Property, house buying experiences, opinions?

Hello everyone,

we are currently looking for a plot of land on which we want to build a single-family house and wanted to hear, apart from family, friends, and colleagues, how realistic a possible financing or the monthly burden is estimated by "independent" third parties.
Basically, it is supposed to be a KFW40 house, as from our point of view only financing with the corresponding KFW loan is possible. The critical point here is probably also the little equity which should be included.
Currently, we tend more towards a prefabricated house, as there is at least one very good provider in the region.

How realistic is our plan?

General information about you:

[*]How old are you? young couple: she 35 / he 39
[*]Are there children? 2 children (2 and 5 years)
[*]What do you do professionally? full-time employee (he) and part-time (she, still parental leave, but prospectively afterwards also 4-5 years part-time)

Income and asset situation:

[*]What income do you have (gross/net)? From June: he 3800 euros net monthly (without 13th salary & with 50% bonus of a total of 2-3 monthly salaries) / she part-time 3200 euros monthly (with 13th salary and 50% bonus)
[*]How much child benefit is there? 500 euros monthly
[*]How much equity do you want can you invest in the house project? 30,000 euros

Expense situation:
Currently, our monthly expenses amount to about 3900€ (rent, insurance, electricity, daycare, without annual vacation) and additionally we jointly save about 800€ per month.

Other expenses:

[*]No ongoing loans

Income and expense totals:

[*]Income currently: 7100€ (from June: 7500)
[*]Expenses currently 3900
[*]Balance currently: 3200 euros (from June: 3600)
[*]thereof sum of cold rent and dispensable savings: 1600

General information about the property:

[*]How large is the plot? approx. 600 sqm
[*]What are its dimensions? approx. 18mx34m
[*]What is the standard land value? 330
[*]New building, old building (year of construction), house type? planned new build, single-family house
[*]Garages? carport (with bike shed)
[*]How large is the house? somewhere between 140 - 160 sqm, 6 rooms (2x home office), no basement

Construction or purchase costs:

[*]Plot costs: 230K incl. incidental purchase costs
[*]Construction costs: approx. 412K (incl. painter 20K, tiles, sanitary, additional sampling 6K, own work: floor)
[*]Development costs: 8K water connection, fiber optic
[*]Additional construction costs: 20K demolition, 12K excavation
[*]Photovoltaics: 25K
[*]Total: 707K

I would initially block the equity capital only as a buffer.
Plan an additional €20,000 for the outdoor facilities. What about the kitchen? Quickly, €17,000 - €20,000 are allocated. What about furniture, lamps? Quickly, €10,000 is gone. So you would already be at €750,000 if you forgot these items.
I suspect that with 100% financing you currently have to expect interest rates of 4.0 - 4.2%. Financed over 25 years, that results in a rate of about €4,000, just to give a sense of the scale. That’s quite a bit.

What I don't quite understand. You have a balance of over 3000 euros, but only equity of 30000. That corresponds to a savings volume of 9 to 10 months. What did you do with the surplus before?

What I don't quite understand. You have a balance of over 3000 euros, but only equity of 30,000. That corresponds to a savings volume of 9 to 10 months. What did you do with the surplus before?

You have to clarify that for yourselves @TE. If the balance is only theoretically there but has always been spent in practice, the calculation simply doesn't add up. Honestly, I don't see the financing with you. Although very good salaries, there is practically no equity, that's the problem and it will break your back in the current interest rate environment. I would say: save save for 3 years and then build/buy a little house with 150k equity.

What I don't quite understand. You have a balance of over 3000 euros, but only equity of 30000. That corresponds to a savings volume of 9 to 10 months. What did you do with the surplus before?

The woman is still on parental leave, with 2 children with 3 years age difference she probably didn't work full-time between the births, maybe not at all. And the parental allowance is lower than the income and eventually stops.

I have now also understood that the woman will only earn the salary after parental leave, of which it is currently not mentioned when she will return. Is the parental allowance taken into account by the bank?!

But it is written about the current income and that these will be even higher in June, so that the surplus will then amount to 3600 euros per month. She earns 3200 euros net in part-time.