Bank loan vs building savings contract?

Bob is absolutely right

there is no either-or, it will always be a mixture

a home savings contract is only interesting up to an amount where you still receive bonuses in Germany that is just under 1000 per year
of course, you can also arrange a larger home savings contract, but in my opinion not sensible

rather use other financial instruments, like the life insurance just mentioned

but just for your information, we in Europe (excluding Switzerland) do not currently have a low interest rate phase... the ECB has set the key interest rate at 4% and will probably raise it in July due to inflation fears...

that means... maybe invest money abroad in July and take out a loan in Switzerland

A building savings contract is essentially the better alternative, as a building savings contract is designed to finance a house. Therefore, I advise you to use a building savings contract.

Can you afford to pay interest on such a high amount?? I couldn’t and would decide to save for a home.

The interest rates are really lousy right now, so maybe the building savings contract isn't really worth it?! If the interest rates are that low, then I'd rather take out a loan.

I think it is most common to mix both. -My sister has a [Bausparer] and a loan. I also think that is best. I will do it that way too.

But I think it's especially important to always remember that you have to pay back the loan.. so maybe it shouldn't be too high, otherwise you end up paying interest longer than you live in the new house ;)