Choose construction financing: What amount/term/monthly savings?

Hello everyone,

In the medium term, my partner and I want to move into a home of our own. Our ideal vision would be a detached single-family house in the Cologne/Düsseldorf region. It doesn’t have to be in the urban area and can definitely be in a rural location outside the city.

Here are a few details about us:

- unmarried
- childless, but wanting children after building the house
- permanently employed
- monthly net income: 4,500 EUR
- monthly net income in 3 years: 5,000 to 5,500 EUR
- monthly expenses: 2,500 EUR
- equity: 10,000 EUR
- planned costs for land, house construction, incidental costs, furnishing, outdoor facilities, BUFFER, etc.: 500,000 EUR

We are aware that such a project would not be feasible with our current income. Therefore, we want to inform ourselves early on how we can reach the point where it would be possible.

What do you think would be the "perfect way" for us? Building savings contract? With what amount? With what duration? Monthly saving in a daily money account? What other options are there?

Thanks in advance for your answers!

- monthly net income: 4,500 EUR
- monthly expenses: 2,500 EUR
- equity: 10,000 EUR


- planned costs for land, house construction, additional costs, furnishings, outdoor facilities, BUFFER, etc.: 500,000 EUR

Hello!
So you have been saving for 5 months, right? If not, the actual expenses seem to be different after all.

What size of land and house are you envisioning?

Best regards
ready

Hello,

does that mean you save for 5 months first? ( Einnahmen - ausgaben = Eigenkapital )

Save save save

Hello,

if you can save 20k per year, the plan is completely realistic in 3 years (then with an even higher income). The 3 years are also a good test of your discipline, which I would hardly trust myself.

I don’t think you should consider which type of investment is suitable for such a saving phase. Overnight money account - period.

What Knallkörper says - apart from the fact that I would choose a fixed-term deposit account instead of a daily allowance. Provides slightly more interest (although still practically none).

Thank you first of all for your help!

The house should be about 150 m2 and we would also like a 400 m2 large garden.

That's exactly how it is. Recently, we have been very disciplined. Then we will simply continue on that path.

Does it make sense to take out a [Bausparvertrag] to secure the interest rates? Or do you only secure the interest rates for the amount of the [Bausparvertrag] and everything beyond that has to be refinanced? I fear that interest rates will be noticeably higher in a few years. And that can quickly amount to a few thousand. :-/