Should the garage be flush with the house or set back?

Yeah phew what background information is needed?

Anyway, please put everything in the text, my crystal ball is currently in the workshop.

Create privacy screening for the properties to the north by shifting backwards,

... would at least not be disturbing here, since little shade is to be expected from the north anyway. However, with the "flush" position, there would also no longer be a full second parking space in front of the single garage, and the house entrance would be firmly assigned to the narrow side (which is rather not ideal).

Is the blue rectangle supposed to represent the house to scale at all, or is it purely a positional dummy (and thus basically of minimal value for the discussion)?

more space in the "small" garden

A bit of "yard" is also not to be underestimated - do people still repair bicycles themselves nowadays? Or does the vehicle vacuum it out?

Set back to the garden at the rear would provide more privacy on the terrace

That could also be done in a pinch with a privacy screen or shrubs.

Garage and house flush, which would somehow be more visually pleasing

I don't think so.

Thanks for the site plan, but I would also plan it based on the floor plan or the entrance side.
Then: are there children who can use the yard? A financial bottleneck that leads to a short driveway?!
And what kind of development is there with the northern neighbors?

Currently, these are considerations, hence the boxes as placeholders. Here again is the information about the street and, if applicable, the entrance.

Here are some additional infos. Entrance is currently planned on the short side.

... wouldn’t at least bother here, as little shade is to be expected from the north anyway. However, with the "flush" position here, there would no longer be a whole second parking space in front of the single garage, and the front door would also be permanently located on the narrow side (which is rather not so great).

Why is that not so great? 11ant, with the well-known name here in the forum, I at least expect a crystal ball ;-)

Yes, shade is not to be expected, but privacy for the terraces in the gardens to the north. Facing south.

PS: The fact that you can only edit posts for a few minutes is an outrage....

Due to the size of the property, I would not place the garage further onto the property than necessary. I would rather work with a few plants as a privacy screen. The neighbor is anyway relatively "far" away from your terrace.