Purchase advice / Financial evaluation - 1950s house with attractive plot

The loan term will probably have to be longer --> 30 years. Renovations are not done at the beginning but 5-10 years after building up the renovation reserve of €750 per month (planned in the expense list). --> This corresponds to an "annuity" of €2750.

Remember that you can do many tasks better if you do not yet live there and have a better quality of life when the house is not a construction site. €750/month sounds like a lot, but it is only €9k per year. Until you can do the roof and facade, you save several years. There is no major renovation after 5 years. Therefore, I would rather borrow more money and do it right away.

Especially since one is currently saving against [8% inflation]. That can only go wrong.

Hello,

thank you for the feedback. I had also already considered a renovation at the beginning (of the roof and possibly external insulation). The Kfw loan would be suitable for this if I am seeing it correctly.

The conditions seem very attractive at first glance: 10 years at 0.2% with a repayment subsidy. Is there a catch or why is it so attractive (of course, the state wants to promote existing building renovation, but still)? With a reserve of €850-900 per month, one could then service this loan. So as far as it is manageable, it should probably be used...

The conditions seem very attractive at first glance: 10 years at 0.2% with repayment subsidy. Is there a catch or why is it so attractive?

- The entire house must be converted into an energy-efficient house ==> this means something like a core renovation with insulation, heating, windows, etc. - Involvement of an energy consultant is necessary (this is also still subsidized) - Financing volume between €120,000 and €150,000 per residential unit - The 0.20% is great – but means a monthly installment of e.g. over €1,100 for a loan of €120,000 (which is then fully repaid after 10 years) - Currently no subsidy for own work (probably only again from next year) Why is it attractive? Subsidization of an energy-saving measure.

Then you are at 3,000 EUR just for loans, whereby of course savings on heating costs are also added. You have to see if that still works out when the rental income also disappears and you have 1 or 2 children.

Hello,

I don't understand how such a property can still be taken seriously at that price with the current interest rates. We keep seeing it these days, that there is a rush to make quick cash. I would not buy the house for 820,000 euros including additional costs. Especially not when I know what is needed for gas.

Wait and see, the interest rates could lead to better prices. Because what good is a huge plot of land if you yourself live on 100m2 just to rent out the test. Because you have to completely renovate it!

Regards