How to successfully get a mortgage in Berlin?

Are you interested in a property mortgage in Berlin? You’re at the right address! Our real estate agency in Berlin helps you to successfully apply for a mortgage in Germany at the most competitive conditions and interest rates.

Either for investing or for buying your new home in Berlin, we advise you about the best mortgage product on the market and introduce you to the most suitable banks, mortgage lenders and mortgage brokers in Germany. 


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Mortgages in Germany can cover up to 100% of  the property purchase price. In this view, you have just to pay for the purchase fees such as the property transfer tax (currently at 6% in Berlin) and notary fees.

Depending on the bank or the mortgage broker in Germany, you can still choose your most suitable type of mortgage with a shorter or a longer fixed interest rate period. The fixed interest rate period generally vary between 5 and 20 years, depending on the monthly repayment you like to have. An early repayment option might be negotiated with the bank with no additional fees and could be used if you intend to pay-off the loan earlier to the mortgage lender. 

Typically, a mortgage application in Germany takes from 2 to 4 weeks period before you get the final approval from the bank or the mortgage advisor. 

In order to get your mortgage in Germany quickly pre-approved, it’s highly recommended to prepare in advance the mortgage application documents such as payslips in and property official documents.

At First Citiz Berlin, we offer you assistance from A to Z throughout the process of your mortgage application process in Germany. 


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Interested in a german mortgage simulation, check the most comprehensive mortgage calculator in Germany with Interhyp!


Mortgage rates in Germany

Mortgage rates has been rising worldwide since 2022 and reached a peak of over 4% in 2023. Lately, home mortgage rates in Germany slightly declined and vary from ca. 3% to 3,8% in 2025. 

The mortgage rate you can get will depend on mainly 3 factors:

  • Your equity down-payment for buying a house
  • Your creditworthiness (personal income situation)
  • The features of the property you are intending to buy 

If you contribute with a significant equity payment to the property purchase you could curretly get a mortgage arte as low as 3% percent to buy a house in Berlin.

This depends on property features such as the price per square meter, the amenities, the last renovations, the quality of construction and the location.

 

Document list for mortgage application in Berlin

When you apply for a mortgage in Berlin, you should prepare in advance the standard required document package by german banks. This allows to have a smooth process and to get your mortgage in Germany approved within few weeks.

  • Tax return of self-employment income in Germany and/or abroad 
  • 3 last payslips in Germany as well as your work contract (if employed)
  • Proof of funds or Equity
  • Copy of ID and residence permit (Aufenthaltserlaubnis in German) or registration in Germany (Anmeldung) 
  • Declaration of division of the building (Teilungserklärung)
  • Monthly HOA fees (Wirtschaftsplan in German)
  • 3 last years’ Minutes of meeting of the community 
  • Floorplan and building floorplans
  • Recent land registry (Grundbuchauszug) and situation plan
  • Detailed property and building description

Some German banks might ask for additional documents that you can get from your real estate agent. At First Citiz, we prepare from day one the documentation package for our customers. Addiontionally, we get in active communication with the mortgage broker so that you can get your mortgage in Berlin quickly approved!


Mortgages in Berlin for a self-use apartment

In this case, the amount of mortgage loan you might get for a self-use apartment could match up to 100% of the property purchase price.

The amount and mortgage rate in Berlin will depend on the quality of the mortgage application,:

  • The personal situation: working status (salaried or self-employed), monthly average income, work contract date, date of settlement in Germany. 
  • The property: purchase price, market value, property documents, purchase fees, own capital/equity.

For an assessment of your potential mortgage application, please, do not hesitate to use our mortgage calculator or book a free consultation with our real estate agent. Together we could exchange about your borrowing capacity, the type of mortgage and the suitable purchase budget you should target to buy your dream home in Berlin. We can also estimate for you the purchase fees, the property transfer tax and get your mortgage in Berlin pre-approved with a mortgage broker.

If you live and work in Germany, you could benefit from optimal mortgage rate and lending conditions because a German bank always favour loan applications of borrowers with local stable income and financial situation in Germany. 

German mortgage for investment

Buy-to-let mortgages are property loans specifically designed for buying an investment property that generates a steady income. A German mortgage would bring you a major investment advantage as the interest rate repayment is fully deductible from taxes.

With a buy-to-let mortgage, you could potentially cover on the long term the monthly mortgage repayment rate with the rental income that you would receive from your property in Germany. Your monthly repayment rate will be based on the amount of money you expect to get from rent each month.

A buy-to-let German mortgage in Berlin gives you also the opportunity to leverage your property investment and to increase your long-term profitability.

Indeed, if makes always sense to apply for a mortgage in Germany if the interest rate is lower than the yield generated by your real estate investment in Berlin (i.e a property with a yield of 4% and a fixed interested rate mortgage of 3%). For this, check the mortgage calculator and pick the best financing option.

As an investor, with mortgages, you could invest in 2 or 3 properties instead of one, with same amount of equity. This is called the leverage debt effect.

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Getting a mortgage in Berlin as a foreign buyer

In contrast to many European countries (e.g. Austria, the Netherlands, Switzerland …), foreign buyers in Germany have good access to the loan market and can benefit from attractive loans, interest rates and terms.
The standard structure of a non-resident mortgage in Berlin is generally as follows:

  • 5, 10, 15 or 20 years fixed or variable interest rate
  • Interest rate from 3,3% to 4,3% depending on the property and borrower profile
  • Capital repayment rate of 1% to 3% per year
  • Option of early capital mortgage rate payment of up to 10% per year
  • Loan amount from 35% to 70% (Loan-to-value or LTV) of the property purchase price.

The financing conditions essentially depend on the type of property (new or period property) and the intended use (own use or investment).
The loan application process for foreign investors takes about 4 weeks. During this time, we offer you comprehensive support in filling out the application form and in following up the financing at the bank.
To apply, you need essentially provide proof of income (i.e. the 3 most recent pay slips) and we can forward the property documentation directly to your bank.
Our real estate agent cooperates with a network of German banks, institutional lenders and mortgage brokers in Berlin, through which we can select for you the best mortgages offers available on the market.
We couldalso arrange for you an appouintment to open a bank account with a German bank (Deutsche Bank, Commerzbank, etc.) to simplify the monthly repayment process of your mortgage in Berlin.

Whether you are an investor or a self-use buyer, our team will help you to make the right mortgage choice and assist you from A to Z with the mortgage application! 

How much could I afford?

You want to know more about the financing possibilities for your property purchase in Berlin? We inform you about:

  • How much could you afford for buying a property in Berlin either for self-use or for investing?
  • Current German mortgage rates and loans conditions
  • The processing time for a German mortgage application
  • The required funds you would need to close your mortgage
  • Type of properties for which German banks offer mortgage financing at good credit conditions

For any questions about mortgages in Berlin, simply fill in the mortgage call back form. Our team will get in touch with you with comprehensive information about all your questions such as:

  • How to successfully apply for a mortgage to buy a house in Berlin?
  • How to secure your german mortgage in the most effective way?
  • What are best mortgage options when you are living and working in Germany?
  • Should you go through a mortgage broker or a bank?
  • Which mortgage calculator to use?
  • Which type of mortgage you could secure in Germany?
Getting property mortgage in Berlin is a straightforward process

 

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Check your mortgage in Germany!
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Property mortgage application in Berlin takes one month