Projected home equity
Property value minus projected secured debt
Germany · EUR
How Much Equity Is in Your German Property?
Estimate the equity in your German property, compare borrowing scenarios and see how repayments or changes in value affect your position.
Property-value sensitivity
Estimated equity after proposed borrowing and immediate mortgage paydown
| Value change | Property value | Secured debt | Home equity | Equity percentage | Combined LTV |
|---|
Year-by-year equity projection
Uses your entered property-growth and mortgage-paydown assumptions
| Year | Property value | Existing secured debt | New borrowing | Total debt | Home equity | Combined LTV |
|---|
Planning estimate only—not a valuation, credit decision or commitment to lend. A lender assesses income, expenses, credit, loan purpose, property, valuation and serviceability. Borrowing secured against your home puts the property at risk if repayments are not made.
How much equity is in your German home?
Home equity is the difference between a property’s estimated value and the borrowing secured against it. This calculator helps owners estimate that difference and model the impact of additional borrowing. It is not designed for calculating savings for an initial home purchase.
Home equity = property value − mortgage balance − other secured debt
Example: A home valued at €600,000 with €240,000 in secured debt has €360,000 of equity (60%). This amount reflects value tied to the property, not cash that is automatically available. Selling costs or loan‑redemption charges are not included.
Use the outstanding balance, not the registered Grundschuld
In Germany, the Grundschuld recorded in the land-register does not necessarily match the remaining loan balance. The security amount can stay unchanged even as the mortgage is repaid. For this calculation, use the current outstanding balances from your lenders and avoid double‑counting the same loan.
Total equity and borrowing room are different
The calculator applies your chosen planning LTV ceiling to the property value and subtracts existing secured debt. If the result is negative, borrowing room is shown as zero. This is a scenario based on your inputs, not an approval decision.
Example: At an 80% ceiling, a €600,000 property corresponds to €480,000 of modelled total debt. With €240,000 already outstanding, the difference is €240,000. If you want to preserve 40% equity, your personal ceiling becomes €360,000, leaving €120,000 of room. Both values are displayed for comparison.
The default 80% is a planning assumption, not a general German lending rule. A lender still needs to assess income, commitments, the property and repayment ability. A positive borrowing‑room result does not confirm that a loan is available.
Why a German bank may calculate a different ratio
The LTV shown here uses the property value you enter. Lenders may use their own mortgage lending value (Beleihungswert) when determining the Beleihungsauslauf. This can produce a different ratio from a calculation based on an estimated market value.
Example: €300,000 of borrowing equals 60% of a €500,000 market estimate. Against a €450,000 lending value, the same borrowing equals about 66.7%. The debt is unchanged; the valuation basis differs.
Check net proceeds as well as the monthly payment
New borrowing increases secured debt and reduces remaining equity. The calculator subtracts your entered percentage and fixed costs from the proposed loan to estimate net proceeds. A €50,000 loan with 1% costs plus €1,000 leaves €48,500. Repayments are calculated on the full €50,000; costs are not added to the loan.
The repayment‑loan option assumes equal monthly principal‑and‑interest payments at a constant rate until the loan is fully repaid. The selected term represents the full repayment period, not a fixed‑interest period ending with a remaining balance.
The credit‑line option is an interest‑only scenario: the full amount is treated as drawn, the rate stays constant and principal remains outstanding. It is a simplified comparison rather than a reproduction of a specific product. The total‑repayment figure includes principal and modelled interest; separately displayed costs are not added again.
Understand the two equity scenarios
The one‑off scenario includes your proposed borrowing, immediate principal repayment and a single value change. The sensitivity table shows fixed value changes from −20% to +20%, based on debt after borrowing and immediate repayment.
The annual projection is separate. It starts with today’s property value and does not include the one‑time value change or immediate repayment. Property value changes annually by your chosen rate, while existing secured debt falls by your entered annual principal repayment.
For a new repayment loan, the projection reduces principal evenly across the term. It is a simplified illustration, not the amortisation schedule implied by the monthly payment. For a credit line, principal remains constant. The default appreciation rate is not a forecast—try flat or falling values as well.
Germany home equity calculator FAQs
How do I calculate home equity in Germany?
Subtract your outstanding mortgage and other debt secured against the property from its estimated current value. A €600,000 home with €240,000 in secured debt has €360,000 of equity. This estimate does not deduct selling costs or loan redemption charges.
Should I enter my Grundschuld or my current mortgage balance?
Enter the amount you still owe. The registered Grundschuld is security for the lender and may remain unchanged after repayments. It is not a reliable substitute for your current loan balance.
Can I borrow all of my home equity?
The calculator cannot establish that. Its borrowing-room estimate uses your chosen LTV ceiling and existing secured debt. It does not assess affordability or lender eligibility, and total equity is not the same as an approved credit amount.
Is 80% LTV a fixed lending limit in Germany?
No universal limit is established by this calculator. Its 80% default is an editable planning assumption based on the value you enter. A lender’s valuation, criteria and assessment can lead to a different borrowing amount.
What does the personal equity buffer do?
It shows a separate debt limit based on the percentage of property value you want to retain as equity. Keeping 40% equity in a €600,000 property means a modelled debt limit of €360,000. With €240,000 already owed, that leaves €120,000 of personal borrowing room.
Are financing costs added to the new loan?
No. Entered costs reduce the estimated net proceeds, while the loan amount used for repayments stays unchanged. For €50,000 of borrowing with costs of 1% plus €1,000, net proceeds are €48,500.
Does the credit-line payment repay the principal?
No. This option models interest-only payments on the full proposed borrowing at a constant rate. Principal remains outstanding, and the selected term is used to estimate interest over that period. Actual credit arrangements may work differently.
Does the annual projection include my immediate repayment?
No. The immediate repayment is used in the one-off scenario and property-value sensitivity table. The annual projection is separate and does not include that repayment or the one-time value change.
Is the projected equity chart an exact mortgage repayment schedule?
No. Existing debt falls by your entered annual principal repayment. A new repayment loan is reduced evenly over its term in the projection, rather than following the precise principal-and-interest schedule. The property-growth assumption is also a scenario, not a forecast.
What does negative home equity mean?
It means the secured debt exceeds the property value used in the calculation. For example, €420,000 of secured debt against a €400,000 value produces negative equity of €20,000. The result depends on the accuracy of the value and balances you enter.