Brainstorming for a possible move in the Hildesheim area

Hello everyone, first a rough background situation. We want to help a couple of friends and need some advice from you. He (34) and his wife (30) both work full-time. He works in Hanover and she works in Hildesheim. Currently, both have to commute by car because they are financing a semi-detached house they live in near Wolfsburg. The problem: Both do not want to commute so far in the future and have the idea to buy a building plot through the municipality between Hanover and Hildesheim. They want to build a single-family house on it and then rent out the semi-detached house.

Does it make sense to take out a loan for the construction of a single-family house here? Or are there other alternatives?

If you need more information, just let us know.

Is it sensible to take out a loan here for the construction of a single-family house?

If they don't have any cash for the land and the house in the bank account, they have to finance it. How else should it work? They can't buy land this year with rent from two years from now. Plan B: change jobs to somewhere near the place of residence, whatever that may be.

So the jobs are fixed. In other words, it makes no sense to change the job since they are very well paid. The current rate for the semi-detached house can be paid with the rent received. The remaining capital can then be used to pay off the new house.

From my point of view, there are three items on your to-do list: 1. come up with a more appropriate subject line - "Ideenfindung für einen möglichen Umzug" misleads readers into thinking this thread is about moving help / finding a moving company or similar. 2. then ask a moderator to move the thread to financing questions, because that’s obviously where it belongs. 3. consider an object exchange, i.e., swap the security "current house" in the financing for "house to be built" and sell the current house (in the right forum section this is almost an FAQ topic, you just need to use the forum search!), because a collection album with two properties is nonsense - especially if one is owner-occupied and one rented out and both are "the same size".

Doesn't it make sense to rent out the other property? If the property is sold, prepayment penalties will arise. I will look around in the other posts to see if there is a similar situation.

Again: if they have enough money to pay for the new project in cash, they can do whatever they want. What do you want to know now? You finance when you don’t have enough money… You sell to have money for something new. What they do with the other house doesn’t matter then. They can decide that once they have moved. I don’t understand the current situation you described. Is it that you are rather talking about yourself? Otherwise, they should join the forum themselves - that’s best.