The market for mortgage lending in Germany is characterized by a large number of suppliers and low growth. Banks and credit intermediaries are thus showing themselves to be innovative in the battle for new customers. With the reservation mortgage, buyers have a new instrument at their disposal, which makes it much easier to acquire their own four walls.
The principle: The buyer concludes a loan agreement with the bank of his / her trust, without which there is an object to be financed and the loan is actually paid out. Rather, it will secure the Bank’s commitment to a financing partnership without incurring costs. Only information about the type of property in terms of construction and its approximate location must be provided. Afterwards, the prospective homeowner can go without pressure on the search for an object that meets the personal needs. The advantage: the interest rates in the loan agreement are fixed and independent of the development of the general interest rate for an average of six months.
The knowledge of the bank’s binding commitment significantly increases the flexibility of the buyer: With a strong financing partner in the back, a property can be chosen wisely; Premature decisions in the face of possibly rising market interest rates can thus be avoided. The position also improves with regard to providers: the loan commitment, which many competitors can not provide for a desired property, improves the chances of winning the bid for a transaction. Negotiations with sellers and brokers can, in the best case, even achieve a lower price for the object of desire.
The reservation mortgage is a novelty in the market for mortgage lending: Until now, borrowers had to present a concrete object for the loan application, which is to be financed. Accordingly, the walk to the bank followed the inspection and appraisal of the property, making the search for suitable real estate more difficult.
Reservation mortgages are currently offered by the Junmo Hunfer and by the mortgage lender Bude. Consumers can not go wrong with the design: If, contrary to expectations, no suitable object can be found, there is no obligation to actually accept the loan.