Can we really afford this, and will the bank support it?

So vacations, 3 cars, often eating out only cost you 2,000 EUR/month?

Where is the problem? Do you know what the OP built in the past and what he spends? Why do you believe the savings rate?

I consider that to be nicely calculated.

Why? Let's just stick to the mentioned facts and not your ideas of how life is supposed to be.

You then have 50% of your income tied up in mortgage and incidentals. That doesn’t include a cent for reserves or saving for something new.

We had roughly such thoughts 5 years ago when we started planning the construction of our first house. Today, we only smile about it.
The sum of 1.6 million is of course a big chunk but for me, it is in many ways an incentive to become even better.

I also don’t understand how you want to save 4,000 EUR per month with 8,000 EUR net income, a loan installment currently at 2,000 EUR, 3 cars, many trips, etc. So vacations, 3 cars, eating out often only cost you 2,000 EUR/month?

I think that’s nicely calculated.

I would stop.

Thank you for your healthy skepticism.
7,600€ is the pure fixed income if everything else fails. I am only planning with that. Still, approximately another 600€ Christmas bonus, vacation pay, and other contractual/tariff benefits broken down monthly are to be added. That makes 8,200€. With bonuses even 8,600€ on a monthly average. The bonuses have been very reliable over the last 10 years but I still don’t plan my standard of living with them.
We currently have loans of 1,840€ and not 2,000€. Two cars are employee leases which only run for 6 months, no tax/insurance costs, and no fuel costs either.
We save – as I said – between 3,500 and 4,000€ per month on average. Depending on the month and bonuses that come in. Maybe there is also a month with 1,000€, but we also have a month with a 10,000€ savings rate when annual bonuses are due. Therefore on average 3.5-4k.
I do not even mention my small business; I am only active there when it really pays off for me or when vacation is coming up. So no worries, these are not “nicely” calculated numbers but everything is actually based on facts.

The most important question is actually: does the bank participate in the collateral swap?

the most important question is actually: does the bank participate in the pledge exchange?

Usually yes. Especially when exchanged for a better object.

the most important question is actually: does the bank cooperate with the pledge exchange?

Our bank said: sell first, then we'll see. We then had to part ways with the bank. By chance, I read this in another thread from last Thursday, 3 days before this thread started:

Our new goal is to be debt-free in our early 40s but continue to allocate the same amount as for the loans purposefully into retirement savings.

Did you use Easter to shift wishes?

I accidentally read this one from last Thursday, 3 days before this thread started, in another thread: Did you use Easter to shift wishes?

The thought has bothered us quite often in the past, I won't deny that. The decisive impulse was missing - the right property on the market. And this actually appeared on the portal in the last few days. Of course, our plan for debt freedom in the near future no longer works, but as already said, you need ambitious goals that are worth achieving. Edit: The new property would also be a good retirement provision