Can I buy something with no money

Buying a house without equity - 7 questions & answers

1. What does buying a house without equity mean?

When financing a property, the buyer usually brings his own savings with him, the so-called equity. So far the golden rule has been: "At least 20% equity must be brought in to get a good interest rate". Nowadays, many credit institutions expect at least the ancillary purchase costs, i.e. real estate transfer tax, notary fees and brokerage fees, to be financed by the buyer himself, but also a property purchase with the buyer all costs financed through a loan is possible.

If the buyer only finances the pure purchase price and pays the ancillary costs himself, he can expect the usual interest when buying a house. The more equity the customers raise, the cheaper the building interest usually becomes. When buying a home without equity Interest and therefore the total costs are higher than when buying a property with equity. Nevertheless, this form of financing is often more recommendable than rent.

Use our interest and repayment calculator here to determine online which monthly loan installment you would have with which loan amount. The calculator also calculates how the remaining debt would develop over the term until the loan is repaid.

When entering the loan amount, also consider the incidental purchase costs, if you have would like to co-finance this.