Can Wohn Riester be used in addition to a building savings account?

Hello,

I would like to build or buy a house in 1 - 2 years. For this, I am currently saving some money. Among this, I have a Bauspar contract D max 5 with a savings amount of 60,000€, contract start was in 2006. I saved about 200€ per month there and am still continuing to do so. In addition, I also partially save with fixed-term deposits or overnight money. For retirement provision, I have a pension plan, from which I can deduct about 70€ per month from taxes.

Now the question arises whether I should enter Wohn - Riester, and if so, what does it bring me? A current tax advantage, about 154€ subsidy. But do you see it as something I absolutely have to do? Because I cannot save that long anymore, and I was told that normally you have to save for 12 years. But I would also get a loan at 0.5% below market price!

It would be nice if someone could explain the advantage to me. Also because I can soon get a cheap loan from the Bauspar contract!

Thank you very much!

So I have now completed the Wohnriester matter. The payments to the building savings account will now be stopped.

Now I would like to buy a plot of land soon. 450 sqm cost about 50,000 € including development. I would like to build a single-family house of about 140 sqm on it. My wife would like a cellar, I would rather have a large attached garage. I currently earn 1850 € net, my wife about 1700 €. I have a company car included in my gross salary.

We also plan to have 2 children after finishing the house, so my wife will not work full-time for about 6 years. After that, she wants to have a 3/4 or part-time job again. But all that is quite uncertain.

I have saved 20,000 €. My wife might also have about 20,000 €.

Would you say that we can manage this plan? Especially, of course, when we have a child! The banks tell us that the plan would be quite okay. But acquaintances of ours have paid 290,000 € for such a house! However, they also have a very large plot of land.

I would be very happy about numerous replies and suggestions!

Whether you can meet the price always depends on the region. Otherwise, the whole thing sounds quite affordable, as long as no too large unexpected costs come your way.