Buy single-family home - financially feasible?

Personally, I am still missing information such as monthly expenses, current savings rate, and over what period the equity was accumulated?

At first glance, I would say: The project is too big/expensive for you.

Your equity is just enough for the incidental costs and you are stuck in empty rooms. And with 290 m2 you have many rooms where you need a lamp, a piece of furniture here and there, wallpaper, paint, pleated blinds, decorations, new baseboards, etc. These small things add up and cost you a small fortune in the end, which you do not have.

My tip:
1. Optimize expenses
2. Optimize income
3. Increase equity

Calculate roughly on the internet how high your monthly burden for the capital service on this house would be and how high the incidental costs (electricity and heating) will probably be monthly. Then add an amount X for reserves on top of that.

From now on, try to save at least this amount monthly. No ifs or buts. You will then see how hard or easy it is for you to no longer have this amount available monthly and you can consider whether you can imagine this in the long run or not.

As I said, it was more of a pipe dream and I just wanted to mentally play it through. Thank you very much for all your comments.

Since we are still very young, we don’t have much knowledge about the whole matter and the electric heating hadn’t caught my attention until now, but that is of course a big downside and in general I haven’t dealt with all the costs associated with maintaining such a property yet.

And we still have time, currently the ETF savings plan is being increased slightly to take advantage of the low stock prices and to continue building equity.

Best regards,
Fuchsbau

As I said, it was more of a fantasy and I just wanted to think it through. Thank you very much for all your comments. Since we are still very young, we don't have that much knowledge about the whole subject

Maybe you should still take the opportunity and use this house as a practice object. List of questions for the real estate agent, on-site appointment, costs of necessary renovation or refurbishment work, discussions with the bank about the financing framework also gladly based on this property, etc.

The really good houses are gone faster than you can blink. There’s a reason some families look for several years. At the crucial moment, you have to be able to strike.

As I said, it was more of a figment of imagination and I just wanted to mentally run through it. Thank you very much for all your comments.

Since we are still very young, we don't know much about the whole subject, and the electric heating didn't even occur to me until now, but of course, that is a big drawback, and in general, I haven't dealt with all the costs associated with the maintenance of such a property at all.

And we still have time; currently, the ETF savings plan is being increased a bit to take advantage of the low stock prices and to continue building equity.

Best regards, Fuchsbau

You are young and have very good incomes! You should roughly think about what you are actually looking for or what you wish for. Size, location, equipment, year of construction, house type, etc., and then you can calmly set out to search for the dream property. In the meantime, just keep saving as before, and when the desired house is there, you can quickly say yes, since your parameters are actually really good!

Additional costs include things like property tax, residential building insurance (possibly household insurance, etc.), waste fees, broadcasting fee, consumption-dependent costs (electricity, water, sewage, etc.), reserves for possible repairs (about €2-3 per square meter of living space)...

Up to 450k for a house, I wouldn't have any qualms given your situation; anything above that I wouldn't do due to parental leave, etc. But that's just my feeling.

Up to 450k for a house, I wouldn’t have any worries given your situation, I wouldn’t go beyond that because of parental leave etc. But that’s just my feeling.

I dare to disagree, I would definitely trust the OP to go up to 600k including all additional costs, furnishing, renovation etc. And in a few years, gladly even more. BUT first stabilize the circumstances, also professionally, clarify family planning and save more equity. And definitely be clear about what you actually need, want, and are willing to pay for. 290m2 doesn’t sound like a proper needs analysis... And then better buy or build a nice property right away rather than settling for an affordable compromise now, which you want to move out of after five years because you realize you could have afforded much more.