Home financing about 500K - Can I afford it?

I would leave the parents' house out of the game. Let some misfortune happen and your parents are involved in it.

You could say a bit more about the costs of the project upfront.

It would be a bit too high for me, but that is a matter of taste. When we started our financing about 4 years ago, a rule of thumb was about 5% annuity per year of the loan amount. That would be €22,500 or €1,875 per month for €450k. With 4%, you get exactly €1,500 per month.

It can be done, but I think that is already a bit high.

Quickly: At an interest rate of 1.0% and a fixed interest period of 15 years, the remaining debt at the end is around €230k.

I don't find the monthly burden unreasonable in relation to the loan amount, but I would have concerns if you look at the relation to income.

No, we don't drive much. Fuel and insurance come to 200 euros. I do the service myself.

My wife's income will then normalize again in 3-4 years and increase by 600-800 euros net.

See, that looks different already. That’s why there is always the advice to put the cards on the table and not to ask for every piece of information...

How about the costs? Who prepared them, how reliable are the figures? Is the plot of land already available?

I have roughly outlined the costs according to Dr. Klein, always taking the maximum value and adding another 100 euros on top at the end. The plot of land is not yet available. The plan is actually a small plot of about 400-450m2 costing around 150k and a house without a basement or frills for about 300k, where I will do the electrical work myself.

I have roughly estimated costs according to Dr. Klein, always taking the maximum value and adding another 100 euros on top at the end. The plot of land is not yet available. The plan is actually a small plot of about 400-450 sqm around 150k and a house without a basement and frills for about 300k, although I will do the electrics myself.

Hmm, first of all, you are building, not your parents. Leave them out of the whole thing. They have already invested enough in you.

300k just for the house could work, but it might not. Deduct 40-50k euros for additional construction costs and you are at 250k. With two children, I assume about 150-160 sqm. Don't forget that in two years: A) the plot will not cost 150k but rather 200k. So maybe start looking now and finance with a variable interest rate. Another question is, are there even any plots left in your area that you can afford? Your parents' 1.2 million house probably results mainly from the plot. If it is big enough, maybe you could build there? B) the house will probably be 6-8% more expensive as well.

Make a detailed calculation and see what works and what doesn’t.