Taking a loan for equity financing?

Hello,
my girlfriend and I came across an offer on the internet six months ago while looking for an apartment: "Hausbauprojekt für junge Familien geplant". Since we really liked the described offer and the company is also very well-known and reputable, we arranged an appointment. The plan is to build 10 KFW terraced houses (6 end and 4 middle houses) on a 2000m² plot. For a family with one child (we have a one-year-old son), the monthly cost would be €425 + €350 ancillary costs, totaling €775. My current income is €1600 + €164 child benefit, and we receive €300 every month from the child's godparents, which can be included as we have this in writing, so the total income is €2064 - €1289 would remain. According to their calculation, €1050 should be left for us as a family to live on, so that fits well!!
Our current problem is that my goduncle wanted to lend us the €10,000 equity but now thinks I could borrow €10,000 from another bank and pay it off with the remaining €200 over five years. My uncle would then rather renovate his apartment first as planned, which I can't blame him for!!!
What do you think about the whole thing???
Would it work to borrow €10,000 now and then get the construction financing in the near future???

what do you get for €425,-, a turnkey KfW terraced house???

LG

what do you get for 425,- €, a turnkey KfW terraced house???

LG

morning,
yes exactly - a turnkey KfW terraced house minus certain own contributions that you can make - for us that would be insulating the roof, drywall, tiling, painting work and the garden has to be designed by ourselves anyway. but that should not be a problem, I am a trained painter and varnisher and good at crafts!!!

regards
Worry

Hello,

for how many sqm?

Best regards

Hello,

for how many sqm?

LG

we would have about 110 square meters of living space. Would that probably work if I first take out a loan of €10,000 and then later the construction financing???

Something is somehow wrong there.

€425 monthly ~ €85,000
with 110 sqm that would be ~ €770/sqm

Nobody builds a KfW house for that, even if it is only KfW70.
For me, that would be the shell construction with a few additional costs.

Here I would check the specification of services again carefully.
No company gives houses away, even in Sicily they still cost €1.