Buying a house at 40+, is that feasible?

Hello everyone,

we (both 45+ with 1 child aged 15) are currently considering buying a house. The background is my single mother, she receives very little pension and will have to leave her apartment due to a rent increase. Now we could either support her monthly with money or let her move in with us, which is why we are thinking about the house.

We bought a condominium in 2007, which will be paid off in 2027. Value approx. €400,000.

Income: €5,000 (no other debts)
Savings: €30,000

Since we are tied both professionally and privately to the most expensive city in Germany, a suitable property will cost around €700,000.

My question now is: is it still feasible at our age to take such a step? After all, we "only" have just under 20 years left to repay the loan.

Thank you very much for reading.

Best regards

My question now is: is it still feasible to take such a step at our age? We only have "just" about 20 years left to pay off the loan.

No, the loan does not have to be paid off by retirement. Sell the condominium, with that you will have equity - probably even plenty. Build/buy a house and enjoy the new place.

No, the loan does not have to be fully paid off by retirement.

I wonder why almost everyone thinks that or acts accordingly.

I wonder why almost everyone thinks that way or acts accordingly

So you can enjoy a lot of free time without worries. If you have a lot of time, you also want to spend a lot of money. But of course, it's like parental leave. You have to calculate whether what remains is enough for you. Minus the apartment sale, that would roughly be €300,000 that you can pay off with about €1,300 until retirement. So let's go

I wonder why almost everyone thinks or acts that way

Because it makes you feel better.

Addendum:

a suitable property will cost around €700,000.

That corresponds to a considerable amount of additional purchase costs that go to the state without any return. Is there also a broker involved? Alternatively, 20 years of €200 every month to grandma would only be €48,000 and a lower financial burden.