Financing house costs 560k€ with 105k€ equity in southern Hamburg

Hello everyone,

we are currently looking for a property in southern Hamburg and have found a specific object.

For the purchase price of 560,000 we currently have approximately €105,000 equity available. The equity is probably still a bit low, i.e. below the 20% mark, but we wonder whether it makes sense, given the current situation on the Hamburg housing market, to wait longer so that in 2 years we might have the 20% together, but then have to finance a significantly higher amount. Therefore, we would like to go ahead now.

From your point of view, is the financing feasible?

General information about you:

[*]Who are you?
[*]How old are you? 33 + 33
[*]Are there children? 1
[*]Are children planned?
[*]What do you do for a living? Electrical engineer in plant construction + public service
[*]Are you employed, self-employed, retired, housewife, househusband, etc...? both employed
[*]How many hours do you work? 40h + 34h

Income and asset situation:

[*]What income do you have (gross/net)? 3,500 + 2,200 net
[*]How much child benefit is there? 204
[*]Other transfer payments such as parental allowance, sickness benefit, etc...? No
[*]How much equity do you have? 110,000
[*]How much equity do you want to put into the house project? 100,000

Expense situation:
Expenses already included in other positions can of course be omitted. This list is not exhaustive and can be expanded or summarized as needed. Please make sure to state all costs monthly, even if they only occur annually!

Housing costs:

[*]current cold rent 900
[*]current warm rent 1,100
[*]electricity 60
[*]gas
[*]water, sewage, garbage fees, street cleaning
[*]phone, internet, mobile: 40

Mobility costs:

[*]monthly ticket for bus and train (also for the children!): 80
[*]car loan (or savings rate for new car): 0
[*]insurance: 40
[*]taxes: 20
[*]fuel: 60
[*]repairs: 50
[*]other
[*]Is there a second car, motorcycle, scooter? Please specify all points again! No

Insurance costs:

[*]private health insurance (also supplementary health insurance, daily sickness allowance, etc.): No
[*]liability insurance (also pets): 5
[*]capital or term life insurance: 50
[*]pension insurance (also Riester, Rürup, etc...): 0
[*]occupational disability insurance: included in life insurance
[*]accident insurance: 0
[*]household insurance: 20
[*]legal protection insurance: 0
[*]other insurance (e.g. travel insurance, funeral insurance): 0

Living expenses:

[*]groceries: 600
[*]restaurant costs: 200
[*]care/drugstore: 50
[*]pets (food, vet, medication, stable costs)
[*]medication
[*]clothing: 150
[*]furniture: 20
[*]daycare/school fees (and meal money): 200
[*]tutoring
[*]school supplies and books
[*]club fees/gym
[*]babysitter
[*]toys: 20
[*]cleaning
[*]TV/video/audio/CDs/DVDs
[*]tickets (football, cinema, concerts, etc.)
[*]donations
[*]other

Savings contributions:

[*]vacation : 400
[*]house: 2,350
[*]retirement provision
[*]hobbies/gifts
[*]other

Other expenses:

[*]alimony payments? 0
[*]loans? 0
[*]other? 0
[*]Was something forgotten? Then please specify here at the latest! 0

Total income and expenses:

[*]total income: 5,900
[*]total expenses: 5,515
[*]balance: 385
[*]of which sum cold rent and dispensable savings contributions (e.g. savings rate for house): 3,250

General information about the property:

[*]How large is the plot? approx. 1000
[*]What are its dimensions? 30x35
[*]What is the standard land value?
[*]New building, old building (year of construction), type of house? Year of construction 2000
[*]Garages? 2
[*]How big is the house? (living space / usable space) 155 / 170
[*]What market value do the plot and house have after completion?

Construction or purchase costs:

[*]plot costs
[*]development costs
[*]additional acquisition costs (notary, court, real estate transfer tax, broker): 39,200
[*]construction or purchase costs (incl. architect, structural engineer): 560,000
[*]renovation and/or refurbishment costs
[*]additional construction costs (e.g. house connections, soil expert, construction power, etc.)
[*]outdoor facilities/terrace, paths, garden design, fences, etc.
[*]financing costs (e.g. fees or commitment interest) 0
[*]total costs: 599,200

other costs:

[*]kitchen costs
[*]furniture, lamps, decorations
[*]other "not acquisition, acquisition ancillary, construction or additional construction costs"

Cost summary:

[*]total costs: 588,500
[*]deductible equity: 100,000
[*]financing amount: 488,500

Necessary loan information:
(for multiple components specify for all components, for multiple variants please clearly distinguish):

[*]loan amount: 488,500
[*]type of loan (e.g. annuity loan, bullet loan etc.): annuity loan
[*]interest rate (p.a. nominal, otherwise effective): 1.02%
[*]fixed interest period: 15 years
[*]remaining debt at the end of fixed interest period
[*]assumed total term until full repayment
[*]initial repayment rate: 2%
[*]monthly rate: €1,210
[*]are special repayments possible? (specify amount) 5%/year
[*]change of repayment rate possible? (conditions such as number, repayment rate range to be specified) 2 free 1-10%
[*]For preliminary, interim or bridging loans with home savings contracts please provide details about the home savings contract (contract amount, credit interest rate, minimum savings rate, minimum saving amount, planned savings rate, Riester premiums, expected allocation date, later loan rate, loan interest, etc...)

Good evening, sounds like a feasible project. For the owner-occupied dream home, I would personally choose a longer fixed interest period, for example 20 years. At today's interest rate level, this is definitely a safe option, but everyone has to decide that for themselves. The nominal interest rate in this constellation is then probably around 1.15% (in my opinion justifiable).

The project has my blessing.

Cost-saving strips nice and high, that fits.

yeah fits since you are already 3 there