Built 2 years ago, now an additional condominium

  • Erstellt am 2017-10-13 10:32:16

Rollo83

2017-10-13 10:32:16
  • #1
Good morning everyone.

I built a new house about 2 years ago. Some brief data about the financing. Equity 180,000€ Loan 200,000€ for 10 years interest 2.09 -- installment 675€ -- remaining debt after 10 years 156,000€ Building savings contract 50,000€ will mature after 10 years and then must be charged with 1.5% interest It therefore covers 100,000€ of the 156,000€ Monthly special repayment on the house 250€ (increased to 325€ last month). So in 10 years there will be around 30,000€ left over which would need to be renegotiated. Other savings rate for something 450€ I am a civil servant in the upper service. Everything is running very solidly, I still live quite decently, but that is not the point.

The idea now is to buy/finance a condominium. The price would be non-negotiable and with an underground parking space for a 64m² attic apartment 77,500€ + 12.07% ancillary purchase costs, so roughly 87,000€. The monthly cold rent including parking space is 510€. The numbers sound quite okay to me at first. I would probably finance ~60,000€ and cover the rest from equity funds over 15-20 years.

1. Does this even make sense or should I rather pay off the house I live in now in peace without taking on anything else. 2. What interest rates are available at the moment for 15-20 year periods.

This is just an idea for now and a bit of input, whether positive or negative, would be nice.
 

tomtom79

2017-10-13 10:52:11
  • #2
Search for the post by R.Hotzenplotz! Similar idea to yours, only he suddenly has costs of about 8k which now reduce the return.

But it can go well, but it doesn't have to.
 

Mycraft

2017-10-13 10:53:45
  • #3
Sounds plausible... I just don't know what the housing market in [DUS] looks like, but just going by gut feeling, I would do it.
 

Rollo83

2017-10-13 10:54:29
  • #4
Good, something like that can always happen. Starting from rent losses due to vacancy to various damages that can occur to the house/apartment, that is quite clear. But I’m not even that far yet.
 

Rollo83

2017-10-13 10:57:42
  • #5
The housing market in Duisburg is like in any big city, of course in a somewhat different dimension than e.g. Munich/Cologne/Hamburg/Düsseldorf etc.

This apartment is located in the north of Duisburg, that is where I also live. If the apartment were located in the south, it would certainly be twice as expensive due to the catchment area of Düsseldorf. I would describe the area in the north as solid; unfortunately, there are bad neighborhoods everywhere.
 

Mycraft

2017-10-13 12:16:19
  • #6
Well, you know your area best... so if the apartment is rentable and tenant changes can be carried out quickly, then I would say go ahead...
 

Similar topics
04.11.2009Taking a loan for equity financing?19
29.03.2015Financing suitable building land separately before house construction15
22.07.2015Is it possible to build a house with little equity?16
02.02.2016It doesn't work without equity - experience!109
14.05.2016House purchase: Financing (with/without equity)24
30.08.2016Construction financing 40,000€ equity, tied to a condominium29
30.09.2016Equity understanding problem41
10.01.2017Construction financing without equity capital, but with other liabilities36
27.05.2017Realistic or daydream? (Buying property without equity)95
05.10.2017Forced auction and modernization financing12
13.10.2017Bank loan to finance house purchase during parental leave13
15.08.2019When to build a house? Interest rate / equity ratio12
26.08.2019Consumer credit as equity39
29.08.2019Construction financing - mortgage instead of equity?58
18.01.2020Inject equity or finance completely?20
06.07.2020Finally a plot - Can we finance everything with EFH?72
21.04.2020Beginners: Financing a single-family house with land14
23.06.2020Financing a house alone or already building/buying one!?35
23.07.2020How is a 400k loan financible without equity? Net equity at €4,500293
07.06.2023Finance the property now or continue saving equity?28

Oben