Is subsequent financing possible?

Hello,

the following situation:

Current equity ~440k€ (fixed deposit, overnight money, stocks) + fully paid third car (value: 30k), which would like to be kept
Still open tax debts next year 160k (possibly even 200k if the tax office does not accept an open matter)

Monthly income currently about 3800 net + company car

Now we would like to buy a house with costs approx. 280k + additional costs (6.5% property transfer tax, 3.57% broker, 1.5% notary).

We (32/29) would now take out a construction financing loan for 10 years at 500€ per month and 10% special repayment right amounting to 100,000. That way there would still be enough money for vacation, car, etc., and depending on the situation we could put in 10,000 each year.

Desire to have children is currently urgent and so possibly next year a salary could be lost (or initially parental allowance) and only about half/less of the salary would be available. Due to the low installments, however, we should be able to maintain our standard (including costs for the third car) without problems.

Now the question is whether we could first buy the house without financing and then conclude it later. Or definitely arrange everything beforehand and wait until the money from the bank is there?

The house is top for the price; we viewed a comparable one last week (10sqm less, no garage, smaller plot for 30,000 more) which is only 50m away in the same building area.

Of course, I would like to have the house paid off as soon as possible, but on the other hand, I am reluctant to live on a shoestring for a few years; otherwise, it would theoretically be possible almost without a loan already.

I think this is almost a luxury problem, but maybe one or the other has an "objection" or a more sensible idea.

Regards and have a nice rest of the weekend.

If you buy a house with equity, you can only take out a loan afterwards, for example for renovation financing. Simply taking out a loan to increase equity, for example to keep the third car longer, would as far as I know only be possible with a (more expensive) consumer loan.

However, you should only designate capital as equity that you actually have immediately - fixed deposits probably do not count unless they are available within 3 months. A car also does not count as equity. Stocks can also have a lower value as early as tomorrow.

In the case of self-employment, you should always consult a financial advisor, because there can be difficulties with home financing.

In my opinion, the bank also sets the terms - with a 100,000 loan and 10% interest, they hardly earn anything...

Also, if you have an urgent desire to have children, you should only count on one income, but as mentioned, this can lead to you not getting any.

These are just some basic pointers - I am absolutely not a banking expert.

Hello! I cannot confirm this here. Up to 60% of the purchase price it should definitely not be a problem to take out a loan without specifying the use of funds. This is also called raising capital. That means encumbering the house, taking out money, and blowing it in Las Vegas.

Help help it says... as long as the affordability is somewhat given.

But another question, why did the income of almost 320-400 TEUR last year drop to 100 TEUR? As a bank, I could definitely imagine asking a question about that.

First of all, thank you for the information.

Since the current property was already sold this morning (after 3 days of listing). We had already viewed it yesterday and wanted to go again this evening with someone who knows more about such things. Unfortunately, that was too late. The offer was apparently just too good.

The decline is due to the fact that I have been earning some money in the last 2 years from something that is unfortunately no longer possible currently. However, there are still a few things not clearly resolved, so it is also not yet certain what the tax office will say about it. It’s about virtual currencies. Sometimes you just have to be lucky. It was registered as a secondary business and the main profession was continued normally. Therefore the "decline" now.

Where the equity comes from doesn’t really matter to the bank at first, does it?

Congratulations :) Btc? Stay tough with the tax office.. that should be tax-free. I got out about 3 months too early. The profit would have been about 630,000 EUR. So it was only 10,000 EUR. I was already very annoyed. Unfortunately, such an opportunity probably comes only once in a lifetime.

Regards, Steffen