Analysis of our financial situation

Thank you all for the answers! I will try to respond to the first ones here.

How big is the single-family house? A complete renovation is often not cheaper than a new build. Do you already have reliable figures for the renovation?

The house is about 250 sqm, including a possible small granny flat (currently not rented). The figures for the renovation are (still) based on benchmark values from the internet. We looked at the house on site with a professional who showed us what should be renovated.

How high would the monthly installment be?

We have difficulty with this point. For us, a fixed loan installment of around €2,000 would be conceivable, supplemented by fixed planned special repayments. I do not want to set the fixed loan installment too high so as not to be too restricted in case of children, etc.

830k with 7.4k (temporary) monthly ... Feasible? Yes. I would never do it! May I ask where you come from or in which city the house is located? Or is the house near your apartment? Because the house seems very expensive at 870k total costs and your rent relatively cheap (I assume you don’t live on 30 sqm).

The house is less than 15 km from our apartment. The relatively cheap rent is due to the fact that we have been living in the apartment for over 7 years and there have been no rent increases since then. 7 years ago, rent prices were also more reasonable. We live in southern Baden near the Swiss border.

May I ask why you would absolutely not do it?

When builders take out an affordable loan with something over €4,000, there remains about €2,500 for living expenses after a repayment of €1,500, which is usually sufficient. You, on the other hand, could invest about €4,500 for your loan with over €7,300. Whether you want to or whether your household budget, see personal ancillary costs, allows it, you have to calculate yourself. There is too little information, see https://www.hausbau-forum.de/threads/welche-Infos-um-Finanzierung-Angebot-bewerten-zu-koennen.18200/

We have been keeping a household budget for several years, so I can oversee the cost side well. The stated average monthly savings rate corresponds to that from 2018. This has increased in recent years due to salary increases, but even in the years before, we already had a "decent" savings rate. The stated equity also came from this.

The cost side has remained more or less constant in recent years.

Renovating a 250sqm house in BW does not cost 270, rather tendentially about twice as much. But maybe you don't mean a full renovation? 2000€ with that income I don't see as a problem, but I wouldn't do much more. Therefore, definitely check point 1.

No helpful advice that I can see.

If I know nothing about the house except the year of construction, as well as renovation and modernization costs, I don’t understand how I am supposed to evaluate and assess it and make a statement. Then it would have to be a bargain (what exactly is that and who says this house is not a "bargain"?), which shows how superficial the post is. It brings no added value and helps no one.

Moreover, typically in forums, what is the original question of the OP? Whether it makes sense to buy the house (which he can certainly assess better on site than we can with the 2-3 pieces of information) or rather how we assess the financial situation?

In addition, I always find it helpful when a thread is opened and fresh, that besides answering the question, you ask questions that help to better assess the OP and the project and thus be able to provide more well-founded help.

Noelmaxim, constantly trying to educate the other forum participants doesn't help either. A forum is such that private opinions flow in and additional, personal comments are posted beyond the actual question. If it were solely about concrete numbers for the OP, they would be better off on a comparison portal rather than in a forum. One can, I think, assume that the OP deliberately positions the question in a forum because they want to hear (always subjective) opinions from others. Just ignore these answers if they bother you.

In general, the costs for a genuine core renovation are calculated to be the same as for a new building. According to current experience, that is about 2000€/m^2.
The assumed financing requirement would therefore be far too low if a core renovation were actually to take place.

Noelmaxim, constantly trying to educate the other forum members doesn’t help either. A forum is such that private opinions come into play and additional, personal hints beyond the actual question are posted. If the original poster (OP) were solely interested in concrete numbers, they would be better off on a comparison portal rather than in a forum. I think one can assume that the OP consciously positions the question in a forum because they want to hear (always subjective) opinions from others. Just ignore these answers if they bother you.

In general, the costs for a genuine core refurbishment are calculated the same as for a new build. According to current experience values, that is about €2000/m^2. The assumed financing requirement would therefore be far too low if an actual core refurbishment is to take place.

It was just a suggestion to bring a bit more structure to the finance sub-area and to bring structure to answering the created threads.

Do you think it makes sense that in a subthread about financing, comments about a house are given unsolicited on an analysis of the financial situation where no information at all is available, initially not even where the house is located (which wouldn’t help either)? Or wouldn’t it be more sensible to at least ask a few questions in this regard, precisely to get more information for an evaluation/assessment, before answering unsolicited and apart from the OP’s wishes? Possibly also giving the OP the opportunity to indicate that this is not the issue?

I’ll then also just overlook it, or try to, but I still consider more structure to be more sensible. Then someone replies with nonsense, then the next one replies to that, and the actual path is lost.

If it’s already unsolicited and off the core topic, then at least be well-founded and not with any trivial and senseless stuff!

That’s my opinion, and I’m sure it will be heard more often ops:

Do you think it makes sense that in a subthread about financing, comments on a house are made unsolicited regarding the analysis of the financial situation, where absolutely no information is available, initially not even where the house is located (which wouldn’t solve anything either?), or wouldn’t it be more sensible to at least ask a few questions about this to get more information for an evaluation/assessment, in order to then respond unsolicited and without the OP’s wish? Possibly also giving the OP the opportunity to state that this is not the point?

Yes, I think it makes sense, as it is directly connected to the financial question. The OP is free to take what is written or ignore it. I see no problem there. On the contrary, it would rather be unfavorable if everyone here writes that it fits perfectly based on the numbers, and in a possible parallel thread it turns out that the initial situation is not correct at all. That possible parallel thread might not even exist, so the standalone result of the "bare numbers" here is completely worthless. Personally, I see no benefit or added value in that for the OP. As I said, just ignore it. It doesn’t need to bother you. You can still position your offers anyway...