Strongly fluctuating interest rates make real estate financing difficult

construction of the home

According to FMH-Finanzberatung, building money with a ten-year fixed interest rate is currently available for 3.41 percent interest.

(Photo: imago images/Westend61)

Munich From Michael Neumann’s point of view, the past few weeks have been extremely restless. “After the interest rates for mortgage lending had risen rapidly within a few weeks, they fell again at a similar speed in the course of the banking crisis,” says the head of the mortgage broker Dr. Small.

According to the FMH-Finanzberatung database, building money with a ten-year fixed interest rate is currently available for 3.41 percent interest. Six weeks ago, such a loan cost just over four percent. However, according to Neumann, this trend could quickly be reversed.

“We are currently seeing a kind of ‘calm after the storm’ – but it probably won’t last for very long,” he warns. “We expect interest rates to continue to fluctuate strongly over the course of this year. Short-term swings above the four percent mark are possible,” says Jörg Utecht, CEO of the financing broker Interhyp.

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