Loans in Cities Skylines 2 are important as they will help you in your city development. But you can’t just go and take a loan from the very start. To unlock the loan button, you need to reach the “Little Hamlet Milestone” by reaching a total population of 500 residents.
Process to take a Loan in Cities: Skylines 2
You can take loans in two easy steps! First, you begin by clicking “City Economy” at the bottom right corner.
It would open up the general menu to control your City’s economy and budget in Cities: Skylines 2. You can see several options here, but what you’re looking for is the “Loans” right next to the other categories. In this tab, you’ll see a few things that are essential for you to understand when taking loans.
You can utilize the slider to adjust how much loan you want and press Accept to get the loan you require. The important things to note here are:
- Interest Rate
- Monthly Cost
- The Bar Graph
The interest rate would increase the money you’ll be paying back. In loans, it is not as simple as borrowing the money and then returning the exact sum in Cities: Skylines 2. Due to interest, you will have to always pay the money back with set interest.
This affects your monthly cost as well, which means you’ll need to use the money in such a way you will make more money to supersede the City’s expenses – which are highlighted in the graph.
If your expenses exceed the income, then the City is failing economically. The balance needs to be tilted quickly, which means more focus on money-making.
How to make money and repay loans
Borrowing money is a disaster for any economy in Cities: Skylines 2. The first thing which I highly recommend is not to take loans in the first place. Taking loans increases the amount of money you’re spending alongside the pressure of returning the borrowed money with interest.
The second important thing I can suggest is to reduce your costs tremendously. You need to turn in profits to pay your debt back. Tear down the buildings that do not give you any profits, and they would return you 75% of the spent money.
While continuing to reduce the fees, you can fiddle with the budget. Slightly raise the taxes and pull the budget from safety departments like the Fire Truck or Police or maybe even the Ambulance. These services need to have a massive budget cut, which affects the area you’re in.
The third and final option is to improve your exports and reduce your imports in Cities Skylines 2. If there are any additional resources, like electricity, you should think about selling them outside. The more things you sell, the more money you’ll bring home.