Problems finding an appropriate financing budget limit

Good morning,

these are all just plans and T+C is the Dacia among construction companies. That means every screw costs extra, if you haven’t negotiated something it costs extra. In terms of list prices, I would say goodbye to them when it comes to construction or factor in a 25-30% buffer.

Regarding the topics, club, gym, etc. You are saving on hobbies that won’t be continued in the new place??

Otherwise, you can see for yourselves that it is tight, even now. Surely you will receive an income of up to 400k. Whether you feel comfortable and put the annual special payment into repayment, I don’t know.

I am afraid that the construction costs are also underestimated. Roughly calculate with 2,500 euros/sqm, and that is just the pure construction cost for the house. Without basement, without kitchen, without land, without incidental construction costs. It looks different if you can contribute a lot of your own work, how is it with you? Otherwise: A non-binding appointment at the house bank makes sense. They will at least calculate the framework for you a little.

- assumed we buy the plot with own funds: With what value is the plot counted as equity/collateral in the financing of the house? The actual purchase price (80,- EUR) or the land value (280,- EUR)?

Every bank handles that differently. The house bank is often the most flexible; you should definitely approach them in advance.

A municipality normally does not sell below the standard land value. Unfortunately, your calculation falls apart, even with Town & Country. Plan at least 100k more.

You should really calculate the construction costs at 2,500 € /sqm. Especially since building material prices are currently rising enormously. Our builder has already registered our construction project and secured the old prices. However, at the last meeting, he also talked about increases of 10 - sometimes 20%. We are building a 143 sqm bungalow at the old prices for about 2,600 € / sqm. But extras like:
- 13 kwp photovoltaic system
- geothermal water pump
- increased ceiling height
- fireplace
- smart home (electric shutters, etc.)
- windows glued on both sides
- move-in ready (including floors and walls)
- kitchen is added separately
are included. With Town & Country it can go very well, but also not. The risk, especially if you are already at your budget limit, is far too high. We have hired an external construction supervisor. The managing director said that when it comes to corrections at the big companies, the lawyer is sent first. Could you possibly secure the plot first and then build in 4-5 years when it is foreseeable that the salary will increase significantly?

A bank appointment is currently (felt) a bit of an issue – since my wife currently has no income, I don’t know how effective this is? She does have a written confirmation from her employer that she will start again on 01.09. under the above conditions, but no current payslip.

During consultation, you discuss the project and do not need a payslip. You only need that when you apply for a loan. The discussion and consultation are non-binding.
I would increase the amount to €350,000. The ancillary construction costs seem too low to me.