Is financing a single-family house feasible? Start house construction end of 2023

When considering the tax classes, think about the parental allowance. As soon as you start, switch to 5/3 beforehand!

Correct, it should be €938.63. Something doesn't add up.

Correct - it was probably a bit late yesterday :rolleyes: The installment consists of: €1346.55 annuity loan bank €493.47 KfW loan for residential unit 1 €445.23 KfW loan for residential unit 2

The rate consists of: 1346.55€ annuity loan bank 493.47€ KfW loan for residential unit 1 445.23€ KfW loan for residential unit 2

Plus then the 723.33€ for the plot of land. So that makes roughly 3010€ in pure loan costs. In "warm" (i.e. with additional costs) you will probably end up at around 3500€ for housing? Although, if I see it correctly, at least the plot of land will be paid off in 12-13 years? On the other hand, there is currently 7,750€ in income. Basically... it doesn’t sound that great anymore. I mean, you still have 4k left for living expenses. You can get by with that ;) It’s just that the ratios get a bit scary at some point.... Parental leave will certainly be a bit tighter than before, but not impossible. The question for me is just whether it’s worth it to me or if you could plan a bit smaller in 1-2 areas to simply not have such high loan costs. As already noted, the granny flat is the first thing that stands out, of course. I would also consider whether it is necessary. I mean, if the family agreement is like that and grandma is fit and really moves in there, then okay.... But if realistically that’s only a temporary solution for 2-3 years and afterwards you think about whether you bring in a tenant now or not, but actually don’t feel like renting... Then I would try to plan without the granny flat and save yourself the money.

A random unqualified question: Are [Einliegerwohnung] still subsidized? Somehow I thought that was no longer the case. But I'm not really familiar with the topic.

Just an unqualified question: Are granny flats still subsidized? Somehow I thought that was no longer the case. But I’m not really familiar with the topic

Yes, all the KfW grants are still available for those as well and you can normally deduct 2% of the property value and interest for rental and leasing. However, with a rental yield of 3% and 4% interest on debt, it’s not really lucrative unless you are morally flexible

Hans-Werner Sinn expressed it quite aptly in an interview today. Initial instabilities are becoming apparent in the banks, which is why neither the FED nor the ECB will significantly raise interest rates any further. The fear of a banking crisis is far too great.

In this respect, I do not see the 10-year fixed interest rate as critical. With that income, it will work as long as the parent stays at home or goes part-time and earns less. As for grandma, one must always keep in mind that she will have to be cared for more or less intensively at some point. The day only has 24 hours and your jobs don’t exactly sound like the mentioned weekly working hours are sufficient... especially not if you want to pursue a career.

However, I would strike the gift from your mind. Too much can go wrong there. If your financing is based on that, it becomes dangerous. A serious argument, for whatever reason, and that’s the end of it. Or as already mentioned. Someone has to go to a nursing home, has an accident, suddenly gets the idea to buy a Porsche in their second youth, etc.