Single-family house: Is the rate realistic? How much house can we afford?

  • Erstellt am 2022-07-07 14:49:30

Gerichtsdiener

2022-07-08 12:53:31
  • #1


The equity of €90k is already available. However, I do not understand "everything is vague." I have made an effort to present our plans very concretely. Of course, the development plan still needs to be created, and of course, we are only at the beginning of our planning. But so far, we have had the attitude: "Better to start too early than too late" and also the thought that any planning makes no sense if you cannot realistically assess your own budget.

Basically, I could have kept the post much shorter:
- €90k equity
- Existing plot of land, already developed
- Approx. €6,000 net/month available
- Expenses of x € / month

=> Is a monthly installment of €2,500 feasible?

Everything else was additional, also to sort out my own thoughts, I think...
 

Gerichtsdiener

2022-07-08 12:55:00
  • #2
Thank you, I've heard of that before and I will definitely make a note of it. That could at least be useful with my very predictable salary increases to eventually increase the installment or also to reduce it temporarily from time to time.
 

Tassimat

2022-07-08 12:59:53
  • #3
Now you're confusing me: I thought it was just speculative land? Anyway, you'll be able to afford a house, even on another plot. Lower Saxony is affordable. So first check what is planned there and how long it could take worst-case. Then you can see further.
 

Gerichtsdiener

2022-07-08 13:21:51
  • #4


The building area is already developed, as there is already a 30-year-old road there, which is fully built up on one side and already has 3 other houses built on "our" side. Therefore, the new development plan is supposed to basically "close the gaps" there.

According to the municipality (and indirectly: the planning office), no other area in the village is currently under consideration. In other words, only individual private areas remain for development.

The municipality is therefore very interested in progressing quickly with the development plan in order to meet the demand for new building plots within the municipality. We are thus quite hopeful to keep 3 of our total 5 parcels – if necessary, they should get the other two as a gift if they let us "build in peace". :)
 

Marvinius

2022-07-10 12:53:07
  • #5
My clear answer to that is "No" The loan installment should never be more than 1/3 of the monthly net income. If you want to be very cautious, then you add the additional costs (electricity, water, pellets?, property tax, insurance) and the monthly sum of bank installment and additional costs should be less than 1/3....
 

driver55

2022-07-10 13:25:13
  • #6
This is a guideline, a rule of thumb, nothing more. It makes a difference whether you have a €1000 installment from €3000 or €3000 from €9000. Household additional costs, living expenses, etc. are practically the same in both cases (assumption), 2 daycare places at €300 each are much easier to afford in the second case… ultimately the builder decides and finally the bank.
 

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