Mortgage lending in Germany

At real estate purchase in Germany it is possible to use a mortgage loan. Deutsche Banks are ready to give to its and foreign citizens. If your own capital makes 50 % from cost of bought object on the others of 50 % you can receive a mortgage loan in Germany with term of repayment from 5 till 30 years. Also you can rely on decency and high corporate culture of banks in Germany. On the other hand, you should represent accurately that banks expect from you in the future of mutual punctuality and decency on repayment of the given out credit. As the real estate in Germany before full repayment of the credit remains the bank property, it is necessary for you to weigh and count thoroughly all to take this step. Actions at random should be completely excluded. 

Guarantees. In comparison with other European legislations, at Germany there are two additional guarantees of reliability and security of savings and loan association and mortgage sheets. 

First, in each savings and loan association the managing director and its assistant are appointed a state structure of supervision of banks. By these employee it is made a duty to give to the supervising organization the information on bank activity, on data and own supervision received in the course of work. The primary goal of the managing director — supervision of appropriate maintenance of mortgage sheets, correctness and timeliness of entering into the special mortgage register of the sum used for maintenance. Mortgage sheets can be given out only after the managing director will confirm presence of their corresponding maintenance and record in the mortgage register. 

Secondly, — system of bank supervision which is carried out by random inspection of the register which is spent time in two years. The registration system of a mortgage has huge value also. In Germany its basis is made so-called the by «the land book», and in the country there is the special act devoted to conducting of this specific register. Real estate registration at a mortgage establishment is accompanied by accurate registration of occurrence and the termination of the mortgaging right to this real estate. At registration of the mortgage agreement in the land book names of the debtor and the creditor, a kind of the mortgaging right, the sum of requirements of the creditor and the interest rate are necessarily reflected. 

The mortgage can be contractual or judicial. Distinction consists that the concrete object of real estate specified in the contract serves in the first case as pledge, and in the second — the mortgage has the general character under the relation to all property of the debtor. Certainly, such contract provides the mutual rights and duties. The depositor is obliged to insure a subject of a mortgage and to take all measures for maintenance of its safety, to inform all subsequent pawnbrokers on existing pledges of a subject of a mortgage, and also to notify on threat of loss of a subject or possibility of its damage. The pawnbroker, in turn, has the right to check documentary and actually presence, сос