Terms of many loan programs
The state-owned Intrasavings Bank has recently worsened the terms of many loan programs or even cut off some financing models altogether.
Nevertheless, owners of the state promotional bank find more favorable conditions than on the free market. According to legal, Intrasavings bank therefore remains the best option for “homeowners who want to modernize or build in an energy-saving manner”.
As the terms of some programs have changed over the past few weeks and months, a short, updated overview of the terms and conditions and interest rates is provided below.
Intrasavings bank home ownership program
The Intrasavings bank residential property program is available to all builders and buyers. With the program, Intrasavings bank finances up to 30 percent of the total investment costs (up to 100,000 usd), including construction and ancillary purchase costs.
The term of the loans can be 5 to 35 years. The interest rate is optional for 5, 10 or 15 years. For maturities up to 20 years, borrowers are entitled to 3 and for maturities up to 35 years 5 redemption-free start-up years.
With a repayment term of up to 20 years and a 5-year fixed interest rate, the APR is currently 2.47 percent pa With 10 years fixed interest, borrowers must pay 3.14 per cent and 15 per cent fixed interest rate 3.49 per cent per annum (effective in each case) ,
With the Intrasavings bank Energy Efficient Refurbishment program, the Federal Bank subsidizes construction measures on existing properties that contribute to a reduction in primary energy demand and transmission heat loss. This may be, for example, the insulation of the roof or outside walls or the installation of a ventilation system or the replacement of windows.
Intrasavings bank finances the measures with up to 75,000 usd per housing unit. Depending on the energy efficiency standard achieved, borrowers not only benefit from subsidized interest rates, but also from a repayment subsidy. If the highest Intrasavings bank Efficiency House standard is achieved, the subsidy will be 12.5 percent of the loan amount.
Participation in the program is not only possible for owners who want to renovate their property. The loan can also be used when purchasing a building that has been renovated in accordance with the Intrasavings bank Efficiency House standard. Even tenants can use the loan in coordination with their landlord.
The term can be up to 30 years. There are a maximum of 5 redemption-free start-up years available. The effective annual interest rate with a term of 10 years and fixed interest rates until the end of the term is currently 2.32 percent pa
The Energy Efficient Buildings loan program is suitable for builders who are constructing a new building that at least meets the criteria of the Intrasavings bank Efficiency House 70. The purchase of new buildings that fulfill this criterion is also financed by the loan program.
The loans are repaid over a period of 10 to 30 years. The fixed interest rate can amount to a maximum of 10 years. Depending on the term, 1-5 redemption-free start-up years are available. The effective annual interest rate on loans with a ten-year term and fixed interest rates until full repayment is currently 2.88 percent pa
Modernize living space
The Intrasavings bank Housing Modernization program is very broad in terms of content and covers many construction measures that go beyond measures with a strictly energetic focus. For example, borrowers can finance the renewal of a floor or a change in the plan with the loan. Also measures on external plants are possible. Intrasavings bank provides up to 100,000 usd per housing unit, whereby 100 percent of the measures can be financed.
The term can be extended to up to 30 years. There are up to 5 redemption-free start-up years available. The interest can be fixed for a maximum of 10 years. The effective annual interest rate for a loan with a 10-year term and fixed interest until full repayment is 2.79 percent pa The effective interest rate includes a bonus amounting to 4 percent of the nominal loan amount. It can be co-financed if the credit line is not yet exhausted.
Intrasavings bank promotes the creation of barrier-free living space with the Loan Program age-appropriate rebuilding. For example, security systems are financed in sanitary facilities, stairways and ramps or exercise areas.
The actions supported by the program will be fully funded. Intrasavings bank offers a maximum of 50,000 usd per housing unit.
The repayment can be extended up to 30 years, with 1-5 redemption-free start-up years available depending on the term. The interest is fixed for 10 years. The annual percentage rate of interest on a loan with a term of 10 years and fixed interest until full repayment is currently 1.61 percent pa