Equity contribution for construction financing

I have read several times now that the equity used should always be used up first and then the construction financing pays. We have the additional construction costs plus the kitchen available as equity (the financing advisor also included this in the calculation)... But the additional construction costs occur gradually. So if I have to spend my equity on a house installment (because equity should be used up first), will the bank later pay the incurred additional costs? And can I at least keep the amount for the kitchen and some reserve?

We pay the notary and land register and whatever else arises alongside the property ourselves anyway, we didn't even include that in the calculation...

If I now have to spend my own capital on a house installment (because the own capital is supposed to be used up first), does the bank later pay the incidental costs?

That's exactly how it works for us. We allocate all budgeted own capital for the initial expenses (e.g., for the first installment after the foundation) and submit all later costs (including incidental costs or kitchen) to the bank, who then pays them.

Good to know... The financial advisor said that the kitchen can under no circumstances be paid from the loan funds... But if I have to spend everything beforehand (the kitchen is almost the last thing) then I would have a problem...

The kitchen as well as all other furniture are excluded from the financing. The money therefore does not constitute equity for the financing and you simply keep it.

But if I have to pay everything upfront (the kitchen comes almost last), then I would have a problem...

However, the kitchen should not be included in the amount you stated as equity contribution. If all the money you indicated as equity contribution is gone, there should still be money left for the kitchen.

The financial advisor broke it down as follows: 296,812€ construction costs house 71,110€ purchase price land 20,000€ outdoor facilities 52,000€ incidental building costs 15,000€ kitchen 2,489€ property transfer tax 1,422€ notary

Total: 458,833€

Equity used: 64,000€

Financing requirement: 394,833€