Financing single-family house with granny flat for parents

Everything is a bit vague unfortunately. Your wife’s salary is excluded, okay. But how much does she earn if you include it again? Part-time? Full-time? How much does the daycare place in Hamburg cost? For me in 2018 in Hanover it was almost 400 EUR/month for full-day care...

Household budget book okay. 500 EUR are saved, that’s 6,000 EUR/year. How do you want to build up 450,000 EUR in equity even remotely from that?
Are expenses for furniture, vacations, new bikes, clothes, etc. included in there?

PS:
And have you really included all the costs that will come up in the house? It’s not just the installment to the bank. For 220m² you will have considerable incidental costs… and such a property must also be maintained, that’s ongoing costs.

My wife’s salary is certainly currently one of the biggest unknowns. She will return part-time and we can conservatively calculate with about 1000 EUR net per month. Daycare is free in Hamburg, and we neither need nor want full-day care. With the current savings rate of 500 EUR, expenses for vacations, clothing, etc. are already deducted. What certainly should be considered better are expenses for new furniture, kitchen, and increased incidental costs.

I find the discussion about a "dream" house on a non-existent plot of land with a considerable financing gap in one of Germany’s most sought-after large cities quite pointless. If you find even remotely a plot that corresponds to your plans, you can ask the question again.

Thank you for this helpful contribution. You have to start somewhere, right? Even if only to realize that you have to scale back your expectations. By the way, here in the southern Hamburg area (border to Lower Saxony) there are quite a few listings that currently are also not being sold.

Oh, I completely overlooked that. 650 EUR/m² in Hamburg?
In Hanover (city area) you can’t get a plot under 900-1,000 EUR/m².

This is about the outskirts of southern Hamburg. Current listings are definitely within the reference land value around 650 EUR and seem not to have been sold for several weeks.

The 26.01 _has_ three children’s rooms and is very generously laid out. The upper floor has 127 sqm of space! So more living space than the 150 sqm the OP has planned for the main apartment. I am not even talking about 4 people here!
So I would first add 1 and 1 together before shaking my head disdainfully!

And yes: the OP expressed his wishes for 2-4 children in 2020. That may have changed beyond doubt, but it doesn’t change the fact that the 26.01 (or let it be another house) has to be quite large in footprint if both units are to fit on the ground floor.

First of all, thank you very much for your detailed assessment. We are currently still planning with 2-3 children, just to clarify that once.
What construction costs would you reckon for such a project if 3000 EUR are set too low?

More generally:
Overall you get the feeling that we cannot afford a plot with a single-family house (with or without a granny flat). I didn’t consider our requirement of 150 sqm very unrealistic now, and we as a family don’t really need to hide regarding income either. For young families, however, something like this apparently only remains possible with a generous inheritance. Because even a gift in the range of 100-200k EUR from the parents wouldn’t significantly get us any further. With construction costs of over 3,000 EUR/sqm and >650 EUR/sqm reference land value, such a property will probably remain wishful thinking; you would then have to take a plot of about 400 sqm and limit living space to less than 140 sqm.

one would have to take a plot of around 400sqm and limit the living area to <140sqm.

With 30 years in the catchment area of Hamburg, a 140sqm house on a 400sqm plot would not be a punishment but still something many other young families can only dream of.

At 30 years old, in the Hamburg metropolitan area, a 140sqm house on a 400sqm plot would not be a punishment but still something that many other young families can only dream of.

One must not forget that people who are now in their early 30s have only known the unnaturally low interest rates in their adult life and the resulting demands / realized dream house fantasies of some builders.

This is not directly related to the original poster. Just a general remark.

Thanks for this helpful post. You have to start somewhere, right? Even if it's just to realize that you have to scale back your expectations.

I would consider myself one of the last people to discourage others from building. On the contrary. But here wish and reality are still so far apart – I don’t see how you could quickly save 450K.

It doesn’t help that

... in the southern part of Hamburg (bordering Lower Saxony) some listings ... currently ... aren’t moving.

Maybe people are looking more at existing properties? If by chance there is a stroke of luck, I’m happy to help with advice to squeeze every euro out of it. But at the moment I still have big doubts, sorry.

This is about the peripheral area of the southern part of Hamburg. Current listings are definitely within the range of the standard land value around 650€ and have apparently not been sold for several weeks.

Can you give an ID? No link, links are forbidden here
I see one in Hamburg Fischbek, where a total of 129 sqm of living space is allowed.
Oh... nest building for 545,000€... have you guys looked at that? Don’t forget to factor in purchase incidental costs and demolition costs.

Find a reliable general contractor nearby, they should calculate for you how expensive the construction will be.

Do the parents even know about their luck? What do they say about 70 sqm? How old are they? Clarify how much they are willing to contribute.

Would the surrounding area of Hamburg maybe be interesting for you? Something like Stade, etc.? You should get property cheaper there than directly in the city. I know people who did it that way. The husband commutes from Stade to Hamburg and now sometimes works from home. Well, unlikely with IG Metall. But at first he commuted fully. I find the total project costs of almost 1.4 million quite tough for your income. Most people are intimidated before half that amount. We estimated less than half, and my mother’s self-built house from the 70s already strained her nerves with that.