What are typical local finance terms available to non-German purchasers?

Owner-occupied properties can be financed for up to 80% of their agreed value. This means 20% of the purchase price, plus incidental costs, are required as equity. Application rules for non-German EU citizens and non-EU citizens can vary.

Cash or securities for 20-40%, plus incidental costs, should be available for investment properties. The higher the financing volume and the attainable and sustainable capital income from the property, the lower the required equity component.

Banks may offer additional risk discounts in favour of experienced investors and project managers.

As a rule of thumb, the lower the default risk for the finance provider, the more favourable the terms it will offer.

GATE Berlin can offer financing opportunities by which properties in (select) foreign countries can be mortgaged as equity towards purchasing property in Germany. We can also work with non-German banks to create Forex based foreign exchange loans with minimised risk for buy-to-let financing arrangements for Berlin property purchases.

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