Financing Single-Family House 190 sqm - Loan Choice / Feasibility

What strikes me is the house price. 487 + 15 = 503 k€ and that including the double carport. For 190 sqm that should be a fairly low standard or you have included a lot of your own work?

Otherwise, I find the numbers reasonable and doable.

If there are children, 40% of the income goes for the house. You have to like that. I would rather choose the security model. So 20 years

The house price irritates me a lot.
487k for 250 sqm of which 190 sqm is living space.
That only comes to just over 2000€/sqm living space. And the carport is already included.
We already had 50k for ancillary construction costs before the price increase and not 15k.
Outdoor facilities in own work 15k could be possible, if no roofing or similar cost drivers are planned.

Otherwise all numbers sound logical so far.
Planning the wife working at 80% as a worst-case scenario I found interesting. Sure possible, but in our environment it is rather the upper than the lower limit.

Regarding the loan, I would split the amount.
The scenario with 4.75% is perhaps rather unlikely, but who really knows.
Only 15 years would be too risky for me as well.
That's why I would mix.
Overall you have insanely good interest rates. Friends of ours were offered 3% for 15 years and they also have a lot of equity and good income.

Income fits but the house costs can’t be right like that. 15k alone cost the connections with the building permit, not a bit of earth has been moved yet.
The building costs also seem very low to me. I assume the useable area includes a basement, then the prices definitely don’t add up.
We are building 180m2 without a basement and come to 650 kEUR with comparable land costs.

We have not planned a low standard but rather mid-range.

have some trades handled and also want to contribute own work here. The carport, for example, is purely timber construction and will be carried out together with a friend who is a carpenter

Starting from 23k for the kitchen, I would even question the mid-range aspect. What surprises me even more is how you can build such a large house at that price, even in Saxony.

Please be more specific regarding the self-performed trades. You won’t be able to save a gigantic amount just on the carport.

Thanks for the helpful input from your side!

We haven’t planned a low standard but rather mid-range. Our civil engineer has almost perfectly hit two cost estimates in our circle of friends and acquaintances. We want to buffer risks from the topic of price increases due to Ukraine etc. by having some trades on hand and also want to contribute self-performed work here. For example, the carport is purely timber construction and will be carried out together with a friend who is a carpenter. The 503 k€ do not include: kitchen, fireplace, possible photovoltaics.

I agree with you. BUT my employer is bound by collective agreements and negotiations are coming up again soon. In addition, there will be 2-3 relatively predictable salary increases at intervals of 2-3 years. Accordingly, a more realistic scenario should add 30-35% for the house. That would be okay for us.

I have already briefly explained the house price above. A woman working 30 hours after parental leave is quite common in our (Saxony) circle of friends. Some female colleagues even return to full-time after 1 year of parental leave.

I spoke with the bank today. They can only offer us the secured 2.42% for 15 years since these are still the conditions from 10.05. With a split loan, we would have 2.51% on 15 years ZB and 2.81% on 20 years ZB. Accordingly, I tend toward the "risk variant" 2.42% all in for 15 years.

Additional construction costs: This is because our civil engineer divides the costs somewhat differently. Approximately 35 k€ for planning, surveying, building permit, structural engineering, construction supervision, etc. are already included in the 487 k€ construction costs. Under additional costs only property-related incidental costs (construction road, construction site setup, construction electricity, development within the property) are included.

Total price: No basement is planned. Carport and the connected storage and workshop rooms are included in the usable area. Our civil engineer has relatively good contacts with local trades, through which he explains the prices. Where we will actually end up remains to be seen.