Financing plan - How much can we afford?

have you considered how the financial situation would look if your girlfriend stays at home for a while because of the children or only works part-time? Why keep the rented house if it doesn't bring in any income and the rent has to be used for repairs?

Best regards
Sabine

You have already received some answers. However, two more aspects.

My girlfriend currently owns a house (inherited), which is rented out to 3 parties. However, the rental income is actually intended for repairs, etc., and not for financing.

Does it really? So, is it not a subsidy business? And are value increases expected in the foreseeable future; in other words, are you really keeping the property in good condition including value-preserving/increasing measures or will the house be rented out cheaply?

Car loan: €500 for 6 years, after these 6 years I would definitely reduce it to €200 to €300, since the purchased electric car is intended for a longer period.

Hey, electromobility. For example, Tesla promises its customers I believe 70% battery capacity after 5 years at 80,000 km. For how much longer than the 6 years do you plan to keep the e-car?

Equity = zero or even less. 6 years of car at 500 euros = 36,000 €. Accordingly, you have not been able to save any equity in recent years but have made a loss. I would not trust you to finance a house of this size at the present time. I would put the planned installment (1000 euros?) aside for the next 2-3 years and see if it works out. After that time, you will have equity to at least cover the incidental costs. Then you only need a 100% financing instead of 120% financing.

Thanks already for the many answers!

I think we will first step away from the idea for the coming years and continue to save money. Basically, it’s not like we absolutely have to build. My girlfriend already owns this one house and will eventually (hopefully not for a long time) inherit another one. Same with me, the inheriting part. The idea came more from the fact that I said I don’t want to throw money out the window (= rent) anymore. Hence also the inquiry here, to come back down to earth.

About the house my girlfriend owns. She will not sell it because it has, in a way, a sentimental value for her. The income easily covers the repairs; she just doesn’t want to use the income for other things. So more a matter of not wanting to rather than not being able to, because the expenses for repairs would be that high. And yes, she keeps the place in shape, always doing repairs, and soon the roof will be completely redone. The property is huge and half of it is not even used (--> overgrown meadow), but it’s also extremely unattractive in terms of location.

The electric car will even be a Tesla (Model 3), but you can drive that forever.

Thanks again to you all!

Thanks already for the many answers!

I think we will first move away from the idea for the coming years and continue saving money. Basically, it’s not like we absolutely have to build. My girlfriend already owns this one house and will also at some point (hopefully still a long time from now) inherit another. Same for me, regarding inheritance. The idea actually came up because I said I don't want to throw money out the window (= rent) anymore. Hence the inquiry here, to come back down to earth.

About the house my girlfriend owns. She won’t sell it because it basically has a sentimental value to her in a way. The income easily covers the repairs, she just doesn’t want to use the income for other things. So it’s more a matter of not wanting to rather than not being able to, because the expenses for repairs would be that high. And yes, she keeps the place in shape, does repairs again and again, soon the roof will be completely redone. The plot is huge and half of it isn’t even used (--> overgrown meadow), but its location is extremely unattractive.

The electric car will even be a Tesla (Model 3), but you can drive that forever.

Thanks again to all of you!

Just as a side note, one should learn to let go of sentimental things when they start costing money (rented house).

Tesla: I think it’s a myth that you can drive a Tesla forever. You can post that in 20 years, if there’s still a Tesla on the market^^

So the 119 sqm not being enough for 1-2 children is also exaggerated.