Construction costs are currently skyrocketing

That’s exactly what I want to get at. If there were plots of land, they would certainly be well outside the price range. So I buy/build in a less desirable, probably worse location. Then the whole calculation regarding what is cheaper (purely economically) doesn’t add up.
With the €1500 cold rent, I will very likely get a significantly better location than with building my house. Maybe that even saves a car? Or or...
Calculating renting versus buying is already difficult due to many variables. If then different locations are added, it probably becomes impossible to compare.

It’s always a matter of opinion what is desirable. Personally, I find a village full of single-family houses in the middle of the forest and near the highway (but not close enough because of the noise) much nicer than in the center of Potsdam.

But we can gladly compare. A 144 sqm bungalow with the plot size and as a new build costs about €1,600 - €1,800 cold rent in Fichtenwalde.

My installment will be €1,650 for 32 years.

Simple calculation of costs:

Rent:
- 32 years x 12 months x €1,700 rent (midpoint without increase, which is rather unrealistic) - residual value after repayment (here 0) = €652,800

Ownership:
- 32 years x 12 months x €1,650 loan - residual value (I estimate very conservatively €350,000; current market price of the plot) = €283,600

Now you’re probably going to say that renovation/refurbishment costs also occur with ownership. Just offset that against the missing increase rate in rent.

It is always a matter of opinion what is desirable. Personally, I find a village full of single-family houses in the middle of the forest and near the highway (but not close enough because of the noise) much nicer than the center of Potsdam. But we can gladly compare. A 144 sqm bungalow with the plot size and as a new build costs about €1,600 - €1,800 cold rent in Fichtenwalde. My rate will be €1,650 for 32 years. Simple calculation of costs: Rent: - 32 years x 12 months x €1,700 rent (average without increase which is rather unrealistic) - residual value after repayment (here 0) = €652,800 Ownership: - 32 years x 12 months x €1,650 loan - residual value (I estimate very conservatively €350,000; current market price of the plot) = €283,600 Now you will surely say that renovation/repair costs also occur for ownership. Just offset that against the missing increase rate in the rent.

Well, if you can "simply" offset that, then fine :-) What is desirable is determined by the market... What is individually attractive to someone is something completely different. A city means nothing to me at all...

Well, if it can be "simply" offset, that's good :)
What is in demand is determined by the market... What is individually attractive to someone is something completely different. A city means nothing to me either..

I can gladly calculate a 1% increase p.a. in rent. Then the calculation clearly favors homeownership even more.

Personally, I also "feel" that ownership is better than renting, but the same items are always missing in the calculation per purchase to outperform the rent: 1. Additional purchase costs - Even without a broker and only the land, you are easily in five figures in the Berlin suburbs 2. Equity contributed - Where do these also at least five-figure amounts always remain? 3. Maintenance reserves - Always downplayed, with over 30 years and meticulous bookkeeping, it easily amounts to around 200,- euros per month on average even for new builds

Furthermore, it is always omitted that the cold rent includes items that are definitely missing in your own installment. Property tax, insurance, garbage, depending on the arrangement water, winter services, and co.

Purely economically, renting will often be better, BUT "owning" feels better and, as often mentioned, you inevitably build up value.

Property tax, insurance, garbage, depending on the arrangement water, winter service, and so on.

These are all expenses from the allocable ancillary costs. They have nothing to do with the cold rent.

These are all expenses from the billable additional costs. They have nothing to do with the basic rent.

During my rental period, I did not receive an invoice for this; the items were largely covered by the basic rent, as the basic rent includes corresponding advance payments.