Thank you first of all to everyone for the personal assessment.
who at that age and income already owns a paid-off apartment and a building plot, has inherited or been given the money. If there are no emotional reasons against selling the apartment or some weird semi-legal tax saving model, then I would sell it. You probably get a rental yield of 1.5% with the non-transferable ancillary costs, and if you're unlucky, you can't even deduct anything and have to pay taxes on it. If you don't sell, you have to borrow the money at 3% from the bank.
The background for the impossibility of selling the condominium was a lack of knowledge about speculation tax with owner-occupation, since then the apartment only has to have been owner-occupied two years prior. Thus, a sale is possible and probably, unfortunately, also more sensible than having to take out a loan of the stated amount at the current interest rate, as the interest will probably "eat up" the rent. Of course unfortunate, as a secure rental income would be very valuable for retirement in my opinion.
but not between Augsburg and Munich. Only people who can't afford Munich want to go there. My neighbor did Air BNB and it was very time-consuming with key handover and cleaning.
Exactly. The location of the apartment is relatively "good" for a village, as the connection to the A8 can be reached within 7 km, but that does not attract tourists (except maybe for the Oktoberfest).
Hi,
Income and asset situation are good.
Questions I would ask myself:
- why is the condominium not sellable? What stands in the way? Is this the most sensible option to use the equity.
- how is the desire to have children planned and does it consider the impact on income? I wrote it somewhere else yesterday: nothing worse than when the desire to have children has to take a backseat to financing, and biology then understandably pulls the emergency brake in 10 years.
- 50k for interior design and outdoor facilities seems tight to me.
The condominium is sellable, see my comment above, unfortunately it was my lack of knowledge about the tax issue. Having children is planned with two children, but we could reduce our expectations to one child if financially necessary. Unfortunately, we are aware that for most, only either a house or children can still be fulfilled as a dream, if at all. Thanks also for the assessment regarding costs, it is only roughly calculated for now to get an overall view.
Well, that all looks good, but they won’t be able to manage the 2,000€ rate.
560k€ at 4% interest and 2% repayment is a leisurely 2,800€ rate.
It is certainly somehow possible, but I would sell the condominium if at all possible to reduce the rate.
Asset situation is great, income situation rather less so for the financing need...
This was also the result of my research with some financing calculators. Therefore, I also do not see secure financing despite rental, so actually only the sale of the condominium is an option.