung Warentest points out that in the Volltilger comparison in 2017, different banks score points. However, the top offer for some is based on the same product that was originally launched by Commerzbank and is now also distributed through other banks.

Tip: Even though a Volltilger loan is popular with many homebuilders due to its fixed interest rates, there are other options for financing your own home. A free and non-binding offer helps builders pin down the key points so they can find the right path for themselves.

At 25 years Sparda Nuremberg scores with Volltilger loans

While the Volltilger loans of regional banks with a 20-year term are not among the cheapest options, the cheapest loan with a duration of 25 years comes from the regional Sparda Nürnberg . There, builders have to pay back at an effective interest rate of 1.86 percent per month 828 euros. The lowest interest rate (1.95 percent) in the supraregional banks is provided by the Baugeld specialists, which have a nationwide branch network and allow for a reduction in rates as well as a special repayment of up to 20 percent of the loan amount each year.