Financing plan too unrealistic?

So the plot already exists, it is reserved / bought ?, the development is expected from November or why shouldn’t there be a start before that ?, a house is apparently concretely planned (and the price comes from the only obtained offer ?), around the house there should remain a construction site stubble field and you enter it via pallets ? At your age and with such a young specific and still uncertain sibling child, I would have advised an interim house ...

Hi, yes, the plot exists and the development is in full progress. Completion is planned for November. We have planned the house in the floor plan and could still make cuts, but these are rather in the range of max. 20K EUR. We had several developers to choose from and we are really satisfied with the current one. Yes, a driveway and the landscaping have to be done. For the first time it will probably be pallets. If I go higher with the loan amount, unfortunately, the interest and the installments increase so much that I only get a stomach ache. I once calculated an extra 50-70K in comparison and then ended up with a 2K installment.

What would 10 years or 15 years fixed interest rate cost? I thought you can’t get a mortgage with less than 2% repayment anymore. I wouldn’t go below 2%.

mh, with a 15-year fixed interest rate the bank would go down to 2.96% and we would be at a 1740 installment. In my opinion, that doesn’t bring a big effect compared to the interest rate risk.

Yes, the costs for the children also weigh on me. Can you describe a bit more closely how much the children cost on average per month across the different stages of life?

On average, about €500 per month in the first five years of life, then about €600 per month until the 12th year of life, and subsequently about €700 per month until reaching adulthood.
Those who earn more spend more and vice versa. I can confirm the figures well with three kids. They will actually have cost me/us half a million until they reach adulthood (child benefits should be deducted from that).

Still up for children number two and three?

Yes, a driveway and the outdoor facilities need to be done. For the first time, it will probably be pallets. If I increase the loan amount, unfortunately the interest and the installments increase so much that I only get a stomach ache. I once calculated an extra 50-70K in comparison and then was at a 2K installment.

I think the 2000 installment is necessary for the whole thing to make sense. In my opinion, anything over a 30-year term is too much and you are at 34 years. Actually, your income isn’t bad either and a 1500€ savings rate doesn’t sound bad either. At first glance, it's also not quite clear to me where your money is leaking away. I quickly added up all expenses and the savings rate and come to 4700€. Now with parental leave, not much is actually left, but normally with the 5600€ there shouldn’t be the impression of breaking even, after all we are talking about a surplus of 900€ per month.

In short: you need at least 25-30K more in the calculation or financially it won’t work out (additional building costs, kitchen, outdoor facilities) and you will have to restrict yourselves somewhere for the house. And make sure to check your household budget again. The days when you could build a house without restrictions are unfortunately over.

Whoever earns more spends more and vice versa.

But that’s also the key. If you have no money left, then there are no expensive kids’ birthday parties at the fun pool/etc. and instead of ballet, it goes to the girls’ dance group of TSV Hintertupfingen ;)

We received almost everything as gifts or bought second-hand cheaply. But that only lasted for the first 3 years; since then, the children really cost money.

I find that realistic.

On average, about €500 per month in the first five years of life,

Those who earn better spend more and vice versa.

Here I find it a bit exaggerated. Yes, one can. But one does not have to. You can actually buy many things (e.g. toys and clothes) in very good condition at flea markets or on eBay or from colleagues. My colleagues do this too with their school-age children: many are half a year or one to two years apart, and if it’s pink, the next girl likes it too. You can also teach value and thrift if you model it yourself. Then you grow kohlrabi and lettuce, and so it can also work within the family with a smaller budget. More will emerge over the years. I wouldn’t worry about that. I would rather look at where extra costs (EL) need to be paid. The incidental construction costs as well as the materials for floor coverings and the additional costs that occur during construction and are not covered within the construction service specification should definitely be included in the financing now. Instead of paving, you can also gravel; the entrance platform and splash protection should definitely be done. I also do not see special repayments. The bonuses will probably have to cover the further outdoor facilities. Incidental costs are also not €500 but rather €300. However, a savings rate for the next car must also be planned again.

Withdrawing cash: 250

Shopping: 200

Others: 419

What kind of synonyms are those? With that quite good salary, money is leaking somewhere!

It can be done, with the risk that a - additional financing might be needed b - the woman's part-time work equals parental leave level. So everything is very tight for living.