Financing of 400k with 60-120k equity capital through a combination of BANK/KfW/savings contract

Yes, the high prices for existing properties have made us consider possibly building directly as well.

And is it more attractive for you to build even more expensively than to buy?

For the topic of financing, it is initially irrelevant whether we happen to find our existing desired property or plan a new build. For me, it's about what is financially feasible and whether my planned approach seems sensible and realistic. Banks and advisors all make money and do not necessarily recommend what is sensible for oneself... Friends and also family have built in recent years. I know what "can" come your way and simply see it as a possible option.

It is very significant. You are planning 40% EL. That means you buy materials and labor for the rest. That never works out. Then you think you have a write-off of €1100 and €600 as reserves. That doesn't fit either, because you will have good €200-300 in incidental costs. In addition, the budget will become tight, unless [Grundstücke] are given away. You are down-to-earth and fundamentally well organized in planning. However, some of your assumptions are unfortunately not quite realistic.

, I believe that in the calculation he means equity instead of own contribution.

Nonetheless, I find the purchase price very low. Here (although not in a cheap area) you can get at most a small house from the 70s for that price, into which you then have to put a lot of money to renovate it.

Hi everyone,

first of all, thanks for your hints and opinions. Yes, I think I didn’t express myself entirely correctly there and will correct that immediately. The calculation is actually about equity. Nevertheless, I don’t quite understand the objection regarding the additional costs and would appreciate clarifying that in detail. We currently rent a fairly old half-timbered house with a low energy standard and have additional cost installments of €275. For a KfW55 house, I then expect about the same additional costs. Plots of land start at around 35k here (depending on location and condition). The one we prefer would be 70k, if it works out at all.

Your additional costs will probably change. In addition to the classic costs such as electricity, heating, and garbage fees, now there are also [e.g.] property tax, which must be paid regularly. Furthermore, contributions to building and household insurance will likely be higher for a new building than for a "rather old half-timbered house." In addition to these costs, it is recommended to build up reserves for upcoming renovations from the beginning.