Building a house without equity?

As mentioned before, the price per m² would be 89-92€. That would put you between 50,000-60,000 for 500-600m². I wouldn’t want more space than that either.

Then you have to add another 5K-15K to my calculation above.

=352,000 - 410,000 €
At 2.5% over 30 years, that makes between 1390 - 1620€ interest/repayment
+ 300 additional costs
= 1690 - 1920€ monthly burden
+ insurance against the death of a borrower, etc...

@ ... so the plots would be connected to utilities. From now on, connecting them would take about 1.5 years. Which isn’t so bad, after all you don’t want to rush something like that.

True, you also want to happily pay interest/commitment interest for the next 2.5 years. Costs that are still omitted in the calculation above. Usually, with an existing property, that would be shorter.

And to put family planning into the background because of a house in 10-15 years (possibly) seems somehow wrong to me.

We can definitely save. But how much? What are 20,000€ that you scrape together somehow compared to the entire loan? It’s also not like my wife earns as much as I do.

Well, if for example you had saved in a home savings contract (Bausparvertrag) of 30-40K over the last 10 years and it was now ready for allocation (meaning you had paid in 12K; 100€ per month; possibly even 40€ of that as advance payments), the situation would be much more relaxed because the remaining 28K would then act as an unsecured loan, and you would have stood at the bank with 40K "equity".

@ ...currently no equity because I have only been working for 2 years. Unfortunately.. caught up on high school diploma and studies.

Currently we are still paying off furniture because we moved from a 2-room apartment to a house and couldn’t take any furniture with us. Once again, unfortunately.

A complete house with nothing also has to be furnished first. The usual consumption is added. Even though we don’t even go on vacation or eat out....

But I doubt that a family of five can save much. When I see everything you need for the children.

That’s exactly the point!!! You doubt the possibility of saving, but want to go deeply into debt?! You should urgently get some fresh air to clear your head A house is ALWAYS! significantly more expensive than renting!!!

Furniture financed?!!! But shopping works without overdraft, right?

Well, if for example one had been saving into a building savings contract of 30-40K over the last 10 years and it was now ready for allocation (meaning having paid in 12K; 100€ every month; possibly even 40€ of that as advance payments), the situation would be much more relaxed because the remaining 28K would then act as an unsecured loan), and one would have stood at the bank with 40K "equity".

@ ...of course, the situation would be somewhat more relaxed. Ten years ago I was also in a completely different place... where I wouldn't even have dared to dream of owning a home. You wouldn’t even get the idea to take out a building savings contract then. But that's another matter.

Now you have to see how it goes...

My two cents again.....

We are also building in the district of Eichstätt. We have €420,000 as equity, but already €300,000 went just for the land, and we only have 882 m².... for the house, we have budgeted €550,000 all-in.
It's really better to stay renting; in 10 years, everything will look completely different, and it's never too late to build. The parents of acquaintances just built a new house at the age of 70!

My two cents again.....

We are also building in the district of Eichstätt. We have €420,000 as equity, but just €300,000 went for the land alone, and we only have 882 m²....for the house, we have budgeted an all-in €550,000.
Really better stay renting, in 10 years everything will look completely different again, and it is never too late to build. The parents of acquaintances just built a new house at the age of 70!

OFFTOPIC: Hehe..our numbers are quite similar too With additional costs and fittings, we have now crossed the million mark When I registered here a few years ago, I was still thinking of €600..700k..