Germany mortgage rates: ING lowers construction loan interest

ING has reduced its interest rates for real estate loans for the second consecutive time, cutting rates by 8 basis points across all fixed-interest periods due to current money and capital market conditions.

As interest rate lock-in periods expire for many homeowners who secured financing during the low-interest era, concerns regarding Anschlussdarlehen (follow-up loans) are rising. While mortgage rates have increased from the 0.6 to 1.5 percent range seen between 2016 and 2022 to approximately 4 percent, experts note that banks are obligated to offer follow-up rates. Homeowners also maintain the right to seek new lenders with better conditions to mitigate increased monthly payments.