House construction 2024, affordable with little equity?

One should rather see it as rent that you pay to the bank in order to be allowed to live in the house. However, this rent is finite compared to rent paid to a landlord and goes into the house as repayment, like into a piggy bank.

But that is only half right because with a house you bear some costs that otherwise the landlord would have, especially the topic of maintenance. And here, super tightly financed houses are a problem. Often problems arise when the heating system needs to be replaced in 10 years. Particularly affected are the cases where some things (outdoor facilities) have to be paid from the current salary after moving in. If the installment leaves no room for certain reserves, then building a house is too big a step.

I am sometimes really surprised at whom the forum opinion swings one way or the other. (In both directions I've wondered before) 5000 net and apparently not working that long yet, I find that not so little that it seems like an absolute impossibility to me. Especially if saving continues now. But yes, of course, planning a house and setting a financial framework isn't really fun right now.

That is only half true because with a house you bear some costs that otherwise the landlord would have, especially the issue of maintenance.

You hear this argument again and again. But that is why you compare it with the rent including utilities and not with the basic rent. These costs are included there (unless the landlord is completely philanthropic or stupid).

continue our dream?

you are many steps ahead, having already been able to acquire a plot of land.

You should rather see it as rent you pay to the bank in order to be allowed to live in the house. However, this rent is finite compared to rent paid to a landlord and goes as repayment into the house, like into a piggy bank.

I see it exactly the same way.

But that is only half true because with a house you bear some costs that otherwise the landlord has, especially the issue of maintenance.

Maintenance does not immediately hit you with a new build either. If I move into a comparable new build as a tenant, it is also no problem for the landlord yet.

In my opinion, you don’t have to set aside hundreds of euros for it in the first few years.

I wouldn’t give up the dream. Sometimes I wonder, if two young people with good incomes can’t build, then who can? It doesn’t matter if it takes 25 or 28 years.

Personally, I also see it this way: if after a few years you realize that you cannot keep the house, you can sell it again and still move into an apartment. Then you are simply wiser than before, even if it costs you a lesson.

It wouldn’t be any different with a rented apartment; as a rule, you don’t live there your whole life either.

Edit: If I had always listened to everything advised to me regarding buying/selling a house, I wouldn’t have today everything that I have...

Maintenance doesn’t come up immediately with a new build.

Yes, of course. But if you can only save small amounts, you should start early so that there is enough saved for the new heating system before it is due. And then there must not be too many costs left from the actual house construction. Those who start late have to save even more. I’m not saying that you should let that stop you from building right away. But you should take it into account.

I completely understand you. Many of our acquaintances think the same way now and don’t feel like paying off 37 years.
My opinion on this is the following: Those who don’t build/buy will pay rent forever. Rent in Germany will certainly not go down due to immigration, political decisions, etc., especially not in Berlin.
So would I rather pay a constant amount X per month for 35 years or pay an amount Y until the end of life, which might currently be less than X but will sooner or later exceed it?

For us personally, it’s not about wanting or not wanting, but about it not being feasible. The 37 years were actually the best option, the offers went up to 45 years with constant repayment and interest. I am 32, we would have to finance well beyond retirement age. And we would have to finance a property that doesn’t really suit us because we can’t actually afford what we want. We had to make many compromises (1.5 stories instead of a bungalow, no smart home despite high affinity for technology, etc.)

Unless you buy a shell, you always have an asset equivalent to your debt and therefore the option to sell again and rent again.

Many people have the idea that you owe the bank a large amount and the house belongs to the bank.
That’s not quite right.
You should rather see it as rent you pay to the bank in order to be allowed to live in the house. However, this rent is finite compared to rent to a landlord and moves as repayment into the house, like a piggy bank.

Nevertheless, you should be able to afford the house and the payment.

In our case, financing wouldn’t be finite, that’s the problem.

How is it actually with selling? Doesn’t the bank have a say if you still have a few years left to pay off? At least a prepayment penalty is certainly due. Well, you can add that to the purchase price.

Of course, we were initially disappointed, too. But numbers on a piece of paper are honest, so the disappointment didn’t last long.

By the way, the general contractors still have full order books well into next year, but they informed us when canceling the offer that lately more and more people have decided AGAINST building a house and that we are in good company.

But of course, it might be that next year we say, "Man, we were stupid, we should have built at these prices!":D

We will also afford something of our own in the next few years, just a few sizes smaller. As security for old age and for the feeling of being able to escape to the countryside, which we city dwellers often have.

Oh yes, everyone always calculates that you’ll keep rising in salary in old age. That’s correct. Does anyone also calculate the opposite? My husband, for example, works in quite a niche field and doesn’t find (well-paid) jobs so easily again. What if, God forbid, one of us fails and the financing is tight? We are done with planning children, but what if one slips through after all? Our firstborn was also unplanned, then again parental leave here with financial losses and high expenses because you need a car in the village, especially as a fresh mom who often has to go to the doctor.

I’ve digressed, sorry. For the OP, the whole thing is somewhat more relaxed thanks to the land. Presumably, we wouldn’t back out here either but see to it that we can contribute the paid-off land as equity at the start of construction.