Getting a mortgage in Germany as a UK buyer

The contents of this article are for informational purposes only and do not constitute legal or tax advice. Decisions related to tax should be made after thorough research, consultation and verification from a qualified financial and legal advisor.

Considering buying property in Germany from the UK? It’s an attractive opportunity, whether you’re planning a permanent move, looking for a second home or investing in one of Europe’s most stable property markets.

Most people will need a mortgage to buy property there - and while Germany offers favourable mortgage rates, navigating a foreign mortgage system as a non-resident can be more complex than in the UK.

In this guide, we explain how to get a mortgage in Germany as a UK foreigner. We’ll cover eligibility rules, required documents, application steps, timelines, fees, German mortgage rates and lender options. Plus, we’ll look at whether a UK mortgage could be used instead.

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Can you get a mortgage in Germany as a non-resident?

Yes, German banks do offer mortgages to foreign buyers. However, non-residents usually face stricter lending criteria compared to German residents. This includes:

• Lower loan-to-value (LTV) ratios, typically capped at 60%¹
• Higher deposit requirements
• More detailed documentation checks
• Comprehensive affordability assessments
• Longer processing times.

In addition, German lenders are known for their conservative lending behaviour and often prioritise long-term affordability and financial stability.

Some banks may also prefer borrowers with financial ties to Germany, such as:

• A German bank account
• Income paid into a local or international account in euros (EUR)
• Existing property holdings
• A residency permit.

Getting a mortgage in Germany from the UK after Brexit

Brexit means that UK citizens are now classed as third-country nationals in Germany.

While this hasn’t stopped UK buyers from getting German mortgages, it does bring additional compliance and documentation requirements - especially around proof of tax residency, anti-money laundering checks and source of funds verification.

In short, expect more paperwork and slightly longer approval times.

Mortgage eligibility criteria for UK citizens in Germany

While every lender has its own rules, typical eligibility requirements for getting a mortgage in Germany include:¹

• Minimum deposit of 40% for non-residents
• Evidence of consistent earnings
• Clean UK credit report and recent bank statements.

Banks may also assess:

• Employment type (employed, self-employed, contractor, retired)
• Length of employment or business history
• Existing mortgages and liabilities
• Currency exposure if income is in GBP but mortgage is in EUR.

Is it easy to get a mortgage in Germany?

Germany is known for its conservative mortgage system. While this does create long-term stability in the country, it can make approval processes slightly slower and more demanding.

Some of the most common challenges to be aware of are:

• Higher deposit requirements
• Extensive documentation checks
• Complex legal processes
• Language barriers
• Strict property valuations.

However, it’s not impossible to secure a mortgage there, and there are various ways you can improve your approval chances. For example, you could work with a bilingual mortgage broker and open a German bank account early.

Preparing key documents in advance and maintaining strong financial records is also key.

Step by step guide on how to apply for a German mortgage as a foreigner

1. Calculate your borrowing capacity

Take time to assess how much you can borrow based on your income, deposit and existing financial commitments. Mortgage brokers and German banks typically provide affordability calculators to help you out.

2. Get mortgage pre-approval

Pre-approval strengthens your negotiating position with sellers and confirms your budget, so you know exactly what you have to play with.

3. Find a property

Now, it’s time to start looking for a property to buy in Germany. Once you do find the perfect home, negotiate the price and sign a reservation agreement, subject to financing.

4. Submit full mortgage application

This is when you’ll be required to provide financial and legal documentation. A property valuation will usually be commissioned too.

5. Valuation and legal due diligence

The lender arranges a private valuation, and a German notary and lawyer conduct legal checks.

6. Mortgage offer and contract signing

Once approved, mortgage contracts are issued and funds released.

Read more: How to transfer large amounts of money from the UK

Which documents do you need as a non-resident?

Again, this can vary depending on the lender, but you should expect to present the following documents as part of your mortgage application:¹

• Passport
• Proof of UK address
• Proof of income (payslips, tax returns)
• Bank statements
• Employment contract or accountant letter
• UK credit report
• Property purchase contract
• German tax number (if applicable).

Your documents may also need to be translated into German.

How long does it take to get a mortgage in Germany?

Germany is known for longer legal timelines. As of 2026, the complete property purchase timeline in Germany spans around 2 to 5 months for most buyers.²

However, for foreign investors, it can take up to 3 to 5 months due to additional documentation requirements.²

Fees and costs for getting a mortgage in Germany

Buying a property anywhere in the world involves a number of additional costs beyond the property purchase price, including foreign transfer fees for non-residents.

The total fees in Germany are some of the highest in Europe. Buyers should expect to add around 10 to 12% to the total cost of buying a property.³

You should therefore factor this into your overall budget and strategy, to ensure you can meet all payments and avoid any nasty surprises later down the line.

Unfortunately, some fees are still payable even if the mortgage is declined and the property transaction doesn’t go through.

Below, we’ll run through the main costs you need to know about.

Property transfer tax (Grunderwerbsteuer)

This is the single largest additional cost of buying property in Germany. What’s more, it varies by federal state and ranges from 3.5% to 6.5% of the purchase price.⁴

This tax must be paid before ownership registration can proceed. It’s non-negotiable and applies equally to residents and non-residents.

Legal and notary fees

In Germany, property purchases must legally be completed before a notary. Notary and legal fees usually amount to 1.5 to 2% of the purchase price.⁴

Additional fees

There are also various other fees that vary from lender to lender, and depend on the property price. This is why it’s important to check individual documentation before taking out a loan. This includes:

• Mortgage arrangement and processing fees
• Property valuation fees
• Land registry fees
• Mortgage registration fees
• Agent and broker fees.

Then there’s currency exchange and transfer fees. If you’re transferring funds from the UK to Germany for your deposit, professional fees or mortgage payments, you may end up paying bank fees such as:

• High exchange rate mark-ups
• International transfer charges
• Receiving fees.

This can all mount up, which is where Wise can help. Wise uses the mid-market exchange rates with low, transparent fees*, which can help reduce the cost of sending large sums internationally.

Learn more about international transfers with Wise.

German banks or lenders offering mortgages to foreigners

Some of the most popular lenders in Germany include:

• Deutsche Bank
• Commerzbank
• HypoVereinsbank (UniCredit)
• ING Germany.

Mortgage rates in Germany

Germany often offers competitive mortgage rates compared to other European countries. As of 2026, they generally range from 3.5% to 5% for fixed-rate home loans,⁵ though the exact rate you might receive will depend on several factors.

This includes market conditions, borrower profile and the individual loan product and term. Working with a German mortgage broker can help to simplify the process.

Can you get a UK mortgage to buy property in Germany?

Some UK lenders do offer overseas mortgages, but options are limited.

This is why most UK buyers use either a German mortgage or remortgage their UK property to release funds.

However, you may find seeking professional financial advice is useful before leveraging UK assets - it’s important to make sure you can afford the repayments.

Do banks offer Buy-to-Let mortgages in Germany?

Yes, non-resident investors can apply for a buy-to-let mortgage in Germany, but you should expect higher deposits, lower LTV ratios and a requirement for evidence of strong rental income.

Refinancing a mortgage in Germany

It’s also possible to remortgage a property in Germany, which is useful if you want to reduce interest rates, extend your loan term or release equity.

You’ll just need to make sure you can afford the repayments and aren’t overstretching yourself. Remember, fees may apply too, so be sure to conduct a cost-benefit analysis first.

Types of mortgages in Germany

Germany offers a wide range of mortgage products, with long-term fixed rate borrowing being the most popular.

Understanding the differences between the types of mortgages can help you to choose the most suitable one for you - based on your financial goals and risk tolerance.

Fixed-rate mortgages

Fixed-rate mortgages are the most common mortgage type in Germany, especially among residential buyers. With this type of mortgage, the interest rate is locked in for a fixed period, usually 5 to 30 years.

The key advantage of this is that you’re protected against interest rate rises and have more stable and predictable budgeting.

However, this type of mortgage does often come with slightly higher initial rates. You may also face early repayment penalties if you refinance or repay early.

Variable-rate mortgages

Variable-rate mortgages follow market interest rates, typically linked to Euribor. This means that monthly repayments fluctuate depending on economic conditions.

While initial rates may be lower than fixed-rate mortgages, they can rise sharply if interest rates increase. This means that this type of mortgage does come with an increased financial risk.

Interest-only mortgages

Interest-only mortgages are rare in Germany and are typically restricted to high-net-worth individuals, commercial investors and institutional buyers. With these products, borrowers only pay interest during the loan term, with the capital repaid at the end.

While this reduces monthly payments, it requires strong long-term financial planning and carries higher risk.

Mixed mortgages

Mixed mortgages combine two or more interest structures. For example, it might start with a fixed rate for the first 10 years and then move onto a variable interest rate.

This allows borrowers to balance stability with flexibility, making them popular among buyers seeking medium-term security.

Final tips for non-resident mortgages in Germany

Hopefully after reading this, you’ll see that getting a mortgage in Germany from the UK is possible, but there are some challenges to overcome.

That being said, you can get prepared and boost your chances of approval with the following tips:

• Prepare documentation early
• Build a financial history in euros where possible
• Work with bilingual brokers
• Budget for high transaction taxes
• Use Wise for low-cost transfers.

Manage overseas property costs with Wise

If you’re sending your deposit and mortgage fees to Germany from the UK, you may incur hefty transfer and exchange fees when converting your British pounds to Euros (EUR). This is where Wise and the Wise account can help you save money.

Open a Wise account online and you can start managing your money in 40+ currencies. It’s not a bank account and offers customers an alternative option to a conventional bank account, but has similar features.

Here’s an overview of the main benefits for using Wise:
Fast and easy setup with no physical paperwork Low, transparent fees* Mid-market exchange rate for currency conversions Fully trackable transfers Fast transfer times Advanced security features with two-factor authentication and real-time notifications Dedicated support for large transfers

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FAQs

Can I get a mortgage in Germany as a UK citizen?

Yes. UK citizens can apply as non-residents, though they typically face stricter lending criteria and higher deposits.

Is it easy to get a mortgage in Germany?

It can be challenging to get a mortgage in Germany due to conservative lending and documentation requirements, but it is certainly possible.

Can I get a buy-to-let mortgage in Germany?

Yes, but with lower LTV and higher deposit requirements.

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Sources used:

1. Property Tax International- German Mortgage Requirements
2. Investropa - German Mortgage Timeline
3. Just Home - German Mortgage Fees
4. Property Tax International - German Mortgage Charges
5. Expatica - Getting a German Mortgage

Sources last checked on date: 24-Feb-2026