Is a single-family house in the Stuttgart metropolitan area still affordable?

Hello forum,

just freshly registered because we would like to fulfill the dream of owning our own home.

After about 6 months, we currently have a first usable plot of land in sight which admittedly exceeds our actual budget wish of 250K€ by 150K€ ... be that as it may, this seems to be not a bad offer in the region.. I'm curious what you think.

General about us:
Our age? 31 and 27
Any children? No
Our professions? 2x engineer

Income and asset situation:
Household income (net)? 6600€ monthly
How much equity do you have? 20,000€ (the rest is tied up in the apartment we bought 5 years ago)
How much equity do you want to invest in the house project? Less makes no sense

Expense situation:
Housing costs: 2100€ (1800€ repayment + 300€ interest)
Other living costs (for 2 people): 2000€

Also:
We would like to keep the apartment. The cold rent should be in the range of 1200 - 1400 €. We would like to cover the apartment payment with that.

The project:
Plot of land ~380K€ + notary, broker, ... so roughly 420K€
Single-family house (~150m²) + granny flat (60m² --> 700€ cold)? I clearly put the granny flat up for discussion... I would only do it if it pays off by retirement.
My expectation was somewhere in the range of 400-450K€. Had the first appointment today with a major prefab house builder and he said rather 650K€...
That would put us at about 1 million € financing.

From your point of view, is this realistically manageable with the income over 30 years?
How would your financing look? kfw?
What are your experiences with house prices in this size range?

Thanks already for pointers.

Somewhat risky if the rent for the apartment drops out. The installment over 30 years for 1 million is 2,777 € without interest. With interest, estimated 3,000 € +. That amounts to about 50% of your income. A bit much.

Also, I don't think you will get a 1 million loan with that income. The rule of thumb is net income minus all liabilities x 108.

Hello, the previous apartment would thus pay for itself alone, you would even make a profit or have an income after taxes. However, renting is a risk. I would therefore at least remove the condo from the house, it is not necessary and you would have no stranger in the house. 1 million with 6k net income + 500 rental income (?) is but very very very risky and I would reconsider it. Especially since you are young and possibly wish to have children (?). The income would be even tighter with child(ren).

Important information is still missing. When will the apartment be paid off if you reduce the repayment to 1,300 - 1,400 €? And how much can you use as equity? Because with 1 million and 2%+ interest, it will hardly be possible...

the previous apartment would thus pay for itself

How so? Rent 2100 compared to cold rent 1400, maintenance fees still have to be paid.

How come? Rent 2100 versus cold rent 1400, maintenance costs also have to be paid.

1800 repayment 300 interest. So 1400 vs 300 interest. Repayment irrelevant for renting out.