Financing single-family house new construction your assessment as of today!

The fixed interest rate is planned to be 20 years at 2.5 with 2% repayment, we were already at the bank for the first time last April where I was offered 1.03 percent for 20 years, unfortunately the land allocation has been delayed so far due to a lawsuit! Now we have to live with the fact that the interest rate has worsened. The next bank appointment will only be made when the land also works out, I want to avoid constant Schufa inquiries!

I have certainly made 7 loan inquiries at Sparkasse and Interhyp in 2 years. Last week I obtained a Schufa report and only the actually concluded loan was listed there. I would be more concerned about your car loan with regard to Schufa. However, I would be surprised if you get 2.5% interest on a 20-year fixed interest period - that would be very good and of course I wish it for you! As I said, since information on living expenses (you also have to eat and wear clothes) is missing, a final assessment of your overall situation and potential is only possible to a limited extent. Holiday and Christmas bonuses go into the leisure, holiday and consumption fund and not into the planning of your financial foundation ;-) Do your children a favor when the time comes, they want to be entertained too.

The fixed interest rate is planned for 20 years at 2.5 with 2% repayment, we were already at the bank for the first time last year in April where I got the approval for 1.03 percent over 20 years, unfortunately the land allocation has been delayed so far due to a lawsuit! Now we have to live with the fact that the interest rate has worsened. The next bank appointment will only be made if the land also works out, I want to avoid constant credit checks!

I don’t believe you will get the interest rate. It will be higher. Vacation/Christmas bonuses/premiums are not included in the income plan. Unfortunately, there are many details missing in your expense list, making it difficult to assess the rate. How much buffer is included in the cost planning? If none at all, then calculate at least 10% buffer before you go to the bank, because the additional costs are there... Accordingly, the loan-to-value ratio and the rate will also increase.

The interest rate is currently changing weekly, so at the moment you can only wait. This is just a rough calculation for now; if the interest rate continues to rise, I will have to think of something else anyway. I rule out a higher rate than €1600 per month for myself, that is my personal limit. Certainly, one could still adjust the term a bit, but I definitely will not finance beyond retirement! The rents here are now also at €1500 cold rent.

Loan amount €408,000.00
Fixed nominal interest rate / effective interest rate p.a. 2.72% / 2.77%
Monthly payment €1,604.80
Interest rate fixed for 20 years
Calculated term 31 years, 8 months

The interest rate is currently changing weekly, so you can only wait and see at the moment. This is just a rough calculation; if the interest rate rises further, I will have to consider something else anyway. I rule out a higher payment than €1600 per month for myself, that is my personal limit, of course, you could still adjust the term a bit, but I definitely will not finance beyond retirement! Rents here are now already at €1500 cold.

Loan amount €408,000.00
Fixed nominal interest rate / effective interest rate p.a. 2.72% / 2.77%
Monthly payment €1,604.80
Fixed interest period 20 years
Calculated term 31 years, 8 months

Alright, that means your construction project is off.
Sounds bad, but it is what it is.
There is no buffer included in the costs and the payment. That would be financial suicide in today’s times.

All right, that means your construction project is off. Sounds stupid, but that's how it is. There is no buffer included in the costs and the installment. In today's times that would be financial suicide.

I would like to ask the OP again to explain what is meant by purchasing at net prices and whether indeed all trades agree to use "external" materials. I suspect roots of the family in the construction industry/construction materials trade. I am interested in this because my parents are also self-employed in drywall construction and there is a medium-sized building materials dealer in their close circle of friends, and still I outsourced everything. Because even the building materials dealer friend has nothing to give away, and the tax office would ask where the corresponding income for the 80k input tax deduction on material purchases is. You cannot just let the VAT for an entire (private) house construction "disappear" in a company without matching income.

We get the materials at the purchase price of the building materials dealer, because I work there! That amounts to 20-30 percent on average