Feasible financing for couples with future children?

Good morning,
I have generally been a silent reader for a long time and now have my own open questions.
I think the total amount would be manageable, even if we had to scale back a bit in some areas. But now I am thinking about what the future expenses (see open questions) might be like.
I hope we can get honest feedback.
Thank you very much!

General about you:

[*
Who are you?
[LIST]
[*]Unmarried couple together for several years


[*]How old are you?


[*]27 years and 28 years


[*]Do you have children?


[*]No


[*]Are children planned?


[*]2 children


[*]What do you do professionally?


[*]Software development (training)
[*]Social work (Bachelor)


[*]Are you employed, self-employed, retired, housewife, househusband, etc...?


[*]Employed


[*]How many hours do you work?


[*]40h and 40h

Income and asset situation:

[*
What income do you have (gross/net)?
[LIST]
[*]M: 3398 net & tax class 1
[*]W: 2214 net & tax class 1 & church tax


[*]Other benefits like parental allowance, sick pay, etc...?


[*]Company savings plan not considered
[*]50 Euro tax-free as food voucher


[*]How much equity do you have?


[*]108000 + 25000


[*]How much equity do you want to invest in the house project?


[*]100000

Expense situation:

Housing costs: => 1262

[*
Current cold rent
[LIST]
[*]1000


[*]Electricity


[*]80


[*]Gas


[*]100


[*]Water, sewage, garbage fees, street cleaning


[*]28 (rest of items included in cold rent)


[*]Telephone, Internet, mobile phone


[*]35 Internet
[*]18.36 broadcasting fee

Mobility costs: => 605

[*
Car loan (or savings rate for new car)
[LIST]
[*]110 (estimated)


[*]Insurance


[*]28 (estimated)


[*]Taxes


[*]??


[*]Fuel


[*]110 (estimated)


[*]Repairs


[*]30 (estimated)


[*]Other


[*]Company car ~ 312
[*]Taxi/train: 15

Insurance costs: 10

[*
Liability insurance (also animals)
[LIST]
[*]5.50


[*]Pension insurance (including Riester, Rürup, etc...)


[*]Possibly planned in the future


[*]Disability insurance


[*]Possibly planned in the future


[*]Household insurance


[*]4


[*]Legal protection insurance


[*]Possibly planned in the future

Living costs: 1188

[*
Groceries
[LIST]
[*]500


[*]Restaurant costs


[*]90


[*]Care/Drugstore


[*]Included in groceries


[*]Pets (food, vet, medication, stable costs)


[*]None


[*]Medications


[*]5


[*]Clothing


[*]170


[*]Furniture


[*]50


[*]Club fees/Fitness studio


[*]None


[*]TV/Video/Audio/CDs/DVDs


[*]16


[*]Donations


[*]None


[*]Hairdresser


[*]40


[*]Mobile phone


[*]Company mobile
[*]Private mobile: 22


[*]Other


[*]Bank: 5
[*]Gifts: 90
[*]"Pocket money": 200

Savings: 218

[*
Vacation
[LIST]
[*]218


[*]House


[*]None


[*]Retirement provision


[*]Nothing concrete


[*]Other


[*]Difference is saved (in case something was forgotten in expenses :D)

Other expenses:

[*
Maintenance payments?
[LIST]
[*]None


[*]Loans?


[*]Bafög (amount not yet known)

Income and expense totals:

[*
Total income: 5662
[*]Total expenses: ~3300
[*]Balance: 2362 (plus 1000 rent)



Construction or purchase costs:


[*]Land costs
[LIST]
[*]Nothing concrete: probably ~600 m2 for just under 100000


[*]Additional acquisition costs (notary, court, property transfer tax, broker)


[*]9000


[*]Construction or purchase costs


[*]House price: 350000
[*]Extras: 15000
[*]Additional construction costs: 90000 (including items for kitchen etc.; only garage/carport missing)


[*]Total costs


[*]=> 564000

Cost summary:

[*
Total costs: 564000
[*]Deductible equity: 100000
[*]Financing amount: 464000


Necessary loan information:


[*]Interest rate: 3.55
[*]Repayment: probably planned 1.5
[*]=> Repayment ~ 2000



Open questions:


[*]Financing with planned children? How to consider the loss?
[LIST]
[*]Full-time work will probably be difficult afterwards?
[*]How expensive are children? On the internet, one reads about 700 Euros per month?


[*]Retirement provision in addition to house construction?


[*]How much extra is necessary?


[*]Reserve for future events


[*]Money for wedding

Construction or purchase costs

[*]House price: 350000

So a small house with 100-120 sqm

Financing with planned children?

Then carefully plan the house. You don’t have that much space available.

Without referring to your numbers, I would first make concrete considerations about family size and possible house planning.

Now to the questions:

Financing with planned children? How to consider the loss?

By living now as it would be with children. So put money aside for the children (please consider child benefit as theoretical income) and act as if children were there. Can you manage that? That would be a positive sign.
Marriage wouldn’t be bad either. A suitable tax class combination helps for parental allowance and later for the main earner (male or female).

Full-time will probably be difficult afterwards?

Land. No. With good childcare and/or a flexible employer (e.g., with a home office option).

How expensive are children? On the internet, you read about 700 euros per month?

That changes over time. First, there are some one-time purchases. Babies and toddlers don’t cost much yet. Later it can become more expensive. We have three horses as a hobby (three kids) besides the usual topics (children require a bigger house/apartment, clothing, braces (costing sometimes €3-5k without supplementary insurance), different vacations, etc.).
But with €700 per child minus child benefit, you’re already doing well.

Retirement provision in addition to house construction?

[*]How much additionally necessary?

You have to know that for yourself. Many do nothing at all because living almost rent-free is already a huge package (or sell the house and move to a small apartment for a small rent).
In the end, it’s also a question of what you can financially afford.

So a small house with 100-120 sqm

But then plan the house carefully. You don't have that much space available.

Without going into your numbers, I would first make concrete considerations about the family size and possible house planning.

Now to the questions:

By living now as if you had children. So set aside money for the children (please consider child benefit as theoretical income) and act as if children were there. Can you manage that? That would be a positive signal.
A wedding wouldn't be bad either. A suitable tax class combination helps with parental allowance or later for the main earner.

Plot. no. With good childcare and/or a flexible employer (e.g. with a home office option).

That changes over time. At first, there are some one-time purchases. Babies and toddlers don't cost much yet. Later it can become more expensive. We have three horses as a hobby (three children) alongside the usual topics (children require a bigger house/apartment, clothes, braces (costs sometimes €3-5k without supplementary insurance), different vacations, etc.).
But with €700 per child minus child benefit you're already well off.

You have to know that for yourself. Many do nothing because living almost rent-free is already a huge package (or sell the house and move into a small apartment for a low rent).
In the end, it is also a question of what you can afford financially.

Thank you so far for the feedback! According to the local construction company, that would be a price for ~150m², although that is still provisional without concrete special wishes (+photovoltaic system and minor points we’re at 385k). The additional construction costs come on top of that... that was also just a preliminary offer so far, and we will inquire elsewhere again.
Primarily, it was about getting a framework for the costs and thus roughly having a guideline.

Land costs

[*]Nothing concrete: probably ~600 m2 for just under 100,000

A lot is still uncertain for you regarding the land and savings (BAföG repayment, wedding…)
In the meantime, just keep saving.
Regarding your questions:

Financing with planned children? How to account for the loss?

For example, with a flexible repayment rate, building up a buffer for this time, or a lottery win. Don’t build at the limit.

[*]Full-time will probably be difficult afterwards?
[*]How expensive are children? On the internet, you read about 700 Euros per month?

If the child goes to daycare, full-time work may be possible again. That depends on the job and employer. However, childcare can also cost something. Are the 700€ from a statistic? I wouldn’t pay attention to that; there are families who have to manage with less.

Savings for future events

[*]Money for the wedding

Setting priorities. If you want a big party, you can’t build big…

regarding future expenses (see open questions)…

BAföG was already mentioned,
for mobility you have to see what is needed. If the company car is out during the day, 15€ taxi with children won’t get you far if you live outside infrastructure. Also, some ride their bike even in the rain, others don’t even want to walk or see daylight on the path from garage to house,

Mobility costs: => 605

For a used mid-range car, you should be able to set aside 500€ per month for three years. Leasing … is not for everyone, as you pay for insurance and repair/maintenance/inspection for something you don’t own.
Additionally, there are running and usage costs (plus savings rate for replacement). The big challenge remains if you need a car.

Insurance costs: 10

Wow, you don’t even have household insurance yet, so I would simply allocate 100€ for insurance in the calculation.

Living expenses: 1188

Yes, that is at least comprehensible.
But remember: diapers cost.

According to the local construction company that would be a price for ~150m2,

If you didn’t write “local,” I’d again suspect a Flair.
If that’s the case, then look in relevant forums like the blue social network for the specific groups and read what you get or don’t get for the money.

Live for a few months only on your income and then save an additional 1,000€... Then you’ll know how much your wife absolutely has to earn so that you can afford a 2,000€ installment. I think that is very tight. I would look for subsidies depending on the federal state.

According to the local construction company, that would be a price for ~150m2

Then please be careful. Currently, people calculate with €3,000-3,500/sqm living space plus additional construction costs plus outdoor facilities/terrace/carport etc. Your construction company offers you a house for €2,300/sqm. That will be an absolute basic model like the Dacia without special equipment.