Assessment of financing scope with 4620 euros net

The sound barrier, having to pay off a mortgage by retirement is at best a conservative custom, but for some also a paralyzing chimera.

It is not just a conservative custom. Financing into retirement is something you must be able to afford unflinchingly. But who can already estimate that now? At some point burnout, herniated disc, or unemployment in old age will happen and the pension will be very meager. The thread starter is a good example. He said about himself "Training was done very late [..] Long time in short-time work and without a job." Here is my urgent advice: Make sure you have paid off the house by the start of retirement; the pension will be low.

These are all real warnings (against which one can also insure oneself), but I argue that otherwise one would have to pay the rent anyway, so all the misfortunes you mentioned would lead to the person not being able to pay their rent in retirement either. Only then would they also not have a property that they could sell or mortgage if necessary.

As a tenant, you wouldn't be stuck in a house that is way too big, for which you have to pay not only interest and principal but also all maintenance costs. Old-age poverty despite owning a house is anything but rare. What do you think is the reason there are so many rundown houses that can only be completely renovated?

would lead to the person not being able to pay their rent in retirement either.

No, definitely not. The state would top up accordingly. No one in Germany has to live on the street. There is simply no fundamental right to live above one's financial means in an overly expensive housing form. You have to move.

Well, I mentioned this earlier that you have to save up the maintenance reserve in time, namely before it becomes necessary, and carry out maintenance when it becomes necessary, not only when it’s overdue where it might be even more expensive and cause consequential damage. And still, the person would then have a property that they can sell if necessary. They can still rent afterwards; the way back is not blocked.

Regarding your second post: There is also a relatively high hardship limit. So up to 80, in individual cases even 90m² per person, there is no forced relocation. In that case, the interest would also be covered and the repayment can be suspended. Or you simply sell after all and move into a smaller apartment. That option is not gone.

The pension gap should not be underestimated. You not only receive significantly less, but you also have to pay full taxes on it (unlike Grandma and Grandpa), plus health insurance. For these two here, I would assume a pension of about €2500, possibly less (longer time without a job). From that, €500 is deducted for health insurance and taxes, then another deduction for inflation. The new building of today will be an old building in 30 years and will require maintenance. No large installment should be due for this to be financially reasonable.