If you want to buy or build a property, you are usually faced with the problem that the construction or purchase of a house has to be financed, the amount of equity required is generally not available. But what is the situation like if the borrower is afraid of Credit Bureau information because there are negative entries? Can I get a real estate loan without Credit Bureau?
Get a real estate loan without Credit Bureau
The question “Can you get a real estate loan without Credit Bureau” is easily answered: No, not in Germany. But you can get a real estate loan in Germany despite Credit Bureau – negative Credit Bureau entries do not have to be decisive for a loan cancellation at Sparkasse, Volksbank, Hypo-Vereinsbank or Commerzbank.
Yes, German banks obtain Credit Bureau information when a loan is requested, regardless of whether it is a small and short-term personal loan or long-term real estate financing.
At the same time, however, the creditworthiness is also checked differently, for example, the bank always looks more closely at the customer’s income: naturally, people with a fixed income get away better than people with an irregular income, as is the case with Self-employed is often the case.
How much do you need to loan
The bank checks the financial situation of the customer’s household very carefully: what income does the customer have? What fixed expenses does he have every month? How much capital remains after deducting all costs from his income that he can freely dispose of?
If the amount in question is high enough to be able to pay the loan installments, negative Credit Bureau entries are absolutely uninteresting for the bank. Borrowers should keep in mind: Credit Bureau entries are always just one of many indicators for the bank that can help you determine the risk that you take when lending money to a borrower.
In addition, the borrower has the option of convincing with various types of collateral, which, however, regardless of Credit Bureau, are generally required for real estate financing.