Alternative financing for home purchase

500,000€ loan at 2% interest and 2% repayment is a 1666€ monthly rate. Where does the assumption come from that it is 1050€ per month?

With 2% over 25 years, I wouldn't even consider a 10-year fixed interest period. Inflation is on your side. 1% over 10 years might be possible but probably not with an insurer, they are usually good with long fixed interest periods and bad with shorter ones.

500,000 euros loan is needed yes, but you overlooked the 190,000 euros equity. In the end, we are talking about a loan of 310,000 euros. Then the 1,050 monthly fits.

500,000 euros loan is needed yes, but you overlooked the 190,000 euros equity. In the end, we are talking about a loan of 310,000 euros. Then the 1050 monthly fits.

The confusion arises because you are talking about a 500,000€ loan. This is your total capital requirement, from which 190,000€ equity must be deducted. Then the rate also works out.

310,000€ with 2% doesn't sound bad, and if it's for 20 years even better. :D