When would this rate be feasible?

Hello everyone,

we are planning to build a single-family house next year. Currently, we are married and (still) without children. But that could change quickly (well, the thing with children ). For heating, electricity, water, sewage, property tax, telephone, etc., we have estimated 400 euros per month as additional costs for the mentioned house. After presenting our plans to various developers and subsequently obtaining offers within the budget frame from different banks, it looks like we will end up with a monthly rate of about 1700 euros plus the aforementioned additional costs. That is, of course, already an amount that makes you swallow hard and sit down Therefore, my request to experienced building experts, homeowners, financial experts, fathers, etc.: From what net income do you consider such a rate to be easily manageable?

By easily manageable, I mean that you don’t live and pay only for the house installments for 30 years, that you can treat yourself to something every month, that children do not endanger the financing, that you can put something aside for emergencies (car...) etc. I am asking quite deliberately to receive as honest and objective answers and further assessments as possible.

Many thanks in advance!!!

So, under 4200-4400 euros net, the rate would be too high for me. Of course, everyone has different ideas, but in my opinion, it should be enough for a family with two children.

Best regards Sabine

The rule of thumb is very simple: banks say the annuity (installment) should not exceed 35-40% of the permanently available net income. I say 40% of the net including additional costs should not be exceeded. Otherwise, a house quickly becomes a prison, as you can no longer afford anything else.

Well, that would be too much for me... We have just under 5000 net and pay off 1300. For that reason, the [Sondertilgungsrecht] was important to us. We can make special repayments of up to 20,000 per year...

I would not go for this under €4500/month either. But it depends on personal needs / lifestyle.

If you want children, unless a partner currently has a significant income, plans to pay that much should be postponed.

Parental leave may come (less income), but above all, first of all, adjusting to managing one more mouth to feed.

I am currently planning a moderate rate per month and prefer to keep the prepayment right.

If nothing is specially repaid, it just takes longer (but not longer than my limit anyway), and with prepayment, it goes faster, but I can pump it in whenever I feel like it.

I wouldn't go for less than €4500/month either. But it depends on your personal needs/lifestyle. If you want children, unless a partner has a substantial income at the moment, plans to pay that much should be put on hold. There might be parental leave (less income), but above all, first of all, the adjustment to getting through the day with one more nose (baby). I am currently planning a moderate monthly rate and prefer to keep the prepayment option. If nothing is prepaid, it just takes longer (but not longer than my limit anyway), and with prepayment, it goes faster, but I can put money in whenever I feel like it.