Financing comparison: past vs. today

since we currently have a purchase interest, I got a non-binding offer from Interhyp.. roughly, I pay 2K monthly over 20 years and have an outstanding debt of just under 400K (and have paid nearly 300K interest here)... that's pretty sobering (property price 650K plus renovations)

And? If the rate is manageable, go for it!

At 30 already having a lot of equity usually only happens without a degree or with a subject where a bachelor's degree is enough. Otherwise, you finish at the earliest in your mid-20s, often have debt from Bafög or student loans, and are initially a career starter. Saving during your studies is by no means possible in all courses of study, even with a part-time job, or it would result in finishing and starting your career rather at the end of your 20s... others already have nearly a 10-year head start then. Or else with studies and support from the parents. I had to cover almost everything except insurance with 485€ Bafög, including semester fees... My little savings from school days were practically eaten up.

And? If the installment is manageable, go for it!

If it weren’t for the unpredictable renovation / modernization costs. I need about 150K extra for the implementation :/

So
House 650K
Additional costs 40K
Renovations 150K
In the end with interest well over 1 million euros.. yeah, right!

Not only from a financial perspective, but also regarding the topic of education. Just look at the statistics showing which families the students come from. Education helps immensely for a well-paid job.

It depends on what you studied. And absolute salaries can be misleading. Those who start an apprenticeship directly after secondary school at an IG Metall company have a comfortable 5-year advantage over those who have studied. With only slightly lower pay. I also think the topic of studying should be seen with more nuance. Of course, the student rate is higher among children of academics, but often rather unprofitable courses of study are chosen, while in my impression, children from upwardly mobile families tend to study more in technical fields. Completely subjective ;)

If it weren’t for the incalculable renovation / modernization costs. I need about 150k for the implementation on top :/

So
House 650k
Additional costs 40k
Renovations 150k
In the end with interest well over 1 million euros.. yeah, right!

With a household income of 7-10k, I would do it if the property fits

With a household income of 7-10k I would do it if the property fits

Me too :) but with 2 small children and my wife only working part-time, something is missing (it's a bit too risky for me right now)