What's up? What would be a healthy loan amount?

Hello building experts,

a brief introduction:
My wife and I are expecting our first child, and with the child comes the nesting instinct. Unfortunately, I have never dealt with this topic before.

I hope that experienced people can give me a rough overview.

Regarding our income situation:
(M) net income €5100
(W) net income €1900
Equity capital: €130,000

There are no costs for a car – as it is a company car. Costs for insurances/pensions (liability: legal etc.) have also been deducted.
I do not want to include my wife's salary in the planning, as after the birth she will only work part-time for me. We do not lead an expensive lifestyle.

How high would a healthy loan volume be?

Best regards

6-7 TEUR per month and 130,000 EUR equity, company car, no expensive lifestyle.

This is a great starting position. I am not an expert but based on experience, I estimate that you could get a loan of 400,000 EUR with that.

You would even get more, the question is how much you actually want, or rather how much you can pay off monthly. If you now say you shouldn't finance more than 80% for a reasonable interest rate. After deducting the ancillary costs, 400,000 € would be a pretty good guideline. At 3% repayment, I find about 400€ repayment per 100,000€ a pretty good first rough estimate.

Thank you very much for the answers. According to my calculations, we could afford about €2000 per month as a payment. Our desired house should have approximately 200 sqm of living space if it fits the budget. What costs can one expect for a normal standard in a prefabricated house?

I think, with self-employed people (or did I misunderstand that?), one should approach the whole thing a bit more cautiously. In my opinion, it is not 100% comparable to employee net income. ALV? Reserves? How crisis-proof is self-employment?...

For the actual calculation, you should also be aware of how long you want to finance. And only you alone know how much you can invest in the house monthly.

Hello Joseph,

you will very likely get what you want.
The key data is great.

My brother and his wife have a net income of about 4500,- including company car etc. They got a 540k financing with almost zero equity. (But they didn’t go through with it. They are saving diligently and want to go to the bank again next year. Then with <100k equity).

I think 500-600k is no problem to get.
Whether you want that is another matter.