Building cooperatives with individual ownership

The funding program “Building Communities with Individual Ownership” by IFB Hamburg supports private individuals in the Hamburg region in the initial occupancy or new construction of owner-occupied residential property within communal building projects. Eligible are households with at least three children or a severe disability of ≥ 80%. The funding rate ranges between 80% and 90%, with a low-interest loan granted for up to 180 months (15 years fixed interest period). Additionally, grants may be applied for. A prerequisite is compliance with the income limits according to the Hamburg Housing Promotion Act (total income may be exceeded by up to 100%) as well as the obligation to self-use the property. An equity ratio of at least 10% to 20% of the eligible costs must generally be demonstrated.

The application must be submitted before construction begins or before contract conclusion. Evaluation is based on compliance with income and cost limits, household size or degree of disability, as well as the equity ratio. Eligible expenses include the new construction of residential property as well as acquisition measures. The application must include the application form, proof of number of children or disability, income documents, and proof of equity. After positive review, the funding is secured as a first-ranking charge in the land register. This program is specifically aimed at larger families and people with disabilities who wish to live and build communally and makes a decisive contribution to creating affordable, owner-occupied housing.