Tips for Realizing the Small Dream

Good day,

I have been quietly reading the forum here for a few weeks now and I really think it’s great, thanks to the forum for the helpful information and experiences.

About me:

Briefly - I hope that my concern will be taken seriously given my age and family status.

I (22) and my girlfriend (25) are planning to build a house in the next few years (roughly 3-5 years). For us, a significant step and the fulfillment of our lifelong dream.

Financially, this is our current situation: Me, 2000 net, civil servant on probation (probably permanent in 1.5 years). She, 1300 net, employee with a view to a permanent job. Each with a completed building savings contract worth 10,000 and 15,000 EUR respectively (I don’t remember the end amount offhand :-) ). Recently, I have also been putting aside whatever is left at the end of the month (about 200-300 EUR).

Rough ideas for the house are currently being sporadically implemented with Cadvilla, collected and filed to later be able to remember one thing or another.

The actual question to the forum:

Do you have any tips for me/us regarding accumulating equity? Raise the building savings contract? A second building savings contract? Savings account? Simply withdraw and put it in a safe deposit box?

I hope I was able to express myself reasonably precisely to convey that there is still time until the house is built, but I would like to minimize "mistakes" and act in such a way that we can fulfill this dream later.

Greetings from Hildesheim :)

Buy stocks ;)
No, seriously - could you possibly buy a plot of land already? If it just so happens that it doesn't have any building obligation, you could start paying it off depending on the location in Niedersachsen until you start building.

In my opinion, the biggest mistake is to spend money thoughtlessly or to make purchases on installments. It does not have to be the best mobile phone contract and not the newest phone. Not updating your electronics every other year, not leasing an A4, not eating out weekly, and not going on expensive vacations twice a year. This way, you can easily save over €500 monthly on a net income of €2000 per year. But of course, that is a basic mindset one should have. Everything over two months' salary in the account should be transferred to a daily allowance account. What about later marriage (not excluded)? In my opinion, sometimes too much money is also spent there, but that is also a matter of prioritization and value. Unlike , I would not buy anything yet that ties you up unnecessarily. Can you be transferred, for example, as a civil servant? In my profession, for example, that is not uncommon, even though there is regional hiring. For building savings contracts, someone else should give advice, as I am not familiar with that. Regards Yvonne

Thanks to both of you! I have to agree with ypg. When you take a look at your fixed costs, you realize that quite a bit can be saved (at least in my case). I immediately took this tip into action. I made myself a spreadsheet and will gradually look to optimize my fixed costs to be able to put a little more money aside.

I definitely don’t rule out getting married – I tend more in the other direction. However, I don’t have to ride into a castle on a white horse. I’d rather invest some sensible money into my home.

Buying a piece of land would unfortunately still be a bit too risky in my case. I am a federal civil servant, and while it is quite "safe" that I won’t leave my location, it is still possible.

I am happy to receive further tips in general that one might not have considered from their own perspective before.

Best regards Marc

Yes, definitely save on unnecessary things and not always buy the newest stuff, etc., and thereby accumulate equity.

Do you have any tips for me / us regarding accumulating equity? Increase the home savings contract? A second home savings contract? Savings account? Simply withdraw and put it in a bank safe deposit box?

Watch the costs (so no home savings contracts and no safe deposit boxes)! Instead, bank savings plan or savings account or fixed-term deposit ladder. With the short planned saving phase of about 5 years, stocks are excluded in my opinion.