Architect's house in Pforzheim - Offer too expensive?

We also have a 2-room apartment with about 55sqm in the extension to rent out later (or Air BnB, we'll see...). The rental income is quite nice, but basically the bank is not interested in that for financing purposes. Only the monthly salary income and fixed costs count. The rental income is a bonus, which could be set aside as reserves for the house.

If I understood correctly in our consultation talks, the bank advisors also deduct a certain portion of the annual rental income when calculating the loan (is it 30%?), since a possible vacancy of the rental apartment is taken into account.

To the thread opener:

Is it not possible to get in touch with builders of identical houses near your (building plot), or don’t you know any? They might be able to give you tips regarding developers, companies, and construction costs.

PS: Are offers from the KfW bank and possibly subsidies for energy-efficient building also included in your financing plan? To me, the 1500€ monthly costs for the specified loan amount seem very high. Or is it a term of only 10 years?

We also have a 2-room apartment with about 55 sqm in the extension for rent later (or Air BnB, we'll see...). The rental income is quite nice, but basically the bank is not interested in that regarding financing. Only the monthly salary income and fixed costs count. The rental income is just a bonus, which you could set aside as reserves for the house.

If I understood correctly in our consultation talks, the bank advisors also deduct a certain part of the annual rental income (is it 30%?) in the credit calculation because a possible vacancy of the rental apartment is taken into account.

To the thread opener:

Is it not possible to get in touch with builders of identical houses near your (building plot), or do you not know any? They might still give you tips regarding contractors, companies, and construction costs.

PS: are offers from the KfW bank also included in your financing plan and possibly grants for energy-efficient building? The €1500 monthly costs for the stated loan amount seem quite high to me. Or is it a term of only 10 years?

The bank already takes the reduced income into account. We rent out another apartment for almost €1500 cold. The bank fully included that as far as I remember. But it probably also depends on the location and condition, I assume.

€1500 at 1.5% interest and 2% repayment for almost 500k is not too high, right?

€1500 rental income per month is definitely a big number! We only have €350. I read something about €300k equity, so around €230k(?) would still need to be financed. That's how I understood it. Then €1500 monthly interest would be quite a lot. Although the rental income pays off the loan independently, so the financing is easy.

No, unfortunately not. The building plot alone costs 310k. The 500k, meaning the house, we have to finance. I hope at least that it stays that way.

As a layman, I can only compare it with our project of similar size. Accordingly, I can only imagine the 410,000 in a simple (or rather simplest) execution.

In addition:

[*]Building permit and insurance
[*]Furniture to fill the 180 sqm, lamps, kitchen, fireplace

[*]Carpets, pictures, flowers, curtains, decorative stuff, etc.
[*]Outdoor facilities and plants for the garden

Even in a simple execution, I wouldn't dare to keep that under a 500k budget.

Where did you actually build? I read in earlier posts from you something about €380/m³ you paid. Is that value still current? With that, I would easily reach the 410k.

Regards Steffen

Hello again everyone,

I have another question for the experts among you:

In our case, according to the development plan, 3 full floors are allowed to be built. Since the costs for earthworks in BW, especially in the Stuttgart region, are skyrocketing, my idea was to forgo the basement and simply place this as a full floor on top. Quite a few neighbors have done it this way where the building plot was relatively level. However, the height difference in the building window is about 1 m ascending for us.

Now the question is, what is more economical: 2 full floors with a basement (possibly a white tank) or 3 full floors without a basement. I asked our architect about it, but he wasn’t quite sure. The representative from Spektral said the basement would be 1.5 times more expensive.

It must be said that I want to use one room in the basement as a hobby room, meaning screed and underfloor heating, as well as electrical installation. The rest does not initially need to be expanded as a living basement. It should just serve as a storage area.

Has anyone ever faced the same problem?

Best regards Steffen