Construction financing | Is the procedure good? Your opinion and tips

  • Erstellt am 2015-01-23 13:50:10

Häuslebau3r

2015-02-10 09:18:21
  • #1
Good morning everyone,

since tomorrow is the next lecture about energy-efficient house building, we have spent the last two days further dealing with the topic. I have also reconsidered the basement topic carefully and read through the thread above. I would say that as civil servants and technicians we would have a good income if both worked full-time. Nevertheless, financing is usually calculated based on one income.

Listed again is the plan for the next years or how we have currently planned our financing.

Despite everything, it is still difficult for us to classify the financial aspect and say what one can afford and what one should afford. Maybe you can share something from your experiences here.


    [*]Plot of land valued at approx. €60,000 including all costs plus notary etc. The value of the plot is to serve as equity in the financing.
    [*]Buffer (reserves of 3-5 gross salaries from me approx. €10,000 - €15,000) as reserve or security

Financing based on one income (technician)

From this salary, the following deductions were made. I want to point out that deductions were always made generously.


    [*]€200 private pension provision
    [*]€150 continue into a home savings contract not yet ready for allocation (as another buffer / reserve) amounting to €50,000
    [*]€350 go monthly for car insurance and tax as well as gasoline. This is quite high as I commute a lot.
    [*]€500 house ancillary costs such as electricity, water, sewage, garbage disposal, property tax etc. A buffer of €150 has been calculated here.
    [*]€450 groceries for 2 adults / 1-2 children (1-2 children are planned in the next 3-5 years)


After all deductions, approximately €750 remain to repay a loan. As mentioned, I think this is a very healthy calculation.

It is planned that after the start of house construction and the first child or second, my girlfriend (then wife) will go back to working part-time. Salary then about €1,000 net.

Currently, it is really hard for us to organize what one can and should afford with that. It is causing us some headaches since we haven't had this experience yet.

An acquaintance said that with €350,000 including land one should already expect a normal build here. However, this would exceed our initial limit of €250,000 planned loan. The aim is still to be finished in 25 years and to live normally on the side.

@ Musketier, thanks for the link!



The above-mentioned thing naturally also plays a role in the basement planning and/or whether it is included or not and makes up most of it.
For me, it is certain that a double garage must come or is definitely needed. A carport alone would not be sufficient for hobbies and other interests. From what I have found out so far, we have no problems with radon or water in the area. Thus, a black tank would actually be sufficient. Of course, only a soil survey will provide exact details.

In this case (if there is to be a basement), square meters could also be saved again on the ground floor or it could be planned smaller there, since guest room and utility room space would definitely be relocated downward.

This is probably a very personal calculation and, above all, attitude if one can financially afford it safely.



@ Chris,
regarding your basement and attitude, that is of course not to be dismissed. As written above, it really depends on one's own attitude and whether it is financially feasible. One would just have to clearly compare for oneself what the additional rooms such as utility room and guest room on the ground and upper floors / garden house or carport would be cheaper than the basement. Because I do see that everything costs something, and in the end, maybe 1-2 extra years of financing would remain.
 

noroot

2015-02-10 10:20:49
  • #2
What I often wonder about the household budgets here in the forum - and what now prompts me to ask here: What about the necessary purchase of a new car? If you have to pay 350€ per month for insurance and fuel, you will probably have to buy a new car more than once during the financing period. And with a lot of commuting, it probably won’t be the 1000€ "another 2 months of MOT" cars.

To me, this seems very generously calculated "to the limit."
 

Häuslebau3r

2015-02-10 10:46:19
  • #3


Hello noroot,

to get back to your question about the car.

We only bought a second nearly new car with low mileage last April. This is paid off by the time the actual financing ends. In addition to the 3-5 gross salaries, around 10,000€ have been set aside for possible car-related expenses. Of course, you can't get a new car for 10,000 euros in 15 years either, but this has been considered. You are always told that when financing, the car must always be taken into account, and I think we have done that.

Above, I also mentioned a home savings contract with 50,000 that is not yet eligible for allotment and that will be half available at some point during the financing.

The current plans have really been made to the best of our knowledge, but since this task is new to us, I am happy to be proven otherwise At the moment, it is like this for me that I have planned to bring in less equity and instead have somewhat more reserves.
 

noroot

2015-02-10 10:55:00
  • #4
Hi Häuslebau3r,

well, then I apparently picked the wrong person with my reprimand

I am just "particularly sensitized" because I currently commute 80 km one way daily; with those kilometers, a car replacement is due after 3-5 years, not after 15...

With your fuel costs, I had placed you in similar commuting regions - and from my point of view, it would already be more than tight if at least €200 per month for car contingencies weren't also going away...

Best regards
noroot
 

EveundGerd

2015-02-10 10:58:21
  • #5
Where is your wife's health insurance included, which continues during parental leave? As a civil servant, she is privately insured and the contribution must also be deducted here.

The car was already mentioned. And now resolved faster than I could post.

€450 for groceries, clothing, diapers, and later kindergarten/school... That would be too tight for me. Our kids are almost out of the house and just the bus tickets for school eat up €100 from the budget every month. And both schools are only 12 km away.
Clothing, vacation... all self-evident things that are still missing in the listing.

Certainly, you will get enough credit. Your wife is a civil servant and if you calculate with €1,000 part-time, at least the higher service.

Have you also considered whether it might be financially better for you if the husband goes on parental leave? Then the problem with the health insurance might be solved, unless you are also privately insured.
 

Häuslebau3r

2015-02-10 10:59:04
  • #6
No no, I don't hold it against anyone

I'm glad to read honest opinions here and especially in this phase nothing needs to be sugar-coated.
So I have about 25,000 km on average per year and see it as a rough estimate for diesel vehicles that after about 7-8 years a new car should come. That has basically always been the case for me so far, since I have often driven a lot. The 350 euros amounted to about 250 euros for fuel and the rest for insurance and tax.

I will get back to the other one shortly EveundGerd
 

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