Are you facing the challenge of financing a property and feeling overwhelmed by the countless options? Expert financing advice is your key to better terms and increased security. Discover how Auctoa can support you with data-driven, impartial assistance.
Chat with ImmoGPT for free now.
With access to Google, BORIS, and Deep Research.
The topic briefly and concisely
An independent financial advisory service can significantly reduce interest costs by comparing up to 450 banking partners.
The current mortgage interest rates (June 2025: approximately 3.35% for 10 years) require careful planning and consideration of personal creditworthiness.
Numerous documents (around 15-20) are necessary for successful financing, for which an advisor provides assistance in their compilation.
The purchase or financing of a property is one of the biggest financial decisions in life. Given fluctuating interest rates, which stand at an average of 3.35% for 10-year fixed rates in June 2025, and complex bank offers, sound advice is essential. Professional financing advice, such as that from Auctoa, helps you stay on top of things, save an average of 10-20% on interest costs, and develop the right strategy for your needs. This article outlines the benefits and processes of such advice.
Take advantage of independent financial advice
Why should you consider independent financial advice? An independent advisor does not act in the interest of a single bank. They can access offers from up to 450 banking partners.
This allows for a comprehensive market comparison. You often benefit from better terms, which can be up to 0.5% below standard offers. The advice is generally free for you.
An experienced advisor, often with over 10 years of industry knowledge, is familiar with the acceptance criteria of various banks. They assist you in compiling the approximately 15-20 required documents. This saves you time and helps you avoid common mistakes. Professional support is invaluable. The right advice often leads to a faster financing approval, sometimes within just 24 hours.
Understanding the current interest landscape and its implications
Interest rates for property financing are a crucial factor. In June 2025, the average mortgage interest rates for ten-year fixed rates are around 3.35%. A few years ago, these were still below 1%.
This change means additional monthly costs of several hundred euros for a loan of €300,000. The interest rate development is influenced by many factors, including the policies of the European Central Bank (ECB) and government bond yields.
Your personal creditworthiness and the amount of equity also play a significant role. Banks positively assess at least 20% equity. A good property financing takes these aspects into account. Forward planning can help you realise your dream property, even with higher interest rates.
The typical process of real estate financing advice
What is the process for Financing Advice with Auctoa? Initially, there is a non-binding initial consultation. Here, you will discuss your financial situation and goals.
Your adviser will analyse your income, expenses, and equity. Often, a budget framework of no more than five times the annual net income is recommended. Afterwards, the necessary documents are compiled. This includes proof of income for the last three months and land register extracts.
The adviser then compares various bank offers. They also examine government funding options, such as KfW loans, which can be up to €120,000. You will then receive tailored financing proposals. After making your decision, the adviser will support you up to and beyond the signing of the contract. The entire process can take between 2 and 6 weeks, depending on complexity. With the Auctoa Financing Calculator, you can explore initial scenarios.
Necessary documents for seamless financing
Careful preparation of the documents significantly speeds up the financing process. Banks meticulously assess your creditworthiness and the object to be financed. Missing documents can lead to delays of several days.
The most important personal documents include:
Copy of passport or ID card (front and back)
Proof of income for the last 3 months (for employees) or profit and loss accounts/tax assessments for the last 2-3 years (for the self-employed)
Proof of equity (e.g. bank statements)
Credit report (often obtained directly by your advisor)
If applicable, evidence of existing loans or maintenance obligations
For the property itself you will need, among other things:
Land registry extract (not older than 3 months)
Exposé and photos of the property
Construction plans/floor plans and living space calculation
Draft purchase contract
Energy performance certificate
A complete compilation of these up to 20 different documents is crucial. The importance of accurate documents cannot be overstated. Your Auctoa advisor will actively assist you with this step.
Optimising financing strategies for diverse needs
Not every type of financing suits every lifestyle plan. Do you need financing to purchase your first home? Are you planning refinancing for an existing loan with a fixed interest rate that expires in 1-2 years? Or as an investor, are you looking to invest in property and seeking the optimal sources of financing?
For owner-occupiers, long-term planning is often a priority. Here, long fixed interest rates of 10, 15, or even 20 years are popular. Investors, on the other hand, pay more attention to tax aspects and flexible repayment options. A special repayment option of 5% p.a. is often desirable here.
Professional Financing Counsel Auctoa develops a tailored strategy with you. This considers your individual situation and your objectives. Even complex cases, such as financing without equity, can be examined, although interest rate surcharges of 0.2-0.5% should be expected here.
Intelligently incorporate funding and grants
The government supports property acquisition and energy-efficient construction with various programmes. The Kreditanstalt für Wiederaufbau (KfW) offers low-interest loans and grants. For example, the programme "Home Ownership for Families" can include a loan amount of up to €240,000.
Federal states and municipalities also have their own funding programmes. These can reduce the financial burden by several thousand euros. An experienced financial advisor knows these opportunities and checks your eligibility.
The application for funding often has to be made before the start of the project. Early advice is therefore important. The integration of funding can reduce the monthly rate by €50-150. Find out about financing options when buying a house. This way, you can take advantage of all available benefits.
financial-advisory-auctoa
A long-term real estate financing also carries risks. Interest rate risks after the fixed interest period is an important point. Currently, interest rates for 10-year commitments are around 3.35%. Nobody can predict the interest rates exactly in 10 years.
Personal risks such as unemployment or illness can also jeopardize the ability to make payments. Payment protection insurance can be an option here, but it often costs an additional 5-10% of the loan amount. Careful planning includes a buffer for unforeseen expenses. Ideally, a monthly payment should not exceed 35-40% of net income.
Financial advisory Auctoa helps you identify these risks and develop appropriate security strategies. This also includes choosing the right level of repayment, often starting at 2-3% per annum. A solid foundation for bank confidence is crucial.
Auctoa: Your partner for data-driven financing decisions
What are the advantages of independent financial advice compared to my main bank?
An independent advisor like Auctoa compares offers from hundreds of banks, while your main bank primarily offers its own products. This often leads to better terms and a more tailored solution for your needs.
How current is the interest rate information used by Auctoa?
Auctoa accesses up-to-date interest rate data from its partner banks. However, interest rates can change rapidly, so timely advice and decision-making can often be advantageous. Currently (June 2025), 10-year interest rates are approximately 3.35%.
Which documents are particularly important for the self-employed?
In addition to standard documents, the self-employed usually need balance sheets or income and expenditure statements from the last 2-3 years, current business assessments (BWA), and the latest tax assessments.
Does Auctoa also assist in searching for funding?
Yes, a key part of financial advice at Auctoa is the examination and integration of potential government funding, such as KfW loans or regional grants.
What happens if my financial situation changes during the term?
Good financial advice also considers flexibility options like special repayments or the possibility of changing repayment rates. Discuss these options with your Auctoa advisor to be prepared for changes.
How does Auctoa’s AI-supported analysis help me?
Auctoa’s AI-supported analysis enables a quick and comprehensive comparison of financing options and assists in the assessment of your property. This leads to data-driven and optimized recommendations.
Additional useful links
The Bundesbank offers detailed statistics on interest rates for home loans to private households.
The Federal Statistical Office (Destatis) provides comprehensive information on construction price indices and the real estate price index.
The KfW informs about its funding programmes for existing properties, which support acquisition or renovation.
The Association of German Pfandbrief Banks (vdp) publishes the vdp Real Estate Price Index, which reflects price developments in the German real estate market.
The Bundesbank provides Excel data on mortgage interest rates, enabling a detailed analysis.
The Federal Statistical Office (Destatis) offers tables on house and land prices, providing important insights into market developments.
FAQ
What are the advantages of independent financial advice compared to my main bank?
An independent advisor like Auctoa compares offers from hundreds of banks, while your local bank primarily offers its own products. This often leads to better terms and a solution that is more tailored to your needs.
How up-to-date is the interest rate information used by Auctoa?
Auctoa accesses the latest interest rate data from its partner banks. However, interest rates can change quickly, so timely advice and decision-making is often advantageous. Currently (June 2025), 10-year interest rates are around 3.35%.
Which documents are particularly important for self-employed individuals?
Self-employed individuals usually require additional documents beyond the standard ones, such as balance sheets or profit and loss accounts from the past 2-3 years, current management accounts, and the latest tax assessments.
Does Auctoa also support the search for funding?
Yes, an important part of the financial advisory service at Auctoa is the assessment and integration of possible government subsidies, such as KfW loans or regional grants.
What happens if my financial situation changes during the term?
A good financing consultation also considers flexibility options such as special repayments or the possibility of changing repayment rates. Talk to your Auctoa advisor about these options to be prepared for changes.
How does AI-powered analysis by Auctoa help me?
The AI-powered analysis from Auctoa enables a quick and comprehensive comparison of financing options and supports the evaluation of your property. This results in data-driven and optimised recommendations.
