Home construction financing - House price and ancillary construction costs

Tiles were also sampled and are already included in the price. Villeroy & Boch Nature Side. Bathroom line Subway from Villeroy & Boch. "Puffer" in this case is the small stuff that creates a lot of mess (a few stainless steel strips as tile edging, etc)

What would cause me much more headaches in your position is the amount of your equity capital. The 20,000 EUR are only about 6% of your total costs (as ypg rightly pointed out, still without the outdoor facilities). You do have an above-average family income, but a total loan of 320,000 EUR would be clearly too much for me.

Yes, I would also prefer more. :( We have thought long about whether to do it with the equity capital. But since I do not expect (danger of crystal ball :) ) that prices for plots and houses will fall in the coming years and a comparable plot in the region costs almost double the price per square meter, I am currently seriously wondering whether I can save against the price increase in the medium term (hopefully with a stable rent) and significantly increase the equity ratio.

In addition, the plot is only just under a kilometer from the parents. Besides the sentimental family aspect, this has in my opinion the advantage that the much-discussed area of children and childcare here is considerably alleviated.

What would cause me much more headaches in your place is the amount of your equity. The 20 TEUR are just 6% of your total costs (as ypg correctly pointed out, still without the outdoor facilities). You do have an above-average family income, but a total loan of 320 TEUR would clearly be too much for me.

Yes, I would also prefer more. :( We thought for a long time about whether to do it with the equity. But since I don’t assume (danger of crystal ball :) ) that prices for land and houses will fall in the next few years and a comparable plot in the region costs almost double per square meter, I am seriously wondering at the moment whether I can save against the price increase in the medium term (hopefully with stable rent) and significantly increase the equity ratio.

In a way, you are both right. Whether it really makes sense to save against the price increase, no one can tell you. However, upon rereading, I have to agree with Baumann2013. I had mistakenly overlooked the 50,000 KFW grant at the beginning and assumed a loan of €270,000. Honestly, I also find 320k to be very (for me too) much. For comparison: we have a significantly higher income than you, have two children, and our family planning is completed, and even for us 300k was absolutely the maximum pain threshold. For the reason that unforeseen events, whether a temporary unemployment, illness/sick pay, or that I may have to work part-time because of the children with correspondingly lower income, can also be compensated over a longer period without reaching the financial "throw-up limit."

Accordingly, you should carefully consider which risks you are willing to take or whether it might make more sense to wait until the child or children arrive and more equity is saved. At the moment, you are not even 30 yet, so there is certainly no reason to panic now.

Moreover, the plot is just under a kilometer from the parents. Besides the sentimental family aspect, this also has the advantage, in my opinion, that the much-discussed area of children and childcare is significantly alleviated.

You are certainly right about that. Fortunately, we also have both sets of parents nearby, so that someone can occasionally step in at short notice if a child gets sick or has to be picked up from daycare/kindergarten. That is nice and helps a lot in some situations, but we would not want to pass on general childcare to the parents (if that was meant). After all, everyone should be able to live their own life.

And that is precisely for the reason to be able to compensate for unforeseen events, whether it be temporary unemployment, illness/sick pay, or that I have to work part-time because of the children with correspondingly lower income, even over a longer period of time, without reaching the financial "vomiting point".

That is exactly the crucial point. As long as everything runs smoothly (both: full employment, healthy, no children,...), it should be doable. Especially since you also want to make special repayments, which can indirectly be seen as a "savings performance" with the normal repayment rate. However, the whole house of cards collapses when an income actually disappears. Personally, I would only take such a financial risk where you can still barely maintain the financing (by reducing the repayment to 1%) even if you rely on only one income (although I already know that this is often not possible).

As you wrote, you can currently put aside 1,000 EUR per month for the house. That would be an additional 60,000 EUR equity in 5 years (and that is really not late for a house build). I hardly believe that your house will cost 60,000 EUR more in 5 years. The construction industry will also eventually realize that price increases cannot be quite as extreme anymore. Because then soon no one will build anymore.

On the subject of special repayments, I personally think it is better to put these amounts directly into a higher repayment rate. And that is for the reason that surely a thousand reasons come to mind from time to time as to why you "exceptionally don’t make a special repayment this year". And regarding parental allowance... Who guarantees you that there will still be parental allowance in its current form in 5 years?