You are a German citizen living in Switzerland, Austria, the Netherlands, the USA, the UK or Asia and you want to buy property in Germany, as an investment or for a later return. This guide covers the banks that finance this situation, because not every bank does. Where the income carries it, up to 100 % of the lending value is within reach, foreign-currency salaries included. With a residence abroad, incidental purchase costs come from own funds.
When you buy a house in Germany while living abroad, banks check three things that never come up for a resident borrower. First the currency: some lenders do not accept income not paid in euros, others credit it with a discount. Second the applicable law. Third the process: identification without PostIdent, service of documents abroad, a German settlement account.
Loans to Germans living abroad are provided by a small group of between 6 and 10 institutions with experience in international business; for the bank, it is the borrower’s place of residence that counts, not their passport. The loan-to-value ratio ranges from 60–100 %, depending on the type of income and creditworthiness.
Buying property in Germany whilst resident abroad: Who provides financing for Germans living abroad to buy property in Germany? A small group of between 6 and 10 institutions with experience in international business. For the bank, it is your place of residence that counts, not your passport. Olga Nikushkina acts as an independent broker in accordance with Section 34i of the German Trade Regulation Act (GewO), selecting suitable lenders from over 650 banks — free of charge, as she is usually remunerated by the financing bank. Buying whilst resident abroad.
What is the loan-to-value ratio, and how is foreign currency taken into account? Loan-to-value ratio of 60–100 % depending on the type of income and credit rating (the country of residence determines the range of banks available, not the specific range); typically 70–80 % for a good credit rating. For foreign-currency income, banks apply a safety margin of 10–25 % (50 % for 100 % financing) to the amount converted into euros, depending on the currency and type of income. Foreign-currency income: which banks take this into account.
When you buy a house in Germany while living abroad, banks also check currency, applicable law and process.
A small circle of 6 to 10 banks finances Germans abroad: A small circle of 6 to 10 institutions with international experience. The bank looks at your residence, not your passport. Olga Nikushkina brokers independently under §34i GewO from 650+ banks — free of charge, as a rule paid by the lending bank. Buying while living abroad.
Loan-to-value of 60–100% depending on income type and creditworthiness (the country of residence decides which banks take the case, not the range) — typically 70–80% with good credit.
Income in a foreign currency is counted with a safety discount of 10–25 % (50 % at 100 % financing) on the euro-converted amount, depending on currency and type of income. Foreign-currency income and the banks that accept it.
Proof of equity may be provided from abroad and in English; an advance transfer to Germany is not necessary. If you are resident in the USA or the United Kingdom, some lenders also require a legal opinion (Rechtsgutachten).
Residence in Switzerland: Largest sub-market — CHF income, cross-border commuters and permanent residents.
Residence in another EU country: the Netherlands, Austria, Italy, Spain, France.
Which banks finance non-residents for tax purposes?: 6–10 institutions out of over 650 available — which type of bank fits, and which usually does not.
FAQ relating to residence abroad: Over 55 answers on non-residents for tax purposes, foreign currency and documents.
There is often no SCHUFA abroad — in that case, alternative evidence takes its place: bank statements, tax assessment notices and an employer’s confirmation.
What do banks additionally check if you buy a property in Germany while living abroad? Anyone who wants to buy a property in Germany while living abroad is checked on three things that do not even arise for residents.
Firstly, the currency: if the income is not paid in euros, some lenders do not accept it — others do, but apply a safety discount. Secondly, the applicable law: if you are resident in the USA or the United Kingdom, it is not always clear whether German or foreign consumer law (Verbraucherrecht) applies to the contract; some lenders require a legal opinion (Rechtsgutachten) on this, while others have settled the question in their standard process.
Thirdly, the process: identity verification without PostIdent, delivery of documents abroad, a German settlement account, evidence in a foreign language. None of these points concerns your creditworthiness. Nevertheless, they decide whether you are approved — and that is why the choice of lender matters more than any negotiation over the interest rate.
Three large groups of Germans abroad — each with its own choice of banks and requirements.
Loan-to-value is 60–100 % depending on income type and creditworthiness, fixed-interest periods are 5, 10, 15 or 20 years, and interest rates usually carry no surcharge.
Residence Switzerland: The largest sub-market — CHF income and a targeted choice of bank.
| Item | Amount |
|---|---|
| Purchase price | €355,000 |
| Equity | €130,000 (37 %) |
| Bank loan | €225,000 |
| Income | USD — US company |
| Example rate | 4.4 % |
| Monthly payment | ~€1,230 |
Model calculation, without guarantee. Terms depend on creditworthiness.
| Item | Amount |
|---|---|
| Purchase price | €495,000 |
| Equity | €185,000 (37 %) |
| Bank loan | €310,000 |
| Income | SGD/USD |
| Special feature | Return financing |
| Example rate | 4.5 % |
| Monthly payment | ~€1,720 |
Return financing widens the circle of banks.
Model calculations without guarantee. Not binding offers. Terms vary depending on credit profile, property and bank. No tax or legal advice.
German abroad: a German citizen with residence outside Germany. Tax non-resident (in the banking sense): anyone without residence or habitual abode in Germany — regardless of citizenship. The bank looks at residence, not the passport. What matters is the status at the time of application.
In the case of a purely financial investment from abroad, KfW is usually excluded. However, those returning to Germany to live in the property themselves can often make use of standard KfW schemes as soon as their residence and the fact that they will be living in the property are confirmed. The date of return at the time of application is the deciding factor.
A small circle of 6 to 10 institutions with international experience. Which bank fits depends on the country of residence, the income currency and the property.
German building societies often do not grant loans to people resident abroad; combined schemes are risky. We approach suitable banks directly.
Usually there is no surcharge. A few banks calculate 0.1–0.3 % higher because of the extra effort.
Free, non-binding initial consultation — the commission is, as a rule, paid by the bank. We check 650+ banks plus all state development programmes for your situation.
Neighbouring countries with their own banking systems — what matters if you’re resident in the Netherlands or Austria.
Post-Brexit: GBP income and the banks that continue to finance UK residency.
Buying German property from the USA or Canada: USD/CAD income at 6 to 10 specialist banks, FATCA, source of funds and power of attorney with apostille.
Sweden, Denmark, Norway and Finland — four very different starting points.
Buy a house in Germany from Australia or New Zealand: AUD/NZD income with a safety discount, power of attorney, apostille and the right choice of lender.
Buy a house in Germany while living in China: source of funds, foreign-exchange regime, apostille and enhanced due diligence explained.
German passport + Swiss residence, CHF income, pension-fund money as equity.
Third countries, USD/GBP/SGD, US-law topic, a smaller circle of banks.
Requirements and documents fully visible — plus a fillable PDF.
Buy a house in Germany from Dubai or the UAE: tax-free income, proof of source of funds and which banks accept the constellation.
Buy a house in Germany while living in Russia: sanctions, SWIFT exclusion and the capital transfer, explained honestly — how equity reaches Germany at all.
Editorially responsible: Olga Nikushkina — owner, §34i GewO (German mortgage brokerage), adviser register D-W-132-ZUCB-95. Specialised in German property financing with an international dimension: non-residents, foreign-currency income, cross-border workers, expats. Siegfried Perini is entered in the German intermediary register under this licence as a person directly involved in brokerage and advice (§ 11a GewO), active in real estate since 1992. Not legal or tax advice.
