Buying a house: realistic or are we overextending ourselves?

We would probably only manage that with an extremely short term and the corresponding interest rate risk after 10 years. What I wanted to say with that sentence: I would try to negotiate so that I get to a rate of €1,400, ideally as a full amortizer.

LOL - keep dreaming. 10 years is completely fine. I calculated with 1.5% repayment. You can certainly have a higher rate, but there is no need for it. Therefore, a rate adjustment option for the moment when your financial situation improves even more.

I would take a different approach:

1. Leave the IGM.
2. Invest €75,000 - max. €100k of your own capital and invest the rest broadly. An additional €50k loan is about €200 more per month, which would be manageable and you would have a buffer for whatever.

Do you also have the appropriate legal expenses insurance for the BU? If not, you can cancel the BU right away, since most BUs can be dragged through court for a long time in the event of a claim anyway.

BU. What has to happen to you as an engineer for you to become occupationally disabled? Both your hands would have to fall off. Besides, with 65 EUR/month, your coverage will be pretty meager anyway. You can also leave IG Metall. To enjoy the benefits in case of doubt, you have to pay sufficient contributions, that is 1% of your gross income. You pay far too little to acquire claims for legal protection or strike pay. 300 EUR for groceries? Maybe per person. 3 EUR per day, that is a 200g pack of cheddar from the store brand and 4 bread rolls... Are you doing a job where you could find something outside the automotive industry? Or a dead end in combustion engine manufacturing? Financially, it is definitely doable.

I'll also join in since we are in a similar situation (how much installment can/want we afford?).

Regarding groceries:
I see the food costs similarly to the other users. 200 - 300 € for 2 adults and a child is too little.

For comparison: I currently live with my husband in a 75 sqm apartment (without a child, both working but a lot of home office).
We need about 500 € per month to "live". So for groceries, drinks, and drugstore items.
We do pay attention to regionality and good quality (especially vegetables/fruit, sausage/meat), but we already use offers, point systems, coupons, etc. With a child, it should be a little more.

Regarding Riester:
I don't know exactly which Riester form you use. In my opinion, you can pay out any Riester for real estate and "wohnriestern".
However, this always involves the formation of the housing promotion account, which must be taxed at retirement age.
I'm not a fan of that. I would either keep a Riester contract as a future pension or - if you need the money - terminate it.
My husband also had a Riester home savings contract, which we have now terminated for our building project in a way that affects the subsidy in order to avoid the housing promotion account. I have kept my fund Riester because the value development here is even pretty good.

Regarding the installment:
I can understand your thoughts.
With an installment of 1,500 € I see no problem with you. 1,800 € would probably still be feasible if you want. I personally would probably choose the lower installment and work with special repayments.
Depending on when and how much your wife could work in the future, an installment up to 2,000 € would also be conceivable.

Let's be honest. Can someone explain this to me with an example?
500 EUR are 8.33 EUR for food, drinks, and drugstore items. And then there is talk of good quality and regional, presumably also organic.

How is one supposed to imagine that?

If I want a good steak, that already costs 6 or 7 EUR for 250g. And that's not even filet. Plus a bottle of wine, potatoes, sour cream. 13, 14 EUR.
Then nothing the next day?

The standard rate for Bürgergeld is 230 EUR/person for food and drugstore items.

I claim that anyone who eats normally and not every day bread with cheese and pasta with ketchup will not get by with less than 300-350 EUR/adult person.

Honestly. Can someone explain this to me with an example?
500 EUR means 8.33 EUR for food, drinks, and drugstore items. And then there’s talk of good quality and regional, presumably also organic.

How is that supposed to work?

If I want a good steak, that already costs 6, 7 EUR for 250g. And that’s not even filet. Then a bottle of wine, potatoes, sour cream. 13, 14 EUR.
Then nothing the next day?

The standard rate for citizens’ income is 230 EUR per person for food and drugstore items.

I claim that if you eat normally and not bread with cheese and pasta with ketchup every day, you won’t get by with less than 300-350 EUR per adult.

Well, I can only refer to my own contribution now:
What I mean is that I buy sausage and meat at the butcher, not at the supermarket. I buy fruit and vegetables seasonally and as regionally as possible. But otherwise I usually go for the store brands from Rewe, Aldi, etc. or whatever is currently on offer.
We are fairly simple eaters, meaning steak or wine is rare/does not happen at all for us. In general, we eat little meat and we don’t cook every day either.
I think that definitely makes a financial difference.