House purchase with construction loan repayment rate

2020-08-05 06:24:12

How do you come up with 600,000? Including incidental purchase costs, I am at 550,000. Let's add a maximum of 5,000 for painting and moving.

Currently, we spend around 800€ in total for housing (including heating, electricity, internet, ...) So if we save 600€, that's 1,400€. On the other hand, we have around 1,100€ rate + 200€ reserve + 500€ additional costs = 1,800€ that we will have to plan for housing in the future. So 400€ more. However, the current 800€ is also extremely low for our area. A move would be unavoidable anyway, and for the next apartment, we would have to reckon with around 300-400€ more, so around 1,100-1,200€ all-inclusive. That plus the current savings, then we are back at the costs the house causes. And that is exactly our dilemma, and we think it would be better to put the money into a house than to transfer it to the landlord’s account.

As soon as the parental allowance runs out, the wife will work more again and thus replace the 280€ parental allowance with about 480€ income. So the total household net income will increase by about 200€. We would then have around 3,500€ to plan for in the future. Do you still think that is too little?

They also say as a rule of thumb: a maximum of 1/3 of household net income for repayment. With the current 3,300€, we would then be exactly at 1,100€.

Ok, thanks to both of you!

The child then has to go to daycare. Is that free for you? Does the wife then get to work for free and you have no costs for:
- Gas
- Second car
- Monthly pass?

You are making everything look good for yourself. The property is way too expensive for your circumstances.

2020-08-05 06:34:07

Strictly speaking, they are not actually dependent on the rental income. The money could be planned for the special repayment or for vacation or other "luxury". I also find it a bit tight (it wouldn't work for us), but due to the government loan, in my opinion, the risk is limited.

What special repayment?
I'll calculate again, in the best case:

Income: €3,500 (including parental allowance and 2x child benefit)
- €1,100 installment
- €500 ancillary costs
- €200 reserves
= €1,700 remaining
+ €400 from the granny flat
= €2,100
Four people have to pay from this:
- groceries
- clothing
- car 1 or 2x including insurance, motor vehicle tax, gasoline
- retirement provision. If the woman should only earn €480, what kind of pension will she have?
- leisure
- extra costs for the house. Whether decoration, furniture etc.
- daycare
- vacation?

And with €2,100 we have €0 savings. What if the washing machine breaks down or the car? Does another loan come? What if the rent stops for one or two months?

2020-08-05 08:10:35

regarding the decision for a bank:

I simply took the one with the best conditions. I don’t care where the money comes from
It’s not like you can negotiate with them later about things that are not contractually regulated.
In unforeseen situations like Corona and short-time work, you also hit deaf ears with them!

Ergo: If it’s not contractually regulated, you don’t even need to bring up the topic. Take the bank that offers you the best deal!

2020-08-05 08:37:43

In unforeseen situations like Corona and short-time work, you also encounter deaf ears there!

Fortunately, I can contradict that. A good bank is interested in a solution for the customer.

2020-08-05 08:55:07

Finding out which bank is good and which is not is a lottery, especially in unforeseen events like [Corona].

2020-08-05 09:10:21

Not quite a lottery though. I generally claim: The local branch bank will be more willing to implement a special solution than the internet direct bank.

House purchase with construction loan repayment rate

Ybias78

Ybias78

Alessandro

sebastianAZ

Alessandro

Tassimat