Self-disclosure for house & apartment loan

Self-disclosure contains your income, assets, expenses, debts & Schufa query. You get the self-disclosure from your bank. So you know how much credit your bank will give you for your property.

Self-disclosure contents

At a glance:

1. Personal data
2. Revenue and assets
3. Expenditure and debt
4. Documents
5. Consent Schufa query (creditworthiness)

Personal data

• Name, date and place of birth
• Address and contact details
• Marital status and number of children
• Nationality

Revenue and assets

• Income from salary, self-employment, rental income, etc.
• Savings and investment accounts
• Real estate holdings and their estimated values
• Securities, shares and other assets

Expenditure and debt

• Monthly expenses such as rent, loan installments, living expenses.
• Existing credits and loans
• Open invoices and payables

Documents

• Proof of salary for the last few months
• Bank statements to confirm your financial situation
• Evidence of other assets, such as securities or savings books
• If you are already a customer at another bank, inform about your account there

Consent Schufa query (creditworthiness)

• Allow the bank to check your creditworthiness with Schufa or other credit bureaus
• A positive credit rating increases your chances of obtaining favorable financing

Bonus tip 1: Go to the bank before the deal moment

Before you jump into the real estate market, I recommend building a good relationship with your bank ahead of time.

That doesn’t just mean when you need financing. Bank advisors can give you valuable tips and advice to improve your financial situation.

Bonus tip 2: Say hello to bankers even when times are good

Building a relationship with your bank advisor is not a one-way street. Show interest in your bank advisor, even if you don’t need financing right now.

Visit the bank to give updates, talk about your plans, or just say hello. This can help you get better support during difficult times.

Self-disclosure simply explained

Self-disclosure for real estate purchase or financing is an important step on the path to your dream home. By properly compiling the required information and maintaining the relationship with your bank, you can ensure that the process goes smoothly and you get the best terms for your real estate financing. Check out my new YouTube video for more useful tips and information on this topic.

Lukinski YouTube: Yield, Capital Investment & Co.

Discover with me the crucial factors, key figures and basics of real estate investment. Compared to other forms of investment, real estate offers a ‘safer’ way to invest capital with consistent returns and long-term appreciation. Want to invest your money wisely? My recommendation: Real estate, passive income and a good life.

• Lukinski YouTube

Entry into capital investment real estate: 4 basics

Real estate acquisition: how to find cheap real estate, houses and apartments?

Finding the right property is the first step on the road to a successful investment. To find affordable properties, you should rely on various resources. Real estate portals on the Internet, real estate agents, auctions and even personal contacts can help you discover suitable offers. Be sure to check different locations and types of properties to have a wide range of options.

• Use personal contacts and networks
• Neighborhood
• B2B contacts (brokers, administrators, craftsmen, …)
• Direct approach to owners

Real estate yield: what is yield and how do you calculate it?

The yield is a decisive factor for your investment. It indicates how much profit you will make from your property. To calculate the return, divide the annual net rental income by the purchase price of the property and multiply the result by 100 to express the return as a percentage. A good return depends on several factors, such as the property’s location, rental rates and operating costs. As a rule of thumb, a return of 5% or more is considered acceptable.

• Yield measures the profit of your real estate investment
• Calculation: (Annual net rental income / purchase price of the property) x 100
• Factors for good returns: location, rents, operating costs
• Target: Return of 5% or more

Financing: equity and repayment plan

Most real estate investors require financing, and equity is critical here. It is usually recommended to raise at least 20% of the purchase price as equity in order to obtain more favorable loan terms and minimize risk. The financing itself consists of interest and repayment. A repayment plan will help you organize the repayment of the loan and ensure that you remain financially sound in the long term.

• Recommended equity: at least 20% of the purchase price
• Financing consists of interest and repayment
• Create a repayment plan for structured repayment of the loan
• Look for favorable credit conditions

Property management: letting, avoiding vacancies and maintenance reserves

After the purchase of your property comes the phase of management. This is about finding tenants, avoiding vacancies and keeping the property in good condition. You can rent it out yourself or leave the management to a professional property management company. Make sure to set up a maintenance reserve to be able to finance unexpected repairs and renovations.

• Finding tenants and avoiding vacancies
• Choice between self-management and property management company
• Establishment of a maintenance reserve for repairs and renovations
• Long-term care of the property for value retention

Favorable real estate, yield, financing and renting

Investing in real estate can be a profitable and long-term stable way to increase your capital. With the above tips, you can lay the groundwork for successful real estate investment as a beginner. However, it is important to note that real estate investing comes with risks, and it is advisable to do thorough research before investing and seek professional advice if necessary. However, with the right preparation and a clear plan, you can make great progress on the road to financial independence and security.

Lukinski YouTube: Yield, Capital Investment & Co.

Discover with me the crucial factors, key figures and basics of real estate investment. Compared to other forms of investment, real estate offers a ‘safer’ way to invest capital with consistent returns and long-term appreciation. Want to invest your money wisely? My recommendation: Real estate, passive income and a good life.

• Lukinski YouTube

More?

10 golden investment rules

Start your real estate journey right! Time and time again, people dream of investing in real estate, but few turn that dream into reality. These 10 indispensable rules are key to turning your ideas into successful real estate ventures. No bullshit. 10 Clear Rules.

• 10 golden investment rules