Thursday, March 15, 2012
wrong about the house loan
The bank guy just came. He offered us a loan but the terms were not as good as we had hoped. The rent on the house will not pay the house off. In fact, to pay the house off in 30 years we would need to pay additional money per month (over the rent). And to pay the house off in 15 years (when we retire) we would need to pay 1000 Euro per month over the rent (killer)! It's very bad news for us! Each month we would lose money on this house, and be responsible for renovations and maintenance. It's really a bad deal to have it as a rental house. It's better to sell it at a loss. But we have no buyer. We have until Monday to sign a new loan. We needed a few days to think about what we should do. Honestly , we asked until Monday hoping for some kind of miracle. If we could just have a buyer it would be such a gift! But the other option is to rent for a few years, then try to sell when the market improves. They say Germany is heading into a recession. Know one is buying houses right now. So maybe if we hold on to it for a few years, then try again when the environment improves? That would be our best option right now. So if we find no buyer in the next few days, we need a good renter for say 3-5 years. Perhaps that would be the best move? We need wisdom. I know none of this is a surprise to God. He has the big picture. I am blind but He see's it all! Juergen show's the house to the Solar company that wants to use it as a guest house. We got more information about the company. They are from Spain and spend over 5000 euro per month on hotels. This is why they are looking for a house to rent. They are starting a new branch in Heidelberg. They don't want to buy something because the business may not make it. But they would give us a larger then normal deposit as security. If they decide to rent from us, it's probably our best option. Perhaps we will know tomorrow.