Is a new building realistic?

I don't think you can say that so generally. The higher the available income, the higher the living expenses set by the bank. When I looked at that for us, I also had to think: Man, what a modest life we seem to be leading.

That’s true, but I mean 600.- for the first person and 400.- for each additional one was the lowest amount...

I have taken your advice to heart and revised the cost table once again.

For the fixed costs, we calculated the maintenance fee (excluding electricity) at €2.80 * 125 sqm = €350.
For electricity, we assumed €100 (currently we pay about €45 for 73 sqm).
Then €20 for the TV license fee and €50 for internet/phone (currently also less).

That totals €520, which is €260 per person.

We also added another €100 for living expenses. Isn't bad calculating just as bad as optimistic calculating? Sure, you are happy if more money is left over afterward, but maybe the result is that you can't afford XYZ even though it would have been possible?

According to the updated calculation, €1,810 remains - minus the loan payment of a maximum of €1,200 = €610 left per month. If I now also take Vanben’s list into account (thanks for that):

You already mentioned daycare meals --> €50/month
Once a year for everything around the child (clothes, toys, car seat, etc.) at €120 --> €10/month
Once a year each a new pair of pants at €24 --> €4/month
Once a year each a set of tops at €24 --> €4/month
Once a year new underwear and socks at €12 --> €2/month
Once a year a barbecue party for the birthday at €96 --> €8/month
Twice a year a good book/a CD (x2) at €15 each --> €5/month
Every 2 years a vacation at the sea: €600 all-inclusive --> €25/month
Every 2 years a new pair of shoes at €48 --> €2/month
Every 5 years a new laptop/tablet/PC (x2) at €240 --> €8/month
Every 5 years a new smartphone (x2) at €240 --> €8/month
Every 7.5 years 2 sets of new tires at €280 each --> €6/month
Every 10 years a new piece of furniture averaging €360 --> €3/month
Every 10 years a new TV/projector at €480 --> €4/month
Every 10 years a new dryer at €240 --> €2/month
Every 10 years a new dishwasher at €240 --> €2/month
Every 15 years a new car at €10,000 --> €56/month
Every 15 years a new refrigerator at €480 --> €3/month
Every 15 years a new washing machine at €480 --> €3/month
Every 20 years a new stove at €480 --> €2/month

Then I end up at €400 per month (excluding shift allowances, bonuses, 13th salary and Christmas bonus).

As a conclusion, I would say that with a non-excessive lifestyle, it is quite possible for you to proceed with the house purchase, as long as nothing serious comes up. Only if, for example, someone dies or becomes disabled due to an accident is the house initially a secondary problem. Of course, it’s unfortunate if it also gets lost then, but there are more important things. What I do miss in your list (or may have forgotten) is an item for unplanned cost increases. EVERY construction becomes more expensive than planned. It doesn’t have to escalate like the BER airport, but you should plan for a 10% surcharge. Often, the tiles you like are more expensive than the standard ones (and especially tiles are not something you just quickly replace); the bathroom can be somewhat higher quality, or furniture is not included and can be expensive as I have experienced (mirror cabinets can easily cost 2000.- €), often shower cabins are not included, stair railings, satellite systems or their extensions (normally 1 or 2 connections), likewise sockets are rather sparingly calculated, possibly electric shutters, CAT cables in all rooms, etc. But as I said, you may be able to offset the extra costs with [EL], many things can be done by yourself.

My wife and I are planning to buy a house. We currently have a new build in sight for 295,000 EUR, with all special requests for 320,000 EUR.

320,000 purchase price, of which

6.5% property transfer tax = 20,800 euros
approx. 2% notary and land registry fees = 6,400 euros

Purchase price + property transfer tax + notary = 347,200 euros total purchase price

Equity capital is between 40,000 - 45,000 EUR (excluding 10,000-15,000 EUR which we have set aside for painting work, flooring, kitchen, furniture, etc.).

Purchase price: 347,200 euros - 45,000 equity = 302,200 euros financing requirement

Monthly rate will be approx. 1100-1200 EUR (depending on the current interest rate (2% repayment, 15 years fixed interest rate).


Do you think a property of this size is affordable or are we overextending ourselves here?

According to Interhyp interest rate check, an effective interest rate between 2.26 - 3.02 % is to be expected.

If you assume an average interest rate of 2.5%, a monthly rate with 2% repayment would amount to 1,133.25 euros.

Income is as follows:

My salary: 1,600 EUR (actually 1,700 EUR but the company pension scheme is deducted directly from gross pay).
Her salary: 2,000 EUR
Child benefit: 200 EUR

Child benefit is actually 188 euros

Total income 3,588 euros
less installment 1,133.25 euros

Remaining: 2,454.75 euros.

If you take your first calculation as a basis and replace the 450 euros rent with half of the installment, you have costs of 1,280 euros and your wife/girlfriend 1,011 euros. Additionally, there are approx. 375 euros incidental costs (3 euros per sqm).

In the end, it looks like a "surplus" of approx. 850 euros.

I think one should differentiate that everyone has a different standard of living and different demands.

For one, the kitchen for 2,500 euros is enough, for another even 15,000 is still not good enough.

I think the house purchase itself is feasible for you, but you will realize that many things cannot be calculated!

I can tell you from my own experience that kids in the baby stage actually cost the least.

For us alone, the daycare fee at the municipal daycare is 310 euros per month!!
I buy at least one new pair of pants almost every month, because for some reason they wear out so quickly in daycare, you can't even look fast enough. Then come the rain boots, rain and winter clothes, class fund, trips, the invitations to friends’ birthdays (yes, that also happens about once a month). Add another approx. 30 euros per month for that!

I would probably buy in that constellation as well, although for me personally financing with a 3% interest rate was out of the question!

320,000 purchase price, thereof

6.5% property transfer tax = 20,800 euros
approx. 2% notary and land registry fees = 6,400 euros

Purchase price + property transfer tax + notary = 347,200 euros total purchase price



Purchase price: 347,200 euros - 45,000 equity = 302,200 euros financing requirement



According to Interhyp interest check, an effective interest rate between 2.26 - 3.02% is to be expected.

If you assume the average interest rate of 2.5%, a monthly installment with 2% repayment would amount to 1,133.25.



Child benefit is indeed 188 euros

Total income 3,588 euros
less installment 1,133.25 euros

Remaining: 2,454.75 euros.

From this, the additional costs are deducted

1/3 for the installment. That seems okay. What is missing is equity for everything else. The 10-15k for painter, flooring, kitchen will not be enough. Conclusion: keep saving, build/buy smaller, or rob a bank

1/3 for the installment. That seems okay. What is missing is equity for everything else. The 10-15k for painter, floor, kitchen will not be enough. Conclusion: keep saving, build/buy smaller, or rob a bank

It would be too tight for me as well. But you also have different expectations than the OP.

For me, the kitchen alone cost 11,000 euros and it is not that big or luxurious.

But I actually know people who had a kitchen installed in their new build for 3,000 euros.

Edit: furthermore, you can continue to save during the construction phase if the house price is only due upon completion.
(I built my first terraced house with a developer whose purchase price was due at handover and the construction period lasted about 10 months, during which I saved money for the expenses you mentioned)