So, blowing the dust off here. The multi-family house has now been in our possession for 4 months, all land register entries are done. The plot has been found, see other thread, including ancillary purchase costs around €300,000 for 673 m² of land and 91 m² private road. Financing will look like this: we will finance the entire project 110% externally. The multi-family house will be mortgaged for €420,000, loan-to-value 60% - for the new build we aim for the same. The loans will all be handled through 2 loans, one is currently waiting for bank approval, the other has already been preliminarily checked. Loan 1 secured by mortgage on the multi-family house: 2% repayment, 15 years fixed interest, 0.91% interest. Installment €1050. Repayment change free of charge, special repayment 5%. We plan to deduct this from taxes, let's see if that works. Loan 2 secured by mortgage on the land: this has already been calculated but will be recalculated with the current KFW conditions and the planned construction sum. Additionally, we invest the difference up to 3% repayment in a broad ETF. Loan amount should be about €840,000, of which €40,000 goes into the multi-family house for gift tax and a small reserve. We aim for the KFW 40EE grant, which is not currently included in the calculation. Construction costs would then be: €300,000 land including ancillary costs, €425,000 house construction, €75,000 ancillary construction costs. So about €800,000. House key data: 160 m², fully brick-clad, 1.5 stories, gabled roof with captain’s gable, KFW40EE, active ventilation, normal standard. Our household calculation looks like this: Income as of today: 4700+438+2360=7500€ Expenses Loan 1+2 = €2200 Investing to repay at end of fixed interest: €800 Total = €3000 Corresponds to approx. 3% repayment. Additionally, there are still: €1000 life annuity to the giver (85 years old..) €600 reserve (if less than €10,000 are in the account) Fixed expenses then: €1600+3000=4600 That leaves us €3100 for incidental housing costs, insurance and cars (€800), household and consumer expenses (€1600) and daycare (€200) and remaining savings (€500) If both go back to work, which will only be after the move, and the life annuity falls away, this increases to €4600. Rent increases and salary development not considered. Our equity of €35,000 remains with us for now. Opinion?
Ui, so it probably didn’t quite work out with a €120K plot and a €350K house.