Financing a single-family house realistically?

Hello everyone,

we have already gathered a lot of information about financing and buying a house, but we wanted to ask how you assess our plan based on your experiences.
We are not urgently looking for a house right now, but for some time we have regularly been looking out for houses in [Sachsen] and it would be nice to live in our own home. At the moment, we are renting.

Recently, the following property caught our attention:
Built in 1996, 200 sqm living space, 2000 sqm plot, double garage, upscale fittings, but in need of renovation (for example, the bathrooms would need to be redone - but it is not immediately necessary), very well thought-out floor plan, beautiful house with several balconies and a fireplace. Overall exactly what we both imagine and have never seen before.
Price including acquisition ancillary costs 430,000 € (already negotiated)
Planned modernization: 20,000 € (materials only, to be done by ourselves)

Now about us:
- Total net income: currently 5800 €, guaranteed 7200 € in four years, 1 child
- Equity used: 50,000 €

We have also already talked to a financing advisor.
Currently, we would have 4% interest with a payment of 1800 € and a term of about 28 years. I am calculating monthly additional costs of 600 €. —> 2400 € total costs for the house per month.

How do you assess the feasibility here? We have some voices in the family circle advising us against buying a 30-year-old house for so much money. However, since we are in the metropolitan area of a major city (15 km away), I do not consider the offer overpriced.

We are also considering whether it might be more sensible to wait, since due to the increased interest rates house prices should also be corrected, which I have not noticed yet with many houses in the area. There are partly overpriced single-family houses listed which have not been sold for many months...

Looks good to me, but you need to tighten your belt because the house is 30 years old, and more and more things are breaking and need to be repaired/renovated.

How is the energetic standard of the house? Gas or oil heating? Underfloor heating? 200m² living space and 2,000m² plot sounds like a lot of energy consumption and someone with a green thumb and plenty of time. You would need to share a bit more about yourselves and the building/plot to better assess the overall package. *Edit: The additional costs in my opinion are probably not enough... heating, electricity, insurance, repairs, reserves ~ rather 7-800€/month.

Well .. at the moment it is mostly faith and hope, nobody really knows. My opinion: prices for used properties will not drop as much as generally assumed. My theses: - There is still enough with sufficient equity in reserve - Building new is so expensive that more people switch to used - Rents are also rising in the short term, as in the areas where housing is scarce, no new apartments are being built. I would have said 1,800 is at the pain threshold but doable. Would there be parents/in-laws who might support with one or the other installment in extreme situations?

200m² living space and 2,000m² plot sounds like a lot of energy consumption and someone with a green thumb and a lot

Roughly estimated, I guess 25,000-30,000 kWh. Currently costs 250€/month in gas.

Energy efficiency class C, with underfloor heating, gas, large plot of land we find great and would also like to maintain.
I have not yet included the reserves in the additional costs. I calculate reserves per month at at least €500 extra, which is doable.
Included in the additional costs are: (annual costs)
Water/sewage 600
Waste 400
Electricity 1200
Heating 2000 (sufficient?)
Internet 600
Property tax 600
Chimney sweep 200
Street cleaning 300
Home insurance 600
Broadcasting fee 200
so a total of around €600 per month

I am a cautious person, so I am not comfortable with a “just scraping by” calculation.
On the one hand, I have concerns about the house that many unplanned renovations/repairs might arise and one cannot afford them. In an emergency, it would certainly be possible to borrow money from family, but for me that would only be conceivable in an absolute emergency.

On the other hand, I also have concerns that in five years I will no longer get a good house for under 600k. Among other reasons, because of those you have already mentioned. The additional equity saved during that time does not help me either, as it balances out with the increased price by then.