Opinions on financing offers

Good morning,

unfortunately, I can't say anything about the detailed offers (I still lack experience in this regard), but I would still have a veto on the proposed installments.

Are you sure that with a combined income of about €4800, despite possible linear increases, you can repay a monthly installment of about €2100-1500? Suppose children really join, then I really get uneasy at the thought.

Regards, Andreas

We have been saving €1500 per month for 9 months now and still paying rent in Stuttgart, without it causing us any problems, so: yes. We have calculated all possible scenarios and also looked at what we would pay for a larger rental apartment in case of children or even a house to rent – the few two or three hundred euros more per month invested well in property, also with regard to future rent increases. In our calculations, we have budgeted €2,500 per month for living expenses and insurances and calculate plus €300 for house maintenance costs.

We are certainly not top earners, but I think it is manageable, especially since my wife is a civil servant and I work as an employee in the higher public service, so the risk of unemployment (knock on wood) is rather low.

Or where are your concerns?

Hello Andreas,

if you have calculated this in detail, then it is certainly correct. I can only report from my experience or what feedback I have received so far from the forum and other areas.

The situation in both of our cases is not much different, my wife is a civil servant and I am an employee (income quite similar). According to our calculations, after all deductions and listing from the household book, we could not afford this kind of monthly repayment (with children) in the amounts of €1500-€2100. Of course, savers or retirement provisions might also play a role here.

It was only meant to be a note from my side.

Regards, Andreas

Greetings Andreas,

if you have calculated it in detail, then that will certainly be correct. I can only report from my own experiences or what feedback I have received so far from the forum and other areas.

The situation is not much different in our two cases, my wife is a civil servant and I am an employee (income quite similar). According to our calculations and after deducting all costs and listings from the household budget, we could not afford this kind (amounts of €1500-2100) of monthly repayment (with children). Of course, savers or retirement provisions may also play a role.

It was only meant to be a note from my side.

Regards Andreas

Ok, and how much rent do you pay? Or how much is your loan installment? 500 euros per month?

Ok, and how much rent do you pay? Or how much is your loan installment? 500 euros per month?

I think it’s not about the current situation, but about what remains when living in the new home and having to pay off the installment. (Loan amount approx. €270,000 max. €300,000)
For this reason, some time ago I created the following scenario based on information from some forum members here. Considering 1 child, wife working part-time, and husband full-time including child benefits. This would leave us with an installment of about €900-1000.

Updated expenses.
Gasoline, retirement provision, etc. were calculated for me and my partner. Salary from me and my partner working part-time plus one-time child benefit. After deductions, about €900-1000 remain for financing. If I have forgotten or neglected something, please correct me.

[*]Retirement provision, life insurance - €500
[*]Mobile phone - €80
[*]Gasoline - €350
[*]Building savings plan €400
[*]Operating costs house - €520 (Heating costs, water/sewage, hot water, property tax, waste disposal, insurance, street cleaning, chimney, garden care, common electricity, miscellaneous costs, telecommunications)
[*]Groceries - €500
[*]Insurance / tax - €150
[*]Private health insurance - €200
[*]Kindergarten / daycare - €250
[*]Clothing - €200
[*]Hygiene products - €100

Add the building savings plan to the rate, retirement provision can maybe be less than €500 with a good company pension, not everyone burns €350 on petrol (we, for example, about a third of that). Then you easily have over €1600 in the rate.

On the other hand, there are people with similar incomes who spend €1000 a month just on financing/depreciation for their vehicles without having driven a single meter.

Operating costs of €520 are not insignificant either. The list of costs is long, but most items are €5-15. Consumption obviously varies individually depending on people and usage behavior.

Well, you are still at the beginning of your professional life and have a few years ahead of you with salary increases. In this respect, I think it should be doable, with occasional savings. It's a question of priorities... going out for dinner for 500€ every month or putting it into repayment