Hire purchase of a solid new building

That all sounds logical of course, but if we theoretically bought an old house in need of renovation and refurbishment for 250,000 (which would be possible) and then added the costs and effort of renovation etc. and the higher ancillary costs in the long term due to the energy value, wouldn’t we end up almost equal to a ready-to-move-in new build (KfW 70) as a rent-to-own?

No! For reasons, Domski was faster...

If the bank does not give you more than 250k, there must be reasons for that. Without much equity, it is currently impossible to get into ANY home with 250k. Regardless of whether it is a purchase or rent-to-own...

That all sounds logical of course, but if we theoretically bought an old house in need of renovation and refurbishment for 250,000 (which would be possible) and then added the costs and effort of renovation etc. plus the higher ancillary costs due to the energy rating over time, wouldn't we end up almost the same as with a ready-to-move-in new build (KfW 70) as a rent-to-own?

You are comparing apples and oranges. With good spending discipline - provided the property is not completely run down at purchase - you will almost certainly be significantly cheaper overall with renovation. Topic energy: Whoever wants to save energy must invest. We are not yet at the point where this investment always pays off financially. For us, it was important to build a CO2-neutral house in operation. Financially, it could have been done cheaper in other ways.

What also doesn’t fit, current cold rent for a new apartment is 1100 euros, new building but only 250k including land, so somehow I’m missing 100k euros to speak of something similar.

What also doesn’t fit, cold rent currently for a new apartment 1100 euros, new build but only 250k including land so somehow I’m missing 100k euros to talk about something similar.

The cold rents for a 4-room apartment are so high here. The houses for 250,000 are usually on a leasehold plot.

The cold rents for a 4-room apartment are so high here. The houses for 250000 are usually on a leasehold property.

So you basically only buy the house and rent the land (with all the advantages and disadvantages of leasehold rights). However, you still have to pay for it – the costs are rather higher than comparable financing costs for the land.