Finance buying land or rather leave it?

There is no entitlement to home office for either of us. There are service agreements that regulate this and also which positions are suitable for it and which are not. It may of course be the case that these regulations are completely overturned with a change in management, but I do not actually expect that. In both authorities, home office is currently being massively expanded so that everyone who wants to work from home can be enabled to do so.

In a training course, I learned that there are apparently political efforts to legally establish a general entitlement to home office in Germany. I cannot judge how much truth there is to this rumor, but I would be happy about it. As far as this is concerned, we can probably only wait for future developments.

The topic of transfers is basically correct. However, it has become extremely difficult for authorities to find good personnel nowadays. For this reason, transfers against the will of the civil servants are hardly ever issued at least in our authorities. This measure is actually only still used as a "punishment" if someone stole the silverware. As far as I know, only the Bundeswehr still practices this as it used to be. And even if one of us should experience this, there are so many vacancies in all authorities that we should quite quickly get a position closer to home. And even if the employer does not agree to this transfer, there are means and ways to change the employer without giving up the civil servant status.

Keyword: Naming of robberies. If there should be problems with the transfer. And of course the personnel situation in the public service is as good as it hasn't been in a long time. You are completely right about that. I would just make sure that you move to an area where several large state/federal authorities are present. That way you are flexible.

If every euro counts, I might directly invest the entire equity of 40,000 now and then save up again. Where else do you get a guaranteed 4% return after taxes?

I had also thought about that. However, we don’t feel comfortable really putting in everything, since something can always happen where we might urgently need the money, e.g., if the car breaks down or the washing machine... We want to keep that security for as long as possible. Whether that will still work later for the mortgage has yet to be seen. Besides, after moving to the desired region, we want to pay for the then necessary second car from part of it, and surely some money will be needed for a wedding as well.

I also consider 30 hours part-time for the woman, with 2 small children, house, garden, and possibly commuting, to be quite exaggerated.

Of course, it always depends on the specific circumstances, but with reasonably family-friendly working hours and a daycare spot, it is quite manageable. Maybe the man can also reduce his hours in the foreseeable future, provided the finances allow it.

We are convinced that the plot is perfect for our future house construction. I therefore think that we will take it. Many thanks again at this point for all the tips and advice.

The previously planned 5 years fixed interest rate came about in our considerations because we do not expect to build earlier. Since, as mentioned above, we still need a considerable amount of equity for building a house, I do not think we could establish a reasonably healthy financing beforehand.

For me, I would therefore take away the advice to definitely set the installment a bit higher and always fully utilize special repayments. If at the end of the 5 years there is still a remaining amount, I would then finance this variably in order to avoid the mentioned problems with the house loan. The goal should be to pay off the land within the 5 years.

Hello TroyRoy!

Unfortunately, I am only seeing your post today. Have you already found a solution? As far as I know, with a house financing you can also consolidate existing loans and then only pay one monthly rate. Of course, how the interest rates will develop is not yet foreseeable. Most banks offer one special repayment per year, but this is usually not free of charge. How high is the remaining debt on your previous loans?

Hello TroyRoy!

Unfortunately, I am only seeing your post today. Have you already found a solution? As far as I know, you can also consolidate existing loans in a home financing and then pay only one monthly installment. Of course, how the interest rates will develop is still unforeseeable. Most banks offer an unscheduled repayment once a year, but this is usually not free of charge. How much is the remaining debt of your previous loans?

Hello,

the plot is currently still being developed. So we haven’t actually bought it yet and have only reserved it so far. As soon as the development is completed, we can then buy it. When the time comes and I have all the documents, I will go to the bank and have a few options calculated.