How much money do you have on the edge?

At the end of the year, nothing remains with us. Free funds I put into [Sondertilgung], additional retirement provision, home renovations, wealth building ([Firmenbeteiligung], [Lebensversicherung]). This part corresponds to 50% of the income. The other half goes towards living expenses and house financing (without [Sondertilgung]).

I am an absolute consumption freak, so there is actually never anything left over. I always come up with something new and saving simply isn't my thing. Especially with higher earnings, demands often increase, so eating out doesn't cost 40 euros anymore, but rather 150 euros, and so on.

What is more important to me personally is that there is a buffer, and that's why not everything is put on credit.

At the low interest rates, I would already recommend financing the outdoor facilities as well, especially since it does not negatively affect the loan-to-value ratio for the determination of the conditions - as it increases value.

That is – with all due respect – nonsense. Of course it affects the loan-to-value ratio. Less strongly than if the measure in question were not value-enhancing, sure. But still far from "not" at all.

That is - with all due respect - nonsense. Of course it influences the loan-to-value ratio. Less strongly than if the measure in question did not increase value, clear. But still far from "not" at all.

Sorry, but I do not see how the outdoor facilities, which are 100% assumed to increase value, change the loan-to-value ratio in any way. It does not make sense to me at all and does not apply at all in my daily work with the banks.

At the end of the year, we don’t have anything left over. I put free funds into special repayments, additional retirement provision, house renovations, asset building (company participation, life insurance). That part corresponds to 50% of the income. The other half goes to living expenses and house financing (without special repayments).

I once knew someone for whom the special repayment was the highest priority, every free euro flowed into that... when a new car was needed, all bets were off. He absolutely did not want to take out another loan. Also, there was never money for anything else; the partner had to pay for that (meaning the "smaller" purchases, e.g., a new washing machine, which are always occasionally needed, not the general living expenses).

You have to have a reserve of available money. I know of the guideline of three months' salary. And I think many people also have to tap into this reserve when building. (Me too). And then it has to be replenished accordingly afterward. But maybe you are in the lucky position and did not have to use this reserve.

Sorry, but I don't understand how the outdoor facilities, which are valued at 100% added value, in any way change the loan-to-value ratio. It makes no sense to me at all and has zero application in my daily work with the banks.

Maybe then you fall, since the amount of equity remains the same, below some magical threshold (instead of 20% equity, for example, only 19.5%), from which there are more favorable interest rates? That can happen.