haus_hessen
2019-11-10 02:36:57
- #1
Hello everyone,
buying in Rhein-Main is simply expensive. The question we ask ourselves (like everyone else, who, however, is better capitalized) is whether we are overextending ourselves with our financing plan. Here we have found a property that allows us to reasonably commute to Frankfurt, Wiesbaden, and Mainz (<35 minutes) as employees, in case of a future job change for whatever reason.
Key data:
joint net monthly income: 5000 EUR
of which
- 2500 from my wife, 31 years old: employed in the public sector ((not yet) tenured);
- 2500 from me; financial services provider, 29 years old.
Fixed special payments are included in these figures.
We expect there is still room for salary increases (e.g. if my wife becomes tenured). Changes are already emerging, but what is not fixed, is not fixed. We plan to have 1-2 child(ren). We plan without inheritances in the coming years.
We can manage about 100,000 EUR equity in order to exactly reach the 90% financing. The new build we are interested in costs 600,000 EUR commission-free + 8% incidental costs.
We will probably receive about the following conditions for our plan (results of initial talks and inquiries with two major credit brokers):
For full repayment with a 30-year term and 30-year fixed interest rate:
1.55% effective interest
This results in a rate of 1950 EUR over 30 years. (The initial repayment is about 2/3 of the rate, i.e. the monthly interest is about 650 EUR)
Do you have any pointers on how to check if the financial situation suits oneself?
Are alarm bells ringing for you already?
Or do you have tips on how to improve the whole thing?
Money for the move (double rents, etc.), kitchen, necessary furniture, and small items (lamps, curtains, etc.) is already secured. However, we cannot finance special requests (we do not want more than the standard from the building description: tiles, painter’s fleece, parquet, described room layout, fixtures, ...). Here I am unclear whether it is even realistic to plan that no further (major, i.e. > 5000) costs will be added.
Our idea is also not to mess up the property with unpopular decisions in order to be prepared for new possible life plans in 15 years or later during downsizing/relocation in old age (through an appropriate resale value).
Maybe something will occur to you regarding our topic.
We would be very grateful for the input.
buying in Rhein-Main is simply expensive. The question we ask ourselves (like everyone else, who, however, is better capitalized) is whether we are overextending ourselves with our financing plan. Here we have found a property that allows us to reasonably commute to Frankfurt, Wiesbaden, and Mainz (<35 minutes) as employees, in case of a future job change for whatever reason.
Key data:
joint net monthly income: 5000 EUR
of which
- 2500 from my wife, 31 years old: employed in the public sector ((not yet) tenured);
- 2500 from me; financial services provider, 29 years old.
Fixed special payments are included in these figures.
We expect there is still room for salary increases (e.g. if my wife becomes tenured). Changes are already emerging, but what is not fixed, is not fixed. We plan to have 1-2 child(ren). We plan without inheritances in the coming years.
We can manage about 100,000 EUR equity in order to exactly reach the 90% financing. The new build we are interested in costs 600,000 EUR commission-free + 8% incidental costs.
We will probably receive about the following conditions for our plan (results of initial talks and inquiries with two major credit brokers):
For full repayment with a 30-year term and 30-year fixed interest rate:
1.55% effective interest
This results in a rate of 1950 EUR over 30 years. (The initial repayment is about 2/3 of the rate, i.e. the monthly interest is about 650 EUR)
Do you have any pointers on how to check if the financial situation suits oneself?
Are alarm bells ringing for you already?
Or do you have tips on how to improve the whole thing?
Money for the move (double rents, etc.), kitchen, necessary furniture, and small items (lamps, curtains, etc.) is already secured. However, we cannot finance special requests (we do not want more than the standard from the building description: tiles, painter’s fleece, parquet, described room layout, fixtures, ...). Here I am unclear whether it is even realistic to plan that no further (major, i.e. > 5000) costs will be added.
Our idea is also not to mess up the property with unpopular decisions in order to be prepared for new possible life plans in 15 years or later during downsizing/relocation in old age (through an appropriate resale value).
Maybe something will occur to you regarding our topic.
We would be very grateful for the input.