Reasonable financing and rate when buying a house in the specific case

Hello everyone,

I have already been able to read many meaningful and constructive contributions in other threads that dealt with a similar topic, but I would like to ask the collective intelligence of the forum about our specific project.

Is the house purchase we are aiming for, regardless of the likely bank approval, reasonable and manageable?

About the situation:
We are a family with two children aged 4 and 6 and are approaching 40.

Financial situation:
monthly income:
3900 + 4200 net
500 net from freelance work
500 child benefit
----
9100

current monthly expenses:
Housing: 1300 (warm rent, electricity)
Communication/Internet/Streaming: 150
Kindergarten expenses: 550
Food/daily necessities/clothing: 1200
Mobility – 2 cars with all costs – without calculated depreciation: 600
Vacation: 500
Insurances: 100
Hobbies and general purchases (technology, household appliances, etc.) on average: 500
---
Total expenses: 4900

The remainder of 4,200 currently goes into a daily allowance account with 3.5% interest.

Our equity is 220,000.
Our desired property will probably cost around 800,000, with an additional 25,000 to be calculated as renovation costs. The property was built in the 1930s and renovated in the 1990s. No major investments are currently expected.
According to our estimate, the property would require the following costs:
- loan installment 2750
- additional incidental costs 350
- reserves for maintenance 300
----
Additional expenses of: 2100 (3400 - 1300 current expenses)
This reduces the savings rate to about 2100 euros, from which some investments, such as photovoltaics, are also to be financed in the long term.
In your opinion, is the purchase of the property manageable?

Best regards

and renovated in the 90s.

That was already 30 years ago.

where 25,000 still have to be calculated as renovation costs

Surely only renovation? No major items like heating or anything?

9,000 EUR net. Are you really asking yourselves that or are you just seeking confirmation?

Forget about the 25k, unless you want to move into the house basically unchanged. That’s what you do with a rental apartment, but with a house it’s not so clever, because you’d rather have the construction site before you move in, not after you’ve lived there for a few years. I’m telling you from personal experience: even for moderate changes (kitchen, bathroom, a few floors) you’re quickly spending 100k despite doing it yourself. Sure, you can do everything really cheaply, but honestly, that doesn’t fit your financial situation.

Thank you very much for the answers.

That was already 30 years ago.

The general condition is very good, so here probably only the targeted costs are lurking. (new floors in two rooms and painting by ourselves)

Surely only renovation? No major items like heating or so?

A new gas boiler will be due in the next few years. An energy-efficient renovation according to current standards with a heat pump and comprehensive underfloor heating is very costly for the property, complicated due to the partial parquet floors, and generally probably not economical.

9,000 EUR net. Are you really asking that or just looking for confirmation?

We are still unsure, as an investment of this size is a novelty for us and we would rather not fall back on oatmeal if an unknown "cost explosion" breaks our rough amateur calculation. You read about projects where a 2,500 installment is financed with 6,000 net, which from my probably conservative position seems quite risky.

Forget the 25k, unless you want to move into the house basically unchanged...

That is an interesting objection. Indeed, our current plan was to move into the house initially (barely) unchanged, as the condition is sufficient for our requirements and possibly to renovate individual rooms over time when the time and need arise.

I am definitely quite positive, since only sensible remarks were added here and the project was not discouraged. Thank you.

Understood. On the other hand, according to your information, you spend 12,000 EUR/year on technology and vacations. That's quite a hefty amount. Given your salary, understandable, no question. But there's still a lot of potential there.

What you have as "fixed costs" is the total amount that not a few people who have built a house have at their disposal.

PS: Whether you can live with doing nothing or having nothing done for now... only you can judge that, only you know what the house looks like and what your expectations are. However, not everything has to be finished by the time you move in. I will never understand this insane sense of entitlement...