location icon

Free across Germany

Free for you, paid by lenders

 Mon-Fri: 9 AM - 7 PM

Sondertilgung: A popular but overrated option

Who doesn't like the idea of repaying extra on their mortgage? That is what “Sondertilgung” is. But is it a good idea?
Dr. Chris Mulder

Dr. Chris is a former Senior Economist and Manager at the IMF and The World Bank. He is a Hypofriend Co-founder.

Published on May 25, 2021 May 25, 2021

picture

Dr. Chris is a former Senior Economist and Manager at the IMF and The World Bank. He is a Hypofriend Co-founder.

Who doesn't like the idea of repaying extra on their mortgage to avoid penalties? That is what “Sondertilgung” is, and virtually every mortgage borrower wants it. It is a great sales argument for advisors: If you were to use your extra payments/savings/bonuses, you could be done with your mortgage by year "X".