It doesn't work without equity - experience!

Equity is of course important, but building now in order to save? In my opinion, that can also backfire massively.

If you save 1000€ per month, you will have 60,000€ in 5 years.

In those 5 years, you pay about 40,000€ in rent and the house construction has become about 2% p.a. more expensive, which is about 30,000€. And the interest rates certainly won’t go any lower.

In my opinion, those who can afford it now will not be able to afford it better after saving, provided of course that the installment fits the salary (about 30% of net).

Many people here write about their monthly installment, which often seems low. But I would be interested to know after how many years you actually finish. So how much remaining debt is left at the end of the loan (without special repayments, according to the repayment plan)? And how long do you usually pay off on average? We have a fixed rate for 20 years, but then there is still €93k remaining debt. However, 25 years would have cost a significant interest surcharge and would not have changed the monthly installment. If anything, we would prefer to reduce the installment. But as it is, we try to repay it in 22-23 years. Let’s see how much we will really have to refinance at the end. Based on today, we could handle an increase to 10%, I have cautiously calculated that just in case.

Financed 400k at just under 2%, external financing ratio 49%, and enjoy residing in my own four walls every day. In an emergency, I could free up about 300k funds for amortization if the interest rate environment has changed at the maturity of the mortgage.

But I would be interested to know after how many years you are really done. So how much remaining debt is left at the end of the loan (without special repayments, according to the repayment plan)? And how long do you pay off on average?

We have a fixed rate for 15 years. Remaining debt without special repayments is just under 24,500 euros (originally 185k).

Our plan: to pay everything off by the end of the 15-year term at the latest. Since we are allowed to make special repayments of at least 2,500 annually and will also make at least that much, we should be done in about 13 years. (provided nothing happens )

300K fully paid off after 10 years, without the possibility of special repayments. Equity of 40% was available at the time of purchase.

345K funded, repaid after 20 years. Equity of 300K used in construction.