House construction / Financing single-family house conceivable?

Am I reading this correctly? Living expenses - Miscellaneous 600 € for three people? From my point of view, something doesn't add up.

I would personally calculate the construction costs considerably higher, if it doesn't end up that expensive, all the better.

Well, but you can only calculate higher up to the point that you can actually afford to pay it. I don't see a bank giving a loan of 400,000 euros. That would mean a rate of about 1,500-/1,600 euros and would exceed the desired rate by far. I personally consider a maximum of 400,000 euros all inclusive as the absolute limit. That would leave 320,000 euros after subtracting the 80,000, and a rate of about 1,200/1,300. If the plot alone costs 120,000 euros, then 280,000 euros remain for the house and incidental costs. With 130/140 sqm of living space, however, that is unlikely. Unless both roll up their sleeves themselves.

What is the reason for that?

Because both work full-time with rather low net income. With additional costs, half of the income is gone. Harakiri

I personally would calculate the construction costs significantly higher, if it doesn't turn out that expensive, all the better. Additionally, I would also include reserves for a new (used) car.

With your wife's income... Isn't there really not much more to expect in the foreseeable future? Especially since no more children are planned? €1,000 net for 40h/week I personally find outrageous for a vocational training job, even in tax class 5. What is that in gross?

Hello, regarding the reserves for a new (used) car, you are absolutely right. I have to revise my calculation here.

As for my wife, we don’t see any major salary increase at this point at least. As mentioned, she has been working for about a year and wants to gain experience first. (Tax class 5, gross about €1800).

We don’t really have a desired installment yet. It is more about whether it even makes sense to think about a loan/house construction in this situation.

So far we can definitely save the following, as it is debited directly from the account

[*]€300 - standing order
[*]€250 - building savings
[*]€162 - Riester
[*]€960 - cold rent.

So about €1670

But as it looks, we first have to save more or something has to change regarding our income.

Thanks again to everyone so far!

PS: I will double-check if I have overlooked anything under the item living expenses – miscellaneous €600.

Hello, regarding the savings for a new (used) car you are absolutely right. I need to adjust my calculation here. With my wife, we at least don't see a big salary increase at this point. As mentioned before, she has been working for about 1 year and she wants to gain experience first. (Tax class 5, gross approx. €1800). We actually don't have a desired installment yet. It's about whether it is worth even considering a loan / house construction in this situation. So far we manage to save the following firmly, as it is directly debited from the account

[*]300€ - standing order [*]250€ - building savings contract [*]162€ - Riester [*]960€ - cold rent.

So about €1670. But as it looks, we have to save more first or something needs to change with our income. Thanks again to everyone so far! PS: I'll check again if I missed something in the point living costs - others €600.

I would not touch Riester, I don't think it is possible anyway. So about €1,500 remain. That would probably also be around the installment. But then you couldn't save anything anymore and if a car repair / new washing machine, etc. is due, it will get more than tight. If possible, I would first look for a plot of land in your place and finance it out of equity; if possible. Land prices usually get more expensive and you can later either apply it as equity or if you don't want to build after all, then sell it. Furthermore, you can temporarily use it as a garden or for barbecuing.

If your wife is in tax class 5 (and you then presumably 3), do you have to pay additional taxes? This should not be forgotten in the calculation.