Building a house now or in 3 years / interest rate development

Even if the girlfriend should finish her studies this semester: teaching degree still means at least 1.5 or even 2 years of internship (+ possibly an extension due to a child or failed teaching trial, which can quickly happen to even the best people, sometimes due to factors beyond one’s control. Bavaria is not exactly known for its kindness). And what happens afterwards? Direct tenure or first being released every summer holiday for several years?

I can't take the OP seriously at all

I can't take the OP seriously at all

And I can't understand why people always have to make such condescending comments....

... We have no equity (...) I am the sole earner (...) So now we face the choice: do we take out €65,000 and build in 3 years and then take out another loan again? Or do we take out everything at once now (about €400,000) and start building in spring 2020. The bank has more or less already promised us the money. I earn €2,250 net and have a side job earning €450. So we could initially pay back about €1,300 per month...

In short: Forget it! At least for now, but don’t let the lenders and especially the real estate sellers pressure you. This is a 100% financing that you as the sole earner with this income cannot manage. After long back and forth, we managed to get 95% financing and despite our income situation (about €4.5k net with one child) had to endure a half gauntlet until it was approved, although I cannot be easily fired. Framework: We needed €290k over 15 years and the bank insisted on a repayment rate of 3.7% That means, in our case, €1400 per month.

I found it frighteningly easy to get the money: for me also 95% financing, income is mentioned earlier. Single parent with two children, fixed-term contract (15 years at the same public institute)... and they simply approved the money for me. No gauntlet. And no such high repayment either. "How much do you need?" You have to know yourself what you can handle!!!

I found it frighteningly easy to get the money: for me also 95% financing, income is mentioned further ahead. Single parent with two children, fixed-term contract (at the same public institute for 15 years)... and they simply approved the money for me. No hassle. And also no such high repayments. "How much do you need?" You have to know yourself what you can manage!!!

Yes, why not? What can happen to the lender nowadays anyway? As long as the borrower regularly pays the installments, everything is fine – and if not, there are currently more than enough interested parties (provided the property is in a reasonably attractive location).

At best, I collect a prepayment penalty from the borrower, then immediately offer the released property for sale again through my in-house agent, thus still collecting the commission, and I also conclude the new financing directly with the buyer.