Is financing with land and equity possible like this?

We recently paid 16,000 EUR in Berlin for the demolition/disposal of a 90 sqm solidly built bungalow from the 1950s with partial basement and subsequent placement and compaction of material to create a buildable substrate.

Berlin is not Regensburg. Go to a demolition company and get concrete estimates. 18 € per m3 won’t help you – who knows how many m3 they have to remove for you – how much gravel you’ll have to buy afterwards, etc.

So with an income of about €2200, I consider a loan of €250 - 300k unrealistic. For the first person (and you would initially be just one), I believe about €800 living expenses were assumed, €250 for the car, €3 per m² living space for additional costs, so about €400 plus possibly ongoing loans (you probably don't have any) and other insurances (disability, life, retirement provision...) (all of this in 2012, so it has probably risen by 5-10% by now). So that quickly adds up to over €1500, meaning there is between €500 and €700 left for the installment. That is definitely not enough. Either you can or want to bring your girlfriend on board, or you should wait a little longer. But if you definitely want to build there, I would start with the demolition already, even if you only build in 5 years, the demolition won't be cheaper then and the bank won't give you interest on the money anyway...

That is planned, plus about €500 rent from my girlfriend, but that shouldn't really be counted on as fixed, you never know how long that will last.

Hello,

you live for free at your parents' and your girlfriend pays you €500 rent? I find that a bit strange...

Best regards
Sabine

good businessman ;-)

Hello,

the demolition is not expensive, we will probably do it ourselves, it is only an old farmhouse with rubble stone walls and a roof structure.

Only part of it needs to be demolished so that the construction vehicles can get through.

And no, my girlfriend does not pay me rent, and I do not live in a youth room either. I live with my parents in the house in a small apartment of 40 m².

My girlfriend would get a rental contract if the house is built and she moves in. However, I did not want to include this in the financing because I do not know if it will last forever. (you never know these days, unfortunately).

I have now also found a provider who offers me the house for 239,900 euros. I will install the doors myself and lay the floor completely. (it does not have to be finished overnight).