Please evaluate the construction financing

So without these details, I would go to the next bank anyway....

What I especially see there is a direct consultant commission of 2,000 euros.

Why are both Riester contracts each for 75,000 EUR? This is neither optimized for income nor anything else. Riester is rather a suboptimal product without children. With children and low income, it looks better. But that also only applies to one half.

Normally, with combination products and a 3/3 rule, you say 1/3 equity, 1/3 bank, 1/3 home savings contract.

Here it is more like 1/2 equity (due to land and cash), <1/4 bank > 1/4 home savings contract.

You can do it that way, but in my opinion, optimal is something else.

I would reduce the Riester subsidy so that there is an optimal ratio of contributions and allowance and not a cent more. Insuring the KFW loan via a home savings contract... okay, you can do that, but I would rather increase the repayment directly and choose 10/1/20 instead of 10/1/30. The interest rate risk for the remaining amount is manageable.

And then cover the rest through a bank.

How is it actually? Isn't there even 100,000 EUR per residential unit in the 153 loan nowadays? I am not up-to-date on that right now.

Thank you very much for your assessment.

The 153 loan will be available from next year April with 100,000 EUR and also the option of a 20-year fixed interest rate - however, no longer for KfW70.

Here is the info:

[*]Due to the increased requirements according to the Energy Saving Ordinance 2014, the KfW funding for the standard "KfW-Efficiency House 70" is discontinued.
[*]Instead, in addition to the already existing funding standards KfW-Efficiency House 55 and 40, another standard "KfW-Efficiency House 40 Plus" with an attractive repayment subsidy is offered.
[*]The maximum funding amount per residential unit is raised from 50,000 euros to 100,000 euros.
[*]For the 20- and 30-year loan terms, a 20-year fixed interest rate option is introduced.

My idea would be a maximum of one residential Riester for my wife - especially if she is on parental leave and there are children, it can be worthwhile with the allowance. Although I am currently employed, I come from the IT consulting sector ... in the industry it is not uncommon to become self-employed - which makes the Riester subsidy uninteresting for me.

That is also a point that bothered me in the initial consultation. Little was addressed regarding our circumstances. The friendly advisor - after we showed our salary statement - immediately started inputting everything into his program.

As you have already noted, it seems to me he chose a package that benefits him the most (including 3 building savings contracts, 2 Riesters). Fees were also not discussed in the initial meeting.

I am really disappointed... I expected more from my main bank.

Well, we move on... next stop my insurance and Interhyp... I hope that goes better ;-)

Do you have any tips?

If your wife wants to do Riester, you can take out a small Riester home savings contract and use it to pay off the remaining balance of the KfW loan. That way, the subsequent taxation stays manageable. Then take out a regular loan for the remaining, larger part of the financing, and that’s that.

Why don’t you confront your bank advisor with the information you’ve gained here? It would be interesting to see how he reacts. ;)

Backbone hits the nail on the head. And I already know the reaction of the seller.

No fear - I'll report from the second appointment :-)