Property finance in Germany.
Germany is a bank-led, amortising market. A short-term product exists — Zwischenfinanzierung — but it is slower and structured differently from a UK bridge, with notarial security. We arrange development, investment and structured facilities there for corporate and SPV borrowers.
By Dominic Whitecross, Co-Founder, HyLend. For corporate and SPV borrowers.
How lending works in Germany
Germany is a bank-led, amortising market. Its short-term product, Zwischenfinanzierung, exists but is slower to arrange and structured differently from a UK bridge, and security runs through a notarial process. German banks overwhelmingly prefer amortising facilities assessed on the borrower's ability to service the debt, rather than exit-led lending against a future sale or refinance.
Where UK-style flexibility is needed it tends to come from international and private lenders rather than the domestic banks — a narrower field, which affects pricing more than any rate sheet.
What we arrange in Germany
Across the whole of market, always via a lender licensed or permitted in Germany, we arrange the same families of facility we do in the UK — structured to how Germany actually lends:
- Short-term / bridging where an international or private lender supports it, at higher minimums than the UK.
- Development finance for corporate developers, against cost and value with staged drawdowns.
- Investment and term facilities to hold income-producing assets, typically the most available product locally.
- Specialist and structured capital — equity, mezzanine and larger raises on complex or cross-border mandates.
How we work on a Germany deal
We arrange and introduce; we are not a lender. Facilities are arranged with lenders licensed or permitted in Germany, and local legal and tax advice is taken in-country as a matter of course.
Corporate and SPV borrowers, on non-regulated purposes. We do not act for individuals buying residential property for their own occupation in Germany or anywhere in Europe — that work is regulated locally and a regulated broker in-country is the right route.
We will tell you early if a deal is not placeable. HyLend Limited is a UK credit broker and does not hold or claim authorisation to conduct regulated credit intermediation in any EU member state.
What to send us
The location and asset, the borrowing entity and where it is incorporated, the amount and term, and the exit. If a local bank or lender is already involved, tell us. We will come back on whether it is placeable, roughly where pricing sits, and what the structure needs to look like — before anyone spends money on fees.
Germany property finance FAQs
Can you arrange bridging finance in Germany?
A short-term product, Zwischenfinanzierung, exists but is slower and structured differently from a UK bridge, with notarial security. UK-style flexibility usually comes from international or private lenders. We arrange for corporate and SPV borrowers.
Do you lend to individuals buying a home in Germany?
Yes, for corporate and SPV borrowers on non-regulated purposes. We do not act for individuals buying a home for their own occupation — that is regulated locally and a regulated broker in-country is the right route.
Why is German lending different?
German banks prefer amortising facilities assessed on debt service, not short-term exit-led lending. That, plus notarial security and a narrower non-bank field, shapes every deal.
What is available in Germany?
Development, investment and structured facilities for corporate borrowers, plus Zwischenfinanzierung where it fits, via lenders licensed in Germany.
Currency: the cost line most borrowers miss
On a German deal, the exchange rate can move the economics more than the loan margin does — deposits, drawdowns, interest and the eventual exit all cross currencies, and banks rarely price that well. We work closely with Total Currency Exchange, a UK currency specialist whose payment services are provided through FCA-authorised partners, for competitive rates and properly managed transfers on cross-border deals.
Want an introduction? Tell us when you send the deal — or ask us directly — and we will connect you personally rather than leaving you to a web form. We do not provide currency advice; timing and hedging decisions remain yours with your FX provider.
How the property will be valued
Valuation practice is national, not European, and the differences are not cosmetic. Germany adds a step that surprises UK borrowers: alongside market value, banks lend against Beleihungswert, a deliberately conservative long run mortgage lending value set under a statutory methodology and designed to strip out cyclical peaks. It is normally below market value, and it is the figure that caps your leverage.
Two things hold true across every market we work in. The valuer is instructed by the lender and reports to the lender, not to you, whoever pays the fee. And the figure the lender applies its leverage to may not be the market value in the report — several European lending regimes work from a deliberately conservative value beneath it, in the same way UK lenders use restricted marketing period figures.
Build the valuation into the timetable rather than treating it as an administrative step: on cross border commercial deals it is routinely the longest single item. The full valuations guide →