My wife and I are considering building a house

So. I was at the LBS and also at the Volksbank. The LBS approved a loan amount of €285,000. We assumed total costs of €320,000 and equity capital of €35,000. The loans are divided as follows: €108,000 from the state, €50,000 promotional loan, €67,000 + €60,000 from the LBS in the form of [Riesterverträgen].

The Volksbank approved a loan of €250,000. Interest rate of 2.5-2.7% until the end of the term.

The monthly loan burden should be between €750 and €850.

Both have given a positive commitment. Whether we will do it anyway or not, we do not know.

Thank you for the feedback, even though it will take me a while, I find it very helpful what works or does not.

So. I was at the LBS and also at the Volksbank. The LBS approved a loan of €285,000. We assumed total costs of €320,000 and €35,000 equity. The loans are divided as follows: €108,000 from the state

Can you elaborate on the €108,000 from the state?

According to my income, I have the possibility to obtain a NRW loan from the NRW.Bank at a favorable interest rate.

Basic lump sum: €73,000
Child bonus: €5,000
City bonus: €20,000
Starter loan: €10,000
Total subsidized loan: €108,000

Interest rate: 0.50% p.a. fixed from readiness for occupancy for 5 years, thereafter income-dependent.
Ongoing administration fee: 0.50% p.a. calculated on the originally approved loan amount.
(After repayment of 50% of the building loan, the administration fee is calculated on half the loan amount.)
Repayment: 1%

The starter loan has the same interest rate but must be repaid at 5%.

Fixed for 5 years. Afterwards, an income check follows. If nothing has changed, the interest + administration fee remains. The income may be up to 40% higher. Only above that would the interest rate increase to 3.50%. After 15 years, there is no further check by the NRW.Bank. Then the interest rate rises to 3.50%, but you can object to this and continue to receive the old conditions. You just have to object independently. As a precaution, I would also take out a building savings contract to secure a favorable interest rate after 15 years. Then simply reschedule.

Regards

Good point, here in NRW 15% equity of the total costs (construction costs + incidental costs + land + own contribution), at least 50% of which must be cash or paid land, the rest can possibly be provided as realistic own contribution.