How is a 400k loan financible without equity? Net equity at €4,500

I would now like to see that separately. Back then, you chose the Kasseler bar version (in comparison to me, you were rather frugal) and that was fine for you and you should have been happy about the experiences. Whether someone else must have had a boring life because of that, sitting at home only on weekends, giving up "everything" from their point of view (which was mostly bars for you) and having to be laughed at is a completely different matter. (...)

Wait – we ourselves still built anyway, so personally it’s not even about me here. But I know enough young people in my circle of acquaintances or at work who are currently looking and hardly have any chances even with above-average salaries, EVEN THOUGH they didn’t live extravagantly. Because the prices for building land and real estate have skyrocketed in a short time like never before and wage development has long since not kept up. Friends of ours bought their house 3 years ago at a price that took my breath away back then. I really thought they had gone crazy. Today you wouldn’t get anything decent for that price anymore. It has simply become enormously difficult to keep up, and even disciplined saving often no longer helps if your own annual savings just correspond to the price jump within one year. At some point, you feel like the frog in the milk churn.
It doesn’t necessarily have to be the nightlife where today’s missing money has gone. A young couple who, for example, decided against partying and for having children early, end up looking just as empty-handed today with this enormous price development, because an income was completely or partially lost early on and was then missing for equity building over several years. I believe some who had children in 2009/2010 would have secretly preferred to postpone having children again if they had guessed what would happen in the housing market in the following years. Of course, every generation has its own challenges to overcome, but when it comes to creating homeownership, today’s young generation is certainly not to be envied.

When you see what the last financial crisis and the countermeasures triggered in the real estate market, I am curious about the consequences of the stimulus packages from the Corona crisis. Interest rate increases are still not in sight and more money is being pumped into the system. If a vaccine is found, it should go up again after a certain recovery phase.

History does not repeat itself, it only rhymes at best. Of course, many things are possible, but certainly no more large interest rate cuts. A vaccine is possible, but that is not certain either. The global economic crisis is just beginning.
If the recalculation of inflation, which currently takes the real estate sector (rents) more into account, prevails, low interest rates will suddenly be difficult to sell (politically, of course, they want to maintain them). And the question we have already discussed here – who will then still be able to afford the corresponding houses? Even the heir generation has to sell the houses to a buyer. And no one seriously believes that the golden years of the last decade will continue unabated.

You had already talked about yourself and your experiences! Even though you are now describing different things than before, you have my absolute approval for what you wrote. It is sheer madness where real estate prices are heading. When my parents sold their little house in 1989, there were hardly any real estate agents; the bank handled everything; there was no internet. I'll put it bluntly: in the past, it was car salesmen who switched to and from the insurance industry and suddenly the first of them began selling real estate (based on my multiple experiences). I don't want to generally criticize real estate agents, but compared to the use for the population, the exorbitant costs are disproportionate. Unfortunately, this was not recently dealt with consistently by law. An important notary gets a tip compared to that. It is true, today's generation really has a hard time with the topic of building a house and the crazy costs; in some other countries, you can already guess where this will unfortunately lead. Nevertheless, every generation is a child of its time, and despite all the valid points, it is as it is and was. Therefore, one should accept it and try to make the best of it, just as previous generations did. In the long-established Europe and the prevailing globalization, from which many also benefit professionally, the present or coming generation may seriously need to consider living and working in other European countries where they can perhaps realize their other dreams more easily. That too is possible and a conceivable option for young people. Everything has its price!

That may be so - but it does not have to be or become so.....

This morning, the newly set square meter prices of our neighboring community are in the newspaper.

Last development area in 2017: 88 Euro/sqm developed

New development area: depending on the building plot 135 - 160 Euro/sqm developed

That makes an increase of 53% to 80%... so much for "Corona crisis" and "now prices will definitely fall"...

That’s all on the topic: Youth save too little.

This morning, the newly set square meter prices of our neighboring community appeared in the newspaper.

Last development area in 2017: 88 Euro/sqm developed

New development area: depending on the building plot 135 - 160 Euro/sqm developed

That makes an increase of 53% to 80%... so much for "Corona crisis" and "now prices will definitely tumble"...

So much for the topic: The youth save too little.

Hi, why should they fall? Besides, in this 3-year period the average loan interest rates dropped by 0.5%. So a small consolation.

Last development area in 2017: 88 euros/sqm developed New development area: depending on the building plot 135 - 160 euros/sqm developed That makes a plus of 53% to 80%... that was nothing with "Corona crisis" and "now the prices will definitely drop"...

You can then report how quickly the plots were sold. I still remember the articles about the empty development areas in 2009, which only filled up many years later. Currently, you see asking prices, here surely set by the municipality many months ago. In 6-12 months, we will know more.