400k house estimated - became a 470k house / an experience report

it is not.
If it is not paid off yet, it still belongs to the bank. And if for some reason you can no longer pay - they will sell it right out from under you.

It may feel different for everyone and for many it feels the way you described, but legally it is a complete misconception.
So the first part, the second is then the exercise of their right of the mortgage as security.

Mentally, it already makes a difference for peace of mind when the little house is paid off. No question. Still, I am not a fan of the mindset "My house belongs to the bank." The bank has a contract with me and as long as I fulfill my obligations under this contract, the bank doesn't own anything. If I don't meet contractual obligations, I get kicked out everywhere. Whether it's my house or a rented one.

I am being carried out of here by the undertaker. The land register shows no claim from anyone. This is my feeling of ownership. Have you ever been to foreclosure auctions and experienced how dreams fall before the sharks?

No. But property is not important to me either. I don't have to call anything my property, neither a house nor a car. There are other things that are important to me in life.

If it is not paid off yet, it still belongs to the bank.

Stupid thinking. It belongs to you - you are the possessor and owner. Nothing more and nothing less.

And if for some reason you can no longer pay - they sell it out from under you.

No, the bank does not do that. If you mess up your life and can no longer pay, the bank has it auctioned off and does not sell it. It is exclusively your "fault" if you ruin your life before the bank. Not the bank’s fault, which does nothing and simply waits for its installments. The "evil" bank does not exist, only the insolvent customers who never have any fault for it...

I believe it is mindset. When you lease cars, they do not belong to you either. However, I don’t think about that, it is in my possession and I treat it accordingly.