Construction financing with a fixed-term contract

Hello everyone,

I (31, m) am a post-doc in an economically relevant field and still have about five years left on my contract (without the goal of habilitation). My wife also works full-time but is permanently employed. Children are planned in the near future, but after parental leave, we both want to continue working full-time. The planned house purchase is in 1-2 years, which means with 3-4 years of contract duration remaining at that time. Our finances currently look as follows:

- Net salary: him (after [PKV]) ~3,500 EUR, her ~3,000 EUR.
- Average savings rate: currently ~3,500 EUR, our car is relatively new and paid off.
- Equity: currently 120k EUR (self-saved), by the end of 2025 probably 160-170k EUR.
- Idea: terraced house, semi-detached house, or small single-family house. In our region, prices for these are between 350-500k EUR.

How do you see the chances of getting a mortgage?

Thank you very much!

1. The limitation is the property. Nowadays, this is not a problem at all, as long as it can be assumed that the income can be sustainably generated even with a potentially necessary employer change.

2. The question about feasibility is a nice little joke from you. If you need 200k financing, you are at a 750€ rate (currently). If you seriously have to ask whether a bank will give you the loan for that, you are naive. Even if you become unemployed, your wife can cover it alone (because then you stay at home for the kids). And if it’s an "expensive" house with 350k financing, it currently only costs you 1,300€.

So just relax and enjoy life and focus on the really important and wonderful things in life. Children! The family home will come on its own.

Thank you for the response. The 350k EUR for a terraced house should be seen as a lower limit, whereby individually necessary renovation measures as well as additional costs are not yet included. Therefore, I assume a higher loan volume. I am less concerned about the financial feasibility and more about the effect of the limitation. In the case of a change of employer (after the limitation), the current salary is very likely achievable. Therefore, your answer is still very helpful to me!

Surely times have changed, but in 2018 I was able to get a loan for the house purchase without any problems as a single mother, meaning solely based on my income and without a second borrower, despite a fixed-term contract. Your situation is much better than that.

Zero, zero problem! A breeze for the banks

How do you see the chances of getting a real estate loan?

Well, why not? Everything fits.