@11ant saw it correctly: instead of giving a city villa a knee wall, it would be better to work with another house type here (which I then call a 1.5-story house) as a basis.
You can’t just "give" a city villa a knee wall – you can only chop off two corners at the top to lower the eaves of the attic into the upper floor and rename the stubs of the former straight walls as knee walls.
But that is simply foolishness from house sellers. I also miss the clarification of the reason why this may have happened: height specifications from the development plan or budget specifications from the builder – and was she really only presented with that one initial floor plan (and of all things one of a city villa, when every provider also has a "country house" line in the program)? The illustrated terrain modification also makes me continue to doubt professionalism. It seems exaggerated to me and is also not associated with any recognizable purpose. On the topic of heat pumps: 0. it doesn’t matter who introduced them here, but it does make sense to split fundamental questions about heating technology into a separate thread (if the ones already existing are not sufficient); 1.
the heating technology and the house belong together, i.e. you can’t focus on an "optimal" heating technology and then change the energy standard of the house (energy saving ordinance, KfW55, KfW40, low-energy, passive) without having to change this decision too; 2.
the advice on this is only worthwhile from an experienced professional company: general contractors – "finished" house builders almost always, with the "solid" builders at least the big names – do not advise neutrally here but have their volume bonuses from suppliers in mind. : we don’t say all this to make you feel stupid. You have simply – like tens of thousands of other laypeople too – overlooked that the professionals you got in touch with are above all cunning experienced pickpockets whose feigned efforts for your building dream do not come from the heart. But now you have found in this self-help group of many dozens of other laypeople who are also currently mastering or have already survived a similar situation.