Germany Mortgage Calculator
Calculate German home loan payments (Baufinanzierung). Understand Zinsbindung, Tilgung, and annual nebenkosten (Grunderwerbsteuer, Notar, Makler).
Loan Details
Results
Monthly Payment
€2,035
Principal
€400,000
Total Interest
€210,445
Total Paid
€610,445
Baufinanzierung — the Zinsbindung model
German mortgages lock the rate for a fixed period (Zinsbindung), typically 10, 15, or 20 years. After that, you refinance (Anschlussfinanzierung) at whatever rate is then available. 2026 rates: 10-year fix 3.3-3.8%, 15-year 3.5-4.0%, 20-year 3.8-4.3%. KfW green-building subsidies shave 30-80bps if your energy certificate qualifies.
Tilgung — how fast do you pay down?
Tilgung is the principal-repayment %. Most Germans pick 2-3% initial Tilgung, which balloons as interest shrinks. Higher Tilgung (4-5%) shortens payback dramatically but raises monthly payments. Rule of thumb: target full payoff before retirement. Many loans allow annual Sondertilgung (lump-sum extra) up to 5-10% of original principal without penalty.
Nebenkosten — the hidden 10-12%
Closing costs on top of the purchase price: Grunderwerbsteuer 3.5-6.5% (Bayern 3.5%, NRW/Brandenburg 6.5%); Notar + Grundbuch 1.5-2%; Makler 3.57% (split 50/50 with seller by law since 2020). Banks only finance the price itself — budget the Nebenkosten separately as equity. A €500k house needs ~€50-60k cash beyond the loan.
How much house can you afford?
Banks require 20-30% equity and cap the monthly rate at 35-40% of net household income. 100%-Finanzierung (no equity down) exists but adds 0.4-0.8% to the rate and needs top-tier Schufa. Interhyp, Dr. Klein, Baufi24 compare 400+ banks — always shop around; margin differences of 0.3-0.5% between lenders translate to six-digit savings over a 30-year loan.
Frequently Asked Questions
Everything you need to know, in one place.
Current German mortgage rates?
2026 Zinsbindung rates: 10-year fix 3.3-3.8%, 15-year fix 3.5-4.0%, 20-year fix 3.8-4.3%. Green/KfW subsidised programmes (energy-efficient new builds, renovations) shave 30-80bps. ECB deposit rate sets the floor around 2.75%. Rate shopping is essential — brokers like Interhyp and Dr. Klein compare 400+ banks.
What is Tilgung?
Tilgung = principal repayment %. German mortgages are typically structured as an annuity: the initial Tilgung (commonly 2-3%) determines how fast you pay down. Higher Tilgung (4-5%) = shorter payback but bigger monthly rate. After the Zinsbindung expires (e.g. 10 years), you refinance (Anschlussfinanzierung) at whatever rate is available then.
What are the closing costs (Nebenkosten)?
Grunderwerbsteuer 3.5-6.5% (varies by Bundesland — Bayern 3.5%, NRW/Brandenburg 6.5%). Notar + Grundbuch 1.5-2%. Maklerprovision 3.57% each side (since 2020 split 50/50 by law). Total 10-12% on top of purchase price. Budget accordingly — only the price itself is financed; Nebenkosten usually need cash.
How much house can I afford?
Banks typically require 20-30% equity (price + Nebenkosten). Monthly rate should not exceed 35-40% of net household income. Some lenders offer 100% financing (no equity) but demand excellent credit and add 0.4-0.8% to rate. Your Schufa score matters — a clean file makes all the difference.
What is Sondertilgung and how do I use it?
Sondertilgung allows you to make extra principal repayments outside the normal annuity — typically 5%-10% of the original loan amount per year, agreed at signing (some banks charge 0.05-0.10% higher rate for this flexibility). Make these in December to maximise interest savings, or use year-end bonuses. After 10 years of fixed tenure, German law (§489 BGB) lets you repay the loan fully with 6 months' notice and no break fee — powerful for refinancing to lower rates.
Can I claim mortgage interest against tax?
Only for investment properties (rental/buy-to-let). Interest, property management, depreciation (AfA 2%/year for new, 2.5% for pre-1925, 3% for new 2023+ residential), repairs, and renovations are deductible against rental income in your Anlage V. For owner-occupied primary residences, interest is NOT deductible — a key difference from the US or Netherlands. Some cantons allow limited deductions through Wohnriester or Baukindergeld programmes (now wound down); plan accordingly.
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