Variable loan possible / sensible?

On the topic of going through with it now: that is already impossible for the reason that I am already receiving maternity benefits. Therefore, every bank application is rejected at the preliminary review stage.

That is the beauty of variable financing.
In about two years, you can simply see where you stand. For example:
- Child in daycare, you back to work part-time, or not
- Salary has increased or not
- Savings or repayment of x euros per month achieved.

All three points can go really well, or all three points can go terribly. No one can predict that for you. It is up to you whether you manage 500, 600-700, or over 1000€ repayment per month. Or whether you get a daycare place or not. But we don't need to discuss that here.

Anyway, at the latest when you go back to work, that is no longer a problem for any bank.

Regardless: Make an appointment at the local Sparkasse, Volksbank, or whatever branch bank and talk to them about how they see the whole situation. They give very honest and direct feedback on why it is not a problem for them, or why they do not want to finance you. That helps! You will also get your variable loan super easily there.

Do you see the problem just like me that we really pay off very little of the property value during this period? In the worst case only 10-15% of the property – that's nothing.

Yes, but 10 - 15% is better than nothing, What would the alternative be then? Certainly, the share can be increased by giving up vacations, etc. Olli

Because of the variable loan for the land, the question is still open for us: the comfortable monthly rate of €600-700 during the EZ will probably not bring us anything. That way, we won't have paid anything off in 2-3 years,

That's about €20,000 in three years. Then you will have a plot of land with a remaining debt of €135,000 at a value of maybe €185,000 (I factored in a small increase in value). Private loans are paid off.
Not a bad start.
Maybe a slightly higher repayment will also work out.
What would the alternative be? You can't buy something now. We've already calculated that a long time ago.

Yes, but 10 - 15% is better than nothing, What would be the alternative then? Certainly, the share can be increased by giving up vacations, etc. Olli

I see the following alternatives summarized: 1) Buy a condo for about 250K €. That would be about 80m2 and most likely not in Berlin, but in the suburban area. Then the double burden would disappear; financially, we would probably manage it with a single income and pay roughly about the same as now in rent for the installment. (probably slightly more, but investing in a home). Con: The property is gone, the condo is a stepping stone, not for life. Still better than renting. There would probably still be something left to save. 2) Continue renting, reduce costs, save money in the account. Advantages: it is easier to sleep at night because it is a “voluntary” saving without external pressure. Focus on the child (no obligation to send the child to daycare at 1-1.5 years, etc.). Disadvantages are clear: price increases against which it is difficult or just barely possible to save. 3) Secure land through a variable loan: Advantages: you secure land at a still relatively low purchase price nowadays. You remain relatively free in the worst case (which allows you to sleep fairly calmly at night). Disadvantages: double burden due to the rent. High interest, meaning, if we only manage to repay 700-800€ monthly, 2-3 percent goes to the bank and not to repayment = no significant equity savings. So, we probably have to die some kind of death anyway

1) Buy a condominium for about €250K. That would be around 80m2 and most likely not in Berlin, but in the commuter belt. Then the double burden is eliminated; financially we would probably manage it in the single earner scenario and pay roughly the same monthly amount as we do now for rent. (probably slightly more, but investing in our own home). Con: the land is gone, a condominium is an intermediate step, not for life. Still better than renting. There will probably still be something left to save.

Also an option. A condo in the commuter belt for that price is really a bargain... BUT: If you want to move into a house at some point, you’ll have to adjust your lifestyle then as well.

2) Continue renting, reduce costs, save money in the bank. Advantages: you can sleep better at night, as it’s “voluntary” saving without external pressure. Focus on the child (no obligation to put the child in daycare at 1-1.5 years, etc.). Disadvantages are clear: price increases against which it’s difficult or barely possible to save.

A lousy alternative. So far you’re not really saving. If there is no pressure, probably not really saving either. Voluntary saving is always bad (only worse is not saving at all).

3) Secure land through a variable loan: Advantages: you secure a piece of land at a relatively cheap purchase price nowadays. You remain relatively flexible in the worst case (which helps you sleep relatively calmly at night). Disadvantages: double burden due to rent. High interest, meaning if we only manage to repay €700-800 monthly, 2-3 percent goes to the bank and not into repayment = no significant equity savings.

Worthwhile alternative. However, it will not be 2-3% going to the bank. Expect about 1% +/-. But it is forced saving and a compulsion to adjust your lifestyle to the desire for a house. Spending more money when it’s available again is always possible. But if you manage to repay more, it won’t just go into a savings account and get frittered away, but will immediately become long-term available equity = lower residual debt. And there’s also the chance of miraculous money growth if land values develop accordingly. And I still see that in Berlin. Thanks to the rent cap, more and more owner-occupied apartments/houses/plots are in demand, but not rental apartments.

Now just choose Option 3 and off you go :) This is anything but dying a death.