
Checklist: Real estate financing
It is best for property seekers to clarify their financing before starting their search. Otherwise, the dream of owning your own home can quickly come to an end. The following should be taken into account in preparation.
Important questions to ask before searching for a property
- How much property can I afford? Or how much can I pay for a property each month? Don't forget to factor in additional costs such as taxes, insurance, heating, and electricity.
- Should I build a house or buy an existing property?
- What financing options are available?
- How much equity do I need?
- Are there any government subsidies available?
- How do I determine my financing needs?
What documents do I need for the property?
- New construction
- Architect's contract or draft
- Current extract from the land register
- Cadastral map
- Land purchase agreement or draft
- Excerpt from the register of public easements
- Applicable development plan of the municipality/district
- Approved building application
- Building specifications
- Approved construction plans/construction drawings
- Gross floor area calculation
- Calculation of living and usable space
- Proof of building shell insurance
- Construction cost calculation (including documents on development costs and information on planned own contributions)
- Estimate of subsequent ancillary living costs
- Existing property
- Copy of the purchase agreement or draft
- Current extract from the land register
- Cadastral map
- Property listing
- If available: building plans and building specifications
- Calculation of living and usable space
- Excerpt from the list of public easements
- Valuation report, if applicable
- Cost plan for modernization measures (including cost estimates), if applicable
- Informative photos of the property
- Estimate of future ancillary living costs
- Copy of the building insurance
- Declaration of division (when purchasing a condominium)
What documents do banks want to see from me?
- Salary/wage statements for the last three months
- Proof of previous year's income
- Income statement for the previous year
- Income tax return
- Proof of own funds (e.g., bank statements)
- Signed annual financial statements/income statement for the last two years (for self-employed persons)
- Signed current business evaluation (for self-employed persons)
- Income tax assessment notices for the last two years (for self-employed persons)
- Schufa credit report
- Identity card
Are you unsure whether or how much property you can afford and where you can find something affordable? Contact us! We will be happy to advise and support you in your search and financing.
Notes
For reasons of better readability, the generic masculine form is used in this text. Female and other gender identities are expressly included insofar as this is necessary for the statement.
Legal notice: This article does not constitute tax or legal advice in individual cases. Please consult a lawyer and/or tax advisor to clarify the facts of your specific case.
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