Construction project realistic? Assessments

Well, it simply depends on the personal attitude towards debt. Theoretically, it’s not a problem for you at all, and you will surely earn more in the coming years. Also, (as is unfortunately the case) your parents won’t live forever, and then you can sell this part of the property, etc... You can easily finance 300k€, with a 2% repayment you’ll get it for 700-800€ per month. Whether the loan is paid off in 15, 20, or 30 years is only of minor importance.

We look at the new housing developments, where mostly young families with children live, and keep asking ourselves how they can afford it when nowadays almost 200k euros of equity including land is barely enough to make the construction somewhat financially feasible. Or is their whole life until retirement just lived and worked for the house without being able to afford much else?

You have a, not exorbitantly high (sorry), income. Four people have to live off of it. And you want to be finished in 15 years. And there is your answer. I also started at your husband’s age, yes, I will have to pay off until retirement. But I can still live until then. That’s how I hope to manage it with my also not exorbitantly high income.

Since my husband will turn 40 in 3 years, we want to pay off the house in 15 years, of course with the money still coming from the apartment.
Is all of this really realistic? So 250k construction costs with additional costs without land and 120,000 equity - 15 years and 900 euros repayment per month?

To clarify:
250 thousand plus 120 thousand equity = 370 thousand, the installment for full repayment in 15 years would be about 1450 euros
or
250 thousand as total costs, where then 120,000 from the condominium should count as equity and the rest of about 130,000 should be financed over 15 years = about 760 to 800 euros installment?

The first option is conceivable price-wise, the second option is not conceivable.

The basic idea with 250k€ comes from the fact that we have heard that on average, houses in the new development area around here cost about 450k€ complete with land. Of that, about 130k€ is for the land alone including purchase ancillary costs, which is calculated generously, as land is usually even more expensive. So in this case, the pure house construction with everything included costs around 320k€, of course with medium fittings and some own work. Of the 320k€, we can cover 120-130k€ with equity plus about 10k€ savings at the present time, so we will probably be able to raise a total of 150k€ equity in 3 years. Therefore, a pure financing amount of about 180k€ seemed quite realistic to us. About 50-60k€ can definitely still be prepaid over 15 years, which should somehow cover part of the interest.

The basic idea of 250 k€ comes from the fact that we heard that on average the houses in the new development area in our region cost around 450 k€ complete with land.

In the future, I will simply always link the post from , he formulated it well:

https://www.hausbau-forum.de/threads/realitaetscheck-Hausbau-in-2-5-Jahren.32766/post-354313

Nattis55 posts in:
#1: "completely finished with 250 k €"
#6: "completely finished with 250-280 k€ including construction"
#9: "Actually, 300 k€ are planned for the construction"
#16: "House construction with all the extras around 320 k"

With this tendency, a few more posts later we have arrived at realistic numbers

How can other people afford this? Quite simple, they take on fewer debts and allow themselves 30 years or more to pay it back. But don’t look at the neighbors. They all lie about the house costs. It doesn’t help anyway, in the end you have to pay what the offers actually cost. So go out and talk to the companies, so you get a bit more practical experience regarding costs.