Financing a Home Without Equity for Young Families: A Guide
9 Jun 2025
Katrin Straub
Managing Director at nextsure
The desire for one's own home is strong, but the savings account is empty. For many young families, a mortgage without equity seems to be the only way into their own home. This article explains how a so-called full financing can work, what requirements you need to meet, and how to minimize the risks.
The topic in brief and concise terms
A mortgage without equity (full financing) covers the purchase price and ancillary costs, but leads to higher interest rates and stricter credit requirements.
Requirements include a high, stable income, an excellent SCHUFA credit report, and often a second borrower.
Life insurance and disability insurance are essential to protect the family from financial risks.
Für junge Familien ist der Hauskauf ein großer Schritt, der oft an einer zentralen Hürde scheitert: dem fehlenden Eigenkapital. Wenn das Einkommen zwar stabil ist, aber noch keine Zeit zum Ansparen von 20 Prozent des Kaufpreises oder mehr blieb, rückt die Baufinanzierung ohne Eigenkapital in den Fokus. Diese als 110-Prozent-Finanzierung bekannte Option deckt nicht nur den Kaufpreis, sondern auch die Nebenkosten ab. Sie birgt jedoch höhere Zinsen und strengere Anforderungen. Dieser Leitfaden führt Sie durch die Voraussetzungen, Kosten und notwendigen Absicherungen, um eine fundierte Entscheidung für die Zukunft Ihrer Familie zu treffen.
Understanding Full Financing: The 110-Percent Solution
A mortgage without equity means that the bank finances the entire purchase price as well as the additional costs. These additional costs can amount to up to 15 per cent of the purchase price depending on the federal state. This is often referred to as 110 per cent financing. For banks, this represents an increased risk, which is why they examine the financial situation of applicants particularly thoroughly. An interest rate surcharge of up to one percentage point compared to financing with equity is common. This model is mainly intended for young families who have a high, secure income but have not yet been able to build up significant savings. The precise conditions for such financing are crucial to the success of the project.
Check requirements: Who qualifies for the loan?
Banks offer full financing only under strict conditions to minimise their risk of default. An excellent credit rating, evidenced by a SCHUFA score of over 97%, is a basic requirement. In addition, an above-average and stable household income is expected; being a civil servant or having a secure job are ideal conditions here. Many institutions require two partners to sign the loan agreement to spread the risk across two incomes. Young applicants under the age of 40 are preferred because they have a long remaining working life ahead of them. A detailed household calculation is essential to demonstrate the long-term viability of the instalments. Meeting these criteria is the first step on the path to securing financing approval.
Calculating Costs: More Than Just the Purchase Price
The total cost of buying a house goes far beyond just the property price. The additional purchase costs are a significant factor that need to be included in a full financing plan. These costs are made up of several items that vary depending on the region and purchase price. A precise calculation is crucial for the property loan without equity.
Here is a list of the typical additional costs:
Property transfer tax: Depending on the federal state, this amounts to between 3.5 and 6.5 percent of the purchase price.
Notary and land registry costs: For notarizing the purchase contract and registering it in the land registry, about 1.5 to 2 percent are incurred.
Broker's commission: If a broker is involved, the buyer and seller share the commission, with the buyer's share often being around 3.57 percent.
Possible surveyor costs: A valuation report can cost between 500 and 1,000 euros.
For a purchase price of 400,000 euros, these additional costs can quickly reach a total of 40,000 to 60,000 euros. These additional costs must be considered when planning the financing amount to realistically assess the financial burden.
Securing risks: Foundation for the family's future
A financial commitment as significant as a mortgage without equity requires comprehensive family protection. The loss of income due to death or disability can jeopardise the entire financing. Therefore, banks often require the conclusion of certain insurances as loan security. A term life insurance is often a prerequisite for granting the loan.
Two insurances are of central importance here:
Term Life Insurance: It safeguards the family in the event of the main earner’s death. The sum insured should at least cover the amount of the loan, so that the dependents can repay the credit and do not have to sell the house.
Disability Insurance: This comes into play if a borrower is no longer able to practise their profession due to health reasons. It pays a monthly pension that helps to continue servicing the loan instalments and maintain the standard of living.
Taking out a term life insurance is often comparatively affordable for young people. These protections are not trivialities, but an essential component for a secure future in one's home.
Plan for the long term: Keep an eye on follow-up financing
A mortgage is a marathon, not a sprint, and often lasts over 30 years. The initial fixed interest period typically ends after ten or 15 years. At this point, there is usually still a significant outstanding balance, for which a follow-up financing is needed. The biggest risk here is the interest rate change. If interest rates have risen by then, the monthly payment for the remaining loan can be significantly higher. With full financing, the outstanding debt is particularly high after the initial phase, further exacerbating the interest rate risk. It is therefore advisable to make special repayments during the first term to reduce the outstanding balance as much as possible. Forward planning helps to secure the second financing phase as well.
Request your individual risk analysis now: Have your insurance situation checked free of charge and receive concrete optimisation suggestions.
More useful links
The Deutsche Bundesbank offers a detailed report on the current developments in the real estate market in Germany.
Wikipedia provides a comprehensive overview of the topic of construction financing.
The Deutsche Institut für Wirtschaftsforschung (DIW) provides research findings and analyses on the German real estate market.
FAQ
Welche Voraussetzungen muss ich für eine Baufinanzierung ohne Eigenkapital erfüllen?
Sie benötigen eine hervorragende Bonität (hoher SCHUFA-Score), ein überdurchschnittliches und sicheres Einkommen (z.B. als Beamter oder in unbefristeter Anstellung), idealerweise einen zweiten Kreditnehmer und sollten jünger als 40 Jahre sein.
Welche Risiken birgt eine Vollfinanzierung?
Die Hauptrisiken sind höhere Zinsen, eine längere Kreditlaufzeit und eine höhere monatliche Belastung. Zudem besteht ein hohes Zinsänderungsrisiko bei der Anschlussfinanzierung und bei einem Notverkauf der Immobilie kann eine Restschuld verbleiben.
Welche Versicherungen sind bei einer Finanzierung ohne Eigenkapital wichtig?
Eine Risikolebensversicherung ist essenziell und wird von Banken oft gefordert, um den Kredit im Todesfall abzusichern. Eine Berufsunfähigkeitsversicherung schützt Sie und Ihre Familie vor den finanziellen Folgen eines Einkommensausfalls durch Krankheit oder Unfall.
Gibt es staatliche Förderungen für junge Familien?
Ja, das KfW-Programm „Wohneigentum für Familien“ (300) bietet zinsgünstige Kredite für Familien, die bestimmte Einkommensgrenzen einhalten und klimafreundlich bauen oder kaufen. Dies kann die Finanzierungskosten senken.
Was sind Kaufnebenkosten und wie hoch sind sie?
Zu den Kaufnebenkosten zählen die Grunderwerbsteuer (3,5 % - 6,5 %), Notar- und Grundbuchgebühren (ca. 2 %) sowie eventuelle Maklerkosten (ca. 3,57 %). Insgesamt sollten Sie mit etwa 10 bis 15 Prozent des Kaufpreises rechnen.
Was passiert nach Ablauf der Zinsbindung?
Nach Ende der Zinsbindungsfrist (meist 10 oder 15 Jahre) bleibt eine Restschuld, für die Sie eine Anschlussfinanzierung benötigen. Sind die Zinsen bis dahin gestiegen, kann Ihre neue monatliche Rate höher ausfallen.
