Due to low interest rates, a refinancing of existing mortgages can very worthwhile. The topic of restructuring mortgages was long not as current as in the past two years, because interest rates have been so low since the end of the second world war. Some building owner, is liable for in times of high interest rates, would like to prematurely return the existing loans and take out a loan to current conditions, but the existing credit agreements often do not allow this option. However, should all borrowers try whenever possible to already secure for themselves the very favourable conditions. This is useful before interest binding end by the conclusion of a forward loan up to three years. Also the possibility of prematurely concluding a follow-up financing against payment of interest of the deployment is at rest lock-in periods of up to two years. An action restructuring mortgages for those whose financing the interest rate either already expired is clearly more attractive, because low-cost, or promptly ends.
You can benefit from the current historically low interest rate offers of the banks. Basically, it’s sure easier to apply for the follow-on financing, which has taken over the initial financing by the Bank. But if the new offer of the Bank differs substantially from the activities of other institutions, it may be worth despite the then costs for a new object value determination as well as the related to the then necessary transfer of the mortgage to the new Bank, to see the term refinancing mortgages not only as taking a new loan to replace existing debt, but to extend it to a new financial institution. All client, for which the theme of restructuring mortgages is up-to-date, should keep in mind two things: the loans are currently so low that a further reduction of in interest rates is hardly realistic. Therefore, you should choose a maximum interest rate within the framework of a restructuring. On the other hand, low interest rates with an initial repayment of only one mean Percent per year a loan period of approximately forty years. in the election of the new conditions, an initial repayment should thus be selected by at least two percent.