We are looking at approximately €2,500 in costs for the provision interest. We have set the start of repayment for August 23 (max. 18 months after the loan agreement). If we had accepted the higher interest rate, we would have faced €9k in additional costs over the term of the first fixed interest period. Even if we now need 2 months longer, that would be, in the worst case, perhaps another €1k in additional costs, but still less than the interest over the term.
Of course, construction with a general contractor is easier to calculate compared to individual contracting, but that does not mean that this does not also apply to a well-planned subcontracting project. I would consider the following if I had to make the decision:
- Do I already have an offer and a statement (if applicable, a commitment) regarding a construction time window from each trade?
- Can the trades agree in advance on an agreement concerning an execution date?
- How likely is it that the current situation will worsen and the schedule will be jeopardized by bottlenecks?
- Can I quickly switch to a competitor if one of the contracting parties fails?
- Which trades am I carrying out myself and do I have reliable statements from the building materials supplier regarding delivery possibilities and times?
- Have opportunity costs (rent, insurance for the construction, etc.) been included in the comparative calculation?
Have fun thinking about it :)