Construction costs are currently skyrocketing

We just had an initial meeting with the architect. We had imagined a small, beautiful single-family home as a family nest. Budget: 450,000 loan, 60,000 equity, a lot of self-performance possible and desired (at least another 40,000 euros). This makes a theoretical construction sum of at least 550,000 euros, of which the plot of land costing 128,000 euros still needs to be paid (we will pay the ancillary purchase costs ourselves). There remain 422,000 euros for all-inclusive construction costs. Somehow I was under the mistaken impression that this would be enough for 120-140m2 without a basement with a carport and lots of self-performance... The architect told us current construction prices per sqm amount to 4,500 euros turnkey based on currently ongoing BVHs she is involved in (greater Hanover area, 30km east). All just standard and nothing extravagant... With just under 5,000 euros net household income (both full-time, 29 + 36, son is 5) we probably belong to the lower third here in the forum - but because of my job in the administration of a building materials trade and his job as an engineer (trained electrician), we thought we could manage it. Apparently not – this is really brutal and frustrating right now... :(

We just had a first meeting with the architect.

Is a "non-architect house" also an option for you, or does your plot require an architect-designed house?

The architect quoted us current construction prices per sqm of 4,500 euros turnkey based on ongoing BVH projects she is overseeing (Greater Hanover area, 30 km east).

That seems way too high to me. From my circle of acquaintances, for example, I recently heard 3k/m2 at Schwörerhaus. Of course, additional costs come on top, etc., but even with a lot of subsidies, 4.5k/m2 is still too high. We are building with individual contracts and are still currently obtaining some offers; despite the high standard, we are far from 4.5k.

I would suggest contacting more architects/providers.

I just had it done for €55/month gross in much smaller quantities. 8/6/8 quality. Crazy what people are willing to pay.

Including material? That's really very cheap

Would a "non-architect house" also be an option for you, or does your plot require an architect-designed house?

I have been following this forum and also construction costs (professionally) as well as interest rate developments for a while... Due to the prices I can achieve through my work in all areas as well as the contacts to all trades, we expected to come out cheaper this way, since the price increase buffers of the general contractors and prefabricated houses would then fall away for us. With the building application, I could basically procure everything I need and have it stored – even before the expected massive energy crisis in autumn.

Are the currently valid prefabricated house provider prices still within our budget? I have dozens of catalogs here but actually dropped the topic in recent months for cost reasons...

Addendum: New building plot in the countryside (no surveyor has been there yet because the purchase is currently being prepared by the notary) - 576 sqm, 24x24 base area, building window 16x19 - so no slope but whether anything needs to be leveled, I will only know when the sand piles from the development are gone :D