Realistic purchase of land and new construction of a single-family house & how to finance it?

ok, another realization. Sure....I don’t want a Dacia, Porsche would be nice, but it doesn’t have to be. Ford is enough :-)
We’ve had the Riester for 5 years now and it’s been tax-advantageous so far. Sure...what will happen in 35 years...who knows (then the advantage will be taxed once or spread over 20 years, or something like that...)

We have one or two people who could “cheaper” dig the foundation pit, bathroom/plumbing installations would be done by someone from the family (with a small business), tiling as well.
We could also possibly have the shell construction done by a friendly construction company (with its own internal architectural office) – but I doubt that would be cheaper given the building boom in/around Munich...

But am I realistic with 400K for basement, 170 sqm house and garage? What is the most expensive, where could we save? Maybe no garage at first? No basement (although I would like the space)?

: thanks a lot for your detailed answers! Regarding "little equity," I meant in relation to the total amount of about 650,000 EUR. When you read here in the forum, you often see 200-300K equity. That would of course be great... Hm... it's quite a chunk of money... The question is always whether it's worth paying so much in life? The children (3 in number) also grow up and will eventually need more or cost more... (well... at some point there will also be an inheritance, then it’s all no problem anymore - but I am someone who does not include that and of course doesn’t want to for a very long time)

Hello Scome,

to be honest, in the current low interest rate phase, the difference between EUR 400,000 and EUR 425,000 is hardly noticeable in the monthly payments.

We also considered whether we should postpone this or that, but decided against it.

When we move in, we want to have peace for the next few years and no more construction sites.

Your income and your equity are not bad; ours looks pretty similar.

If you also have the possibility of support from craftsmen in the family, it will work out.

Best regards,

Dirk

A nationwide prefabricated house manufacturer hardly differentiates in pricing between Munich and Bremen. As a result, a prefabricated house in Munich can be "cheaper" in relation to a local provider, since the prefabricated house company does not have to pay the expensive shell builders from Munich. It is similar with the electrical work and so on – technicians come from Leipzig, who receive minimal surcharges for Munich and not the "expensive" Munich electricians. Take a look in Ponig (Musterhauszentrum). There you will get an impression of what the prefabricated houses look like.

Travel and accommodation are included in the calculation. It makes a difference whether the electrician from Munich drives only 15 km to the construction site every day or a crew has to be brought in from elsewhere with accommodation.

One more question for understanding.

If we buy the property now, we would have to take out a loan of about 100,000 (for the property including notary + tax minus equity of 145K). How is it if we want to build only next year? We don't really have a plan for the house and the costs yet - that would take a few months (the planning). Do we then take out a new loan or do I have to increase the loan with the same bank or already finalize it now when buying the property?? Do you know if the banks also take into account a home savings contract from another provider (here Schwäbisch Hall) or do I have to run everything through Schwäbisch Hall?

Do you have any tips here?

Thanks to you!