Build a 2nd house and sell the 1st one - How to finance?

I have to check again whether there was a rule here regarding how long one must live here when buying property.

Such a rule is void or not permitted in the first place. There can be owner-occupancy rules that you then pass on to the buyers (so that they are not allowed to rent out), but that is all.

We had a detached house built, solid construction, built in 2017/18.

I remember :)

I just find it hard to imagine that you can now sell a house for €700,000 and then say, "yeah great, but they (new buyer) can only move in in just over a year" ...

Done that myself. Household goods are stored in a container and then it's a holiday apartment. I know some who lived four people in a small holiday house.

So, now I take €700k from another bank

Same bank = property switch possible; different bank = prepayment penalty.
I also consider the cost equalization nonsense: 2017/2022 there are 1/5 more construction costs. Then the plot... and a 150 KS is also more expensive than a 120...
Then you want 20 sqm bigger, then a bit more and better...
You basically have to invest your "decent profit" from a new build for the same house.

... and in the end the neighbor is dumb again... ;)

Hi, we are currently doing the same. We are moving out of our current apartment in NRW in mid-May. From June 1st, we have rented a holiday apartment in OH until the end of the year at a flat rate (The furniture will be stored). Conveniently, our -rented- house in Hannover will be empty in May and June due to tenant change, so we will somehow stay there during the last weeks of May and use the time to renovate. Hopefully, our new house on the coast will be finished by the end of the year, otherwise, we will just stay longer in the holiday apartment. Regards Olli

Bridge financing and repayment of the loan with prepayment penalty or pledge exchange of the property.

In terms of process, I tend to prefer option 1 without having calculated it. That way, there is no sales pressure.

Find that interesting - since the house was only completed in 2017, taxes are still due on the profit. That means half the profit is "lost". It’s only tax-free after 10 years, right?