Build a house, buy a house, or...?

Construction cost control Rhineland-Palatinate for 1 year: 4% (over all). Just as an example. If I now take 300,000€, that means 12,000€. Just something to think about....

Construction price control Rhineland-Palatinate for 1 year: 4% (over all). Just as an example. If I now take €300,000, that means €12,000. Just something to think about....

Do you mean construction price management? Really a difficult topic overall, but that's why it's really good to get so many remarks and considerations about it. We are planning to have a second child soon (if it works out). My wife will therefore not work again for the time being. The house in the family that we might eventually get is currently inhabited by grandma and of course we hope for a long time, even though she is already a certain age. We would extend the house, convert the attic, and also partially tear down walls. But we have not made more detailed plans about that. Something else to possibly consider—I don’t know to what extent this plays a role—is that in the longer term we will also receive considerable assets as gifts/inheritance. I have a sister and my parents own two houses plus the one they live in themselves. They would have also transferred the current house we live in to us, but since we don’t want to live here forever, that was not an issue.

Yes, I mean construction cost control for building a single-family house. Some trades have different inflation rates; I simply took the overall value. By the way, it is also interesting when you have a fixed-price offer (for a few months) and then, for example, 0.n% is added per month: due to inflation, one can say that a 0.3 to max. 0.4% "price surcharge" for each month "later" is appropriate, but no more. For example. I always try to inform myself in advance about such developments. The future is, of course, associated with uncertainties and is not conclusively calculable. In certain situations, a rough estimate is enough. And in terms of construction inflation, I do not see any really substantial relief in the next at least 2 years. However, it must also be considered that not only construction activity in Germany is responsible for certain inflation elements. The fact is that home builders are very well booked on average for the next 2-3 years. Some providers have construction projects "on hold," which can only be realized in 2021 or even 2022. Against this background, if the financial situation allows it today, I would not wait to build. Of course, there can be conditions that lead to waiting longer (as in our case). For cost reasons, I would prefer to start today....

Ok, if your wife does not go back to work for the time being, I don't see a house being built before she returns. Parental allowance for child 1 will expire soon. Then you will initially have only 1 salary + 1 child benefit, which is about 3,700 EUR (minus your private health insurance). That is too little for a loan of realistically 300k - 350k (or it would be too little for me, it may be that a bank would still finance it). If a second child comes soon after, you will be at just under 4,200 EUR during this parental allowance period (minimum rate of parental allowance). After parental allowance for child 2, at 3,900 EUR. I would wait until your wife goes back to work part-time. And until then, the situation with the used property can be better assessed.

I agree with the others. I would simply visit model home parks and walk through new development areas in the near future to check out the companies. Also consider the room program, which rooms would I like, preferably ground floor or upper floor, zoning plan? Then make appointments with the friendly companies and see what prices are being offered. Perhaps first consult with the bank or financing advisors to explore what loan amount would basically be feasible for you. And in the meantime, of course, continue saving. It will take some time until the house is actually built, so you have time to find out what you want, what it costs, and what you are willing to pay.

I have spoken with my parents; if we want to build a new house in the next few years, they would most likely sell the house we are currently living in and split the sale price between my sister and me. We are going to [Mühlheim-Kährlich] tomorrow to the [Musterhauspark] to just have a look around.