Book on Real Estate Financing

Without major cuts in the standard of living, the estimate sounds quite realistic to me. In my opinion, a family income of much less than 3000€ should not be expected if you have to finance a house including the land...
Just my small car for the commute already costs about 500€/month when I consider all the expenses including depreciation. Ok, if you commute by bike, you can almost deduct this amount 1:1. In that case, correspondingly about 2500€ as family income.

Hello Merlin,

following your general consideration, a family of three consisting of father, mother, and child would first need to have an income of 2200 euros for themselves. Let's say 500 euros for cold rent and 300 euros for additional costs, making a net monthly income of 3000 euros.

Please show me how realistic this is.

I believe that financing a property should not overly restrict one’s lifestyle. If you own 2 cars as a homeowner, want to go on vacation once a year, and do not want to live solely on bread and water, then you need at least around EUR 2,200 after financing. Usually, every month there is some unexpected expense that was not planned. A new piece of furniture, insurance premiums, some flight or train costs to visit friends and family, new tires or other car repairs, some nonsense from Amazon that you couldn’t resist, new clothes (possibly work clothes/suits), or some friends who think they have to get married (gifts).

Then the circle of property owners must be quite small, because a family net income of 3TEUR is likely to be a clear minority of the population.

So we don't spend 2TEUR a month (with 3 people) and can still afford a car and vacation. Maybe not 3 weeks in the Maldives, but that is up to each individual.

Huh? 3000 euros family income is 2x1500 euros craftsman salary. Every full-time childcare worker or nurse earns at least 100-200 net more. If 2 unskilled workers want to finance a new building 100%, it’s going to fail anyway. The proposed values are roughly about right as a ballpark figure. It is fashionable here to tear every flat value apart in the air.

Usually, not both parents work full-time when children are involved ;)

My wife would barely earn 1000 euros net full-time - in a craft profession. So, let's just keep things in perspective...

We do have two not small cars, but we only have them because I can repair the boxes myself. Fortunately, the monthly costs are manageable and they no longer lose value :D

Right Payday, because flat-rate values are completely useless. One bank calculates with x euros, another with y euros. You yourself with z euros... and now?

My conclusion is and remains: It depends on the personal circumstances and the individual case. And precisely there flat rates are not usable.

They can AT MOST serve as a first ROUGH orientation, and not even that.

Lexmaul is right, as a young family you are on easy street if you somehow bring home 3k.

For us, it is currently 2,200 euros including child benefit despite vocational training, advanced training, and when my degree is finally recognized it will be 2,500 euros.