Construction costs are currently skyrocketing

Sorry, but 500k pure construction costs I still consider too much.

I don't think so. That is only just over 3000€/sqm for 160sqm. A value that has long been reached in the south. The main problem, however, is that within less than 12 months a rather comfortable 4% repayment has turned into at best a 1% repayment.

One must say that it used to be normal to pay for the house twice because of the interest. Recently, money was simply very, very cheap.

Additionally, comparable annuities would be interesting. But then with different interest rates. One financing is at just over 3%, the other at 5.5%. I find that hardly comparable.

Well... I'd say something like 1% interest + 2.5% initial repayment definitely sounded like a not particularly unusual setup until last year. That would be a 3.5% annuity. But as of today, you simply cannot conclude financing with a 3.5% annuity because the interest rates already exceed that. For quite a while, banks actually preferred at least 2% repayment, although I can well imagine that this was partly due to the low interest rates (and the term with 1% interest + 1% repayment is just forever), maybe that is seen differently today. We currently have the "nice" comparison with a colleague of mine. He took out financing of 480k about a year ago and pays around €1400/month (probably very close to the 1% interest + 2.5% repayment). We now pay around €2150/month for 460k (conditions from last month, 3.59% interest + 2% repayment). So despite a €20k lower loan amount, we pay over €700 more per month. He had the option to say "oh well, we can also afford €2000/month, I'll set the repayment higher," but the other way around, it simply wasn’t really possible for us. So I'm not completely sure, maybe the bank would have also gone along with 1% repayment, but we had decided not to go below 2% to eventually pay down the debt mountain... That means we rather looked at where the rate would be and if we could still afford it, and less a "what is actually our desired rate." Internally, there was already a maximum that we wouldn't go over. If it had been about the actual desired rate (e.g. where would we have landed if the interest rates weren't what they are), we would have been lower.

And after 10 years, you can exit the contract if the interest rates are lower and then increase the repayment

Whereas it must be said that it used to be normal to pay for the house twice because of the interest. Recently, money was just very, very cheap.

I think we should stop always just looking at the prices or the interest rates. Of course, interest rates have been favorable in recent years, but the houses were not necessarily cheap. Because of course, people are able to calculate their monthly installments and then bid accordingly more at low interest rates. So more or less an equilibrium is established. Right now we are at a point where we still have the old prices but significantly higher interest rates. This will adjust again in the medium term, at least in the existing stock.

I think we should stop always only looking at prices or interest rates. Of course, interest rates have been favorable in recent years, but the houses have not necessarily been. Because of course people are able to calculate their monthly rate and then bid accordingly more when interest rates are low. This more or less creates a balance. Right now we are at a point where we still have the old prices but significantly higher interest rates. This will adjust again in the medium term, at least in existing properties.

I see it differently, at least regarding the balance. The builders of recent years have just gone all out and integrated guest rooms, children's bathrooms, pantries, wellness temples, and fitness rooms... Certainly not all, but until the end of last year it was quite en vogue.