Construction costs are currently skyrocketing

I am currently getting quotes for a photovoltaic system. Either I get no response at all or the prices are so expensive, beyond good and evil. I’m not playing that game. :rolleyes: I can build a photovoltaic system, but I don’t have to. Craftsmen can’t pass on every price either. In my opinion, the inquiries will decrease because of that.

I have also been dealing with the topic lately. I found the relevant group on the blue site very helpful. Bottom line: get several/many offers. There will be an acceptable and often also a good one among them. They also help with postal code searches there. A photovoltaic system simply belongs on every new building.

Our solar installer initially wrote on the offer that these are 390W modules but did not name the manufacturer. This is currently common practice because he does not know what he will be delivered.

Ours, for example, not yet. ;-) We are currently working on a forward loan.)

From another thread, today's reply…
Tell me, Pinkiponk, how long do you want to keep trying? Can you explain how it comes that you haven't had to pay for the property yet? You've been planning on this property for 1-2 years now – who owns it?
My forward loan is done with 0.0% surcharge…

I can understand the mindset, but it is quite fear-driven. Our income is not extremely high (especially for the forum standards you often read here), yet we can manage well even with the increased, expected rate (which is now beyond 30%). We have decent savings contributions in our monthly budget and still have plenty left at the end of the month. If one of the two earners fails, then at most to ALG1 or parental allowance. In both cases, we could easily keep the property. Maybe there is less left at the end of the month, and if necessary, the savings contributions would have to be cut for a while. But that would only be temporary because of the imbalance. If one earner becomes unemployed for so long that they fall into Hartz 4, the house is gone anyway, right?

This has nothing to do with fear, but with weighing the problems in the future. I still remember well the discussion with you, where you spoke about the great advantage of the 10-year fixed interest period because the interest rates are supposed to remain permanently low: >> "I still consider that pessimistic, I rather think of 1-1.5%."

We are now somewhat above that. And so there are many scenarios that you don’t have on your radar—like I said, partner > 1 year unemployed, one required income is gone, some splitting remains, and that’s fine. Long, severe illness with inability to work. In addition—house gone, moving with the children, and depending on the market situation, possibly a considerable loss. If that is not an issue for you, or you can offset the risks differently, then that’s good.

Now I have only been following a few pages again.

I know that for those who are currently building or about to start or are planning, it is very tough. I don’t want to trade places with anyone and I don’t want to judge either. But you have to put this into perspective. About 100,000 residential buildings are built per year. Only about a quarter of them are single-family houses.
Who is weighing in here? Clearly interested parties, but mostly uncertain ones. From professional experience, I also have to say there are enough people who can still afford to build a house. Only in very rare cases are those who contribute here coming from a somewhat larger budget like . What for us here is a super great special project, does happen more often.
A few posts above, we had Dinkis etc. Of course, the circle of those who can afford it is getting narrower. And you might not like that, but it doesn’t change the fact that even in the future you will find about 25,000 builders per year who can somehow afford it.
This helps no one here but I wouldn’t wait for things to get much cheaper.
You must not underestimate the effect of an inflation rate of 3-5% over several years, something we usually don’t know.
Rents will also continue to rise overall with inflation…

I can still clearly remember the discussion with you in which you talked about the great advantage of the 10-year interest compounding because interest rates are supposed to remain low permanently: >> "I still consider that pessimistic, I’m thinking more along the lines of 1-1.5%."

I saw it that way back then too – but I don’t see it that way anymore today. If you had told me back then that there would be a war in Europe in 2022, I would have considered that pessimistic as well. It does have something to do with fear. Fear isn’t inherently bad; it’s just very negatively connoted in our society. Just because an unlikely, negative scenario has occurred, I wouldn’t conclude from that that I should never take risks in my life again. Personally, this 30% rule seems too fearful to me. Some of the risks you mentioned can be covered by insurance. Others everyone has to assess for themselves how likely they think the occurrence is.

hm, somehow yes, somehow no. "Fear of missing out" is not exactly the best advisor either. We're struggling with it ourselves. But just because construction costs seem to be running away uncontrollably right now, rushing headlong into something doesn't make much sense either :)

As long as inflation remains this high, those with money will continue to gladly flee into real estate, even if the time of big value increases may be over. Cryptocurrencies and stocks are simply too volatile for many. And wealth on a savings account just shrinks. We would have liked to buy and build on our desired plot of land as early as 2018, but had to pester the municipality for almost four years until we were finally able to buy it a few weeks ago. And for us it was always clear that—if we were ever able to get the plot—we would definitely go through with it. If it should go wrong (which I don't expect despite exploding construction costs), at least we tried. If after years of begging we hadn’t bought our dream plot, we would almost certainly regret it forever. Also, unfortunately, there are no real alternatives for us (sorry if I’m repeating myself). With pets, you simply cannot find an apartment in our area that is big enough for four people and ideally has a garden. And honestly, I have to admit that we’re only good at saving when we have a goal to work toward. Giving things up is much easier for us if we can invest the saved money into our own home and not into some boring ETF savings plan. :D