Buying a house and the family. What counts as equity?

Yes, that’s correct, but one bank estimates it one way and the other another? That’s why I thought of an appraisal for the market value? Just try to have several conversations Thank you for the help

save your money on the appraiser. It’s also a purchase within the family and therefore the reduced price is logical. Feel free to have a broker involved.

Do you already need the bank for financing the €200K? Then a model with a pension payment to your grandparents instead of a one-time purchase price might be an option. Depending on how much trust your grandparents have in you, this could work without encumbering the property (risk for the grandparents) and you would have an unencumbered property as equity for the construction loan. However, you must declare this pension on your expense statement for the bank.

A pension payment is out of the question. Normally, she wanted to give me the house as a gift with the condition of care.

With the purchase of 200000 Euros, I am basically handing over the responsibility. In case of emergency, they will have a good cushion at some point.

Thanks anyway for the hint.