Financing a house alone or already building/buying one!?

Hello,

I am 33 years old, single, no children, civil servant (administration), net income €2,500 (will increase somewhat over the years). I have no debts (or almost none, a relatively expensive car is almost paid off, installment was/is €400/month. It would be fully paid off when buying a house.). However, I do not have any significant equity either. So a so-called 110% financing would probably be necessary. My rent is currently €680 cold and €890 warm. Basically, I could imagine having (2) children and a partner "one day." However, at the moment, none of that is present. The place of building/buying would be either Oldenburg or Leer (East Frisia) in Lower Saxony.

Now I am wondering if it makes sense to buy/build already, so that I have more time to repay than if I only start in, for example, 6 or 7 years and pay rent instead of installments all the time. Also, real estate prices and rents seem to know only one direction (up), so time is working against me there as well.

So my questions are: Where do you think my budget would lie? Would you buy/build a house already? Or continue renting?

So I need a kind of "life advice" and an assessment of what I could finance.

Thank you for your help.

Yes, it definitely makes sense to think about home ownership. However, you cannot build with your income. I see a financing limit of up to €250,000 for you. So rather consider an [Eigentumswohnung].

To my knowledge, property prices in Oldenburg are already quite high. Therefore, I agree with . Either buy a condominium or, with some luck, a small terraced house is possible. What are the future maintenance costs for the car? What is your current lifestyle like? We have a questionnaire here where you need to explain your situation in more detail. However, I have to say that if you really want to acquire property, you should currently see the total costs as at most the warm rent plus the car installment (i.e., including additional costs). However, you will probably save hardly anything then. Therefore, I would be interested in more information.

Or buy a plot of land (if it does not need to be developed) and pay it off over time. If you have a partner, you can build a house with two salaries. Advantage: 1. The plot rarely loses value 2. If you do not build, you can sell it for a profit in 10 years 3. For home financing, you can use it as equity.

Car maintenance is not much ... 309 € taxes per year (Diesel) and insurance 40 € per month, plus I usually spend about 50 € on diesel per month. I never take expensive vacations. Occasionally concerts/pubs visits.

I built under similar conditions: single client, 29/30 years old, A10 salary grade. However, no debts + land & some equity available. I needed a loan of 270,000 EUR, and I’m not sure if I could have gotten higher financing. Or if I would have been able to sleep peacefully then. The installment fits well into my life now, more would be associated with significant restrictions. You also have to bear all incidental costs and insurance on your own.