How do you actually do this with such nice profits in the securities account and the loan financing? It makes sense to finance a lot of the house amount so that you can let the deposit profits run or how do you do that in individual cases? (The bank sees the security)
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@Thommy98 Very good question! I also thought about it for a while and came to the decision to take as little equity as necessary.
The main risk is usually that you still have to pay the mortgage installment even though you're already retired.
However, with the current deposit assets and a further increase, I'm not too worried about that.
To put it bluntly, with 5 million in your portfolio, it won't make much difference if you still have to pay €2,500 per month at 65, especially after 30 years of inflation have had their effect.
If the follow-up financing is at 10% in 10 or 15 years after the fixed interest rate, you still have the option of taking a portion out of the deposit :)
The main risk is usually that you still have to pay the mortgage installment even though you're already retired.
However, with the current deposit assets and a further increase, I'm not too worried about that.
To put it bluntly, with 5 million in your portfolio, it won't make much difference if you still have to pay €2,500 per month at 65, especially after 30 years of inflation have had their effect.
If the follow-up financing is at 10% in 10 or 15 years after the fixed interest rate, you still have the option of taking a portion out of the deposit :)
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•@Mister_ultra How much equity did you take? 20% ?
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@Thommy98 not quite. It will probably be around 12-15%. Depending on how the bank plays along 😄
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•@Mister_ultra okey thanks. Yes, it would be great if they went along with it. But sure, if the cash flow is right for the rate... Why not :)
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