Financing Check: Building a House in 2.5 Years

Depending on the degree of kinship, this can initially significantly reduce your equity

The apartment building will be mortgaged accordingly to pay off the tax. You just have to be careful not to ruin the first ranking if you want to withdraw more capital later. I would look for a bank that is also willing to increase the loan later, if necessary have the mortgage registered at a higher amount right away.

Because our equity won’t really increase for now, sure in the long run it will, but grandma wants a usufruct on part of the rental income, which of course reduces the cash flow.

Warning regarding usufruct. As far as I know, you can’t mortgage the property or the bank won’t cooperate if a third party has a usufruct right. I don’t know how it is in your case with partial usufruct. But I’m not an expert. The additional rental income does help though, even if mortgaging isn’t possible.

Attention regarding usufruct. As far as I know, you cannot mortgage the property or the bank will not cooperate if a third party has a usufruct right.

Yep, senior usufruct is not good (the age of the entitled persons and the specific arrangement are important for the bank). It is very similar to a right of residence.

Yep, senior usufruct is not good (the age of the entitled persons and the specific structure are important for the bank). It is very similar to the right of residence.

Caution regarding usufruct. As far as I know, you cannot mortgage the property or the bank will not cooperate if a third party has a usufruct right. How this works in your case with partial usufruct, I do not know. But I am not an expert. The additional rental income does help, though, even if mortgaging is not possible.

Thanks for the information! I didn’t know that. Then we’ll have to see how to arrange it differently. For now, it is also a priority to get everything done.

Hi, no We actually don't want to go to the south of Hamburg.

Huh? At first you wrote about Neugraben? But okay, then actually consider first what you want. Basically, you can just stay exactly where you are. That might even be cheaper?

Huh? At the beginning you still wrote about Neugraben? But okay, then actually first consider what you want. Basically, you can also just stay exactly where you are. That might even be cheaper?

*Not anymore..

Yes, we have looked at the areas and were not very satisfied.

Our problem is that we have both lived in a total of 10 cities. And since we have been together, we have already had 4 moves and 3 cities behind us. Always because of studies/job. We are in the volcanic Eifel, which is scenic but absolutely inconvenient for everything else. The closest family members of hers live in Witten, Solingen, Wuppertal, but they are all unhappy with their places of residence as well. My family lives in Hamburg, together with my close friends. We have close friends, but no everyday friends.

I want to live somewhere with reasonable public transport. Say what you will about the HVV, I have hardly experienced better and cheaper public transport in Germany. I want to get rid of the second car and later be able to bring my children alone by bike or bus/train to their hobbies. I find new housing developments charming because more or less everyone moves there 'new'. In old single-family house settlements, everything is already set and it is hard to make connections.

And I want to live somewhere again where there is more cultural offerings.

We simply have no idea where we can find all that. Plus my wife is not a city person. So somewhere on the edge, but quiet, well connected, and not too settled. Oh, yes and affordable please.

We will have to print out a big map again.