Inheritance share, family property, expand living area

What I don’t quite understand: You pay your father the full price for the house, build an extension for him with lifelong right of residence and low rent. That is already a pretty good deal for him, but for you it really adds up to the total costs.

hm, maybe we are a bit hasty? We currently see the buyout as the only way to get something bigger. As described, a lot of additional costs are eliminated due to: no realtor, no real estate transfer tax, and we have additional equity through the 1/6 inheritance. Advantages like: we have grandpa on the property who can also look after the kids. We can support him better later. Additionally, the value of the house will increase with later sale.

Is your father dependent on the money? In my opinion, it would be fairer to price in the right of residence and accordingly pay out e.g. only 50% of the house value to your father. Then you can also skip the basic rent, he would only take over the operating costs.

He is not dependent on the money. And if the rent from him disappears, we don’t (or can’t) want to pay an installment of €1400. There are several reasons why we currently prefer the complete buyout: - At the moment everything belongs to my father. If I buy everything from him, then it belongs to us and I don’t have to ask him anything anymore. He is then our slave :p and in this context I am no longer in the son role. It’s a gut feeling, when he still owns something, that I have to beg to be allowed to clear the bushes. - If we don’t buy it completely from him and inheritance occurs, I have to pay out my sister. I don’t just have €60,000 at hand. That worries me. - Are there other ideas?

Or is this already the 'family friendship price' that takes into account the right of residence, thus disadvantaging your sister somewhat?

My parents bought the house 12 years ago for €160,000. It has 93 m² of living space. Plus 43 m² of partly developed cellar (my youth room). The roof was redone 7 years ago and the heating system replaced 10 years ago. According to the appraisal, the windows are in good condition.

I could also attach the entire appraisal, but I am much more interested in fairness regarding payout in the event of inheritance and the implementation described in the initial post. What could be the cheapest solution and how should we approach it to find out?

Thank you very much! Have a great day.

I didn't mean that you shouldn't fully buy it from him.
Rather, that he doesn't get the full price for it.
He does receive in return an extension with a low rent and a lifelong right of residence.
The extension only represents a limited added value for you, renting something like that out later is not so easy and perhaps not even really desired. Whether a child would want it as a student apartment can be, but doesn't have to be, and it doesn't save huge amounts of money.

That you want to create clear conditions is right and necessary.
I meant you pay your sister in full (33k) and your father gets 66k plus the right of residence.
That way you have to take out less credit, pay a lower installment, he still has money at hand, and the living situation is resolved as desired, which to me also seems fair.

The appraiser's valuation will probably be fine. As long as the sister is satisfied with it, it actually doesn't matter.

About equity in case you buy something externally: That is wishful thinking that 1/6 of the house is worth so many euros. The bank only accepts that when the house is sold and cash is in hand. You can't sell 1/6 of a house.
Otherwise, you could at most register a land charge, but as I read, that is already encumbered and all co-owners have to agree. Realistically, with your income, equity, and consumption habits (which I find completely fine as well), no other house is possible. If you want property with a garden, this will be the solution.

Is it allowed to build a second residential unit on the property (it is a semi-detached house plot)? What is the floor area ratio for living space? Regarding the barn: it apparently has edge development? A house or living rooms are not allowed to be built in edge development. Exception: terraced house and semi-detached house... however, the terraced house is already attached on the left side according to the plan.

As far as questions about remodeling and financing are concerned, unfortunately I cannot help you further. However, regarding questions about inheritance, perhaps a combination of a notary and a tax advisor could help you; after purchasing our property, we had very good advice as a couple to clarify what happens if one dies first or wants to sell, etc. Since inheritance questions often quickly lead to disputes, I would involve your sister and, of course, your father closely; no house in the world is worth a family that is estranged, and especially your father should continue to feel at home and comfortable. Perhaps a lifetime gift to the children with registered residential rights or a similar model could also be an option. Even if it costs a bit of money initially, I believe consultation appointments with a notary, tax advisor, a construction company (a quote doesn’t cost anything initially :) ), and inquiries at the municipality about general buildability are worthwhile here.

Is it allowed to build a second residential unit on the property (since it is a semi-detached house plot)? What is the floor area ratio for living space?
Regarding the barn: it apparently has edge development? A house or living rooms are not allowed to be built in edge development. Exception: terraced houses and semi-detached houses... however, the terraced house is already attached on the left side of the plan.

That is also a key point for me. From the answer to my question, I conclude that it is not yet exactly clear, but there was probably a positive statement?

Even if it costs a bit of money at the beginning, I believe it’s worth having consultation appointments with a notary, tax advisor, a construction company (an offer initially costs nothing :) ), and inquiries at the municipality about the general buildability.

Is it even allowed to build a second residential unit on the property (it is a semi-detached house plot after all)? What is the floor area ratio for living space?
Regarding the barn: it probably has edge development? A house or living rooms may not be built in edge development. Exception: terraced houses and semi-detached houses... however, the terraced house is already connected on the left side according to the plan.

That’s a sticking point for me as well. From the answer to my question, I conclude that it’s not exactly clear yet, but there was apparently a positive statement?

A tax advisor was able to advise us on financial feasibility in connection with the rent expected thereafter. The lady at the building authority knows me and I know her somewhat personally. She is the mother of a former club teammate. She said on the phone that in the area where we are planning, there is no development plan, but it just has to fit the image of the neighborhood. The same was told to me by the architect. But there is nothing in writing. The architect planned, as far as possible, to use the current boundaries of the barn, which lies on the property boundary on two sides (to the west according to plan to the neighbor’s barn and to the north to the neighbor’s garden side), also for the extension.

@JulianMünchen: You say to go to a construction company: Which one do you suggest? Who can tell me what is the cheapest/most suitable option for us? (Barn conversion/extension/extension to the barn/alternative)

I have the feeling that I have to tell the company what I want: But I don’t know that yet, as I neither know what is actually possible nor what advantages/disadvantages each option has. Who can help me with that without me feeling that everyone advising me just sees their biggest profit? That is -> the architect wants to put a large, expensive, sophisticated extension in, so his brainwork really matters, he’s not bored, and in the end he makes the most profit. Or -> the timber house builder says: a barn conversion doesn’t make sense, too much effort, not profitable, he would build a great timber house there. Or -> the prefab house manufacturer says it’s best to put a Flying Space there, because that’s the easiest.

Even though I haven’t tested this so far, I have this fear. Maybe you can tell me how we should approach this best. Because I’ll probably repeat myself, but it’s a strange feeling to move into a house worth 100,000 and we build my father a modern 1,700,000 € thing with half the living space. He has been able to live in an old house the last few years and felt comfortable there. There doesn’t have to be a miracle build. If the result is: 170,000 € is the minimum investment for the minimum there is, then we still have the option to say no. But so far we hope to find the cheapest (not the cheapest low-quality) solution there.

Need help :)

Thanks again to you all for your feedback