ᐅ Homebuilding Forum – Would You Choose to Buy or Build a House Again?
Created on: 11 Dec 2015 11:09
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xycrazy
Hello,
we are about to sign the contract with the developer but have started seriously reconsidering whether we should go through with it.
We negotiated for 8 months and were quite sure about it. However, towards the end, some issues arose regarding the contract and other matters, which we managed to resolve.
It now looks like we would be paying a third of our net income to the bank for 22 years. I think we can afford it. But when you are used to paying monthly rent of about €800-900 (divided by 2), this is quite a different level.
With a house, it’s not just the loan payments; there are ongoing maintenance costs as well. From what we’ve read, this is roughly €2-3 per m² (about 0.2-0.3 per sq ft) per month. So that’s another €400-500 per month. And, of course, there is much more work involved too.
Admittedly, this is stressing us out quite a bit, especially my partner. She is worried about the heavy financial burden each month. Is that justified?
We don’t want to live just for the house; we want to go on vacations, avoid problems with children, and so on. As I said, the current situation is manageable, but we wonder if we might be underestimating the costs.
So here’s my question to the community: looking back at everything you know now about loans, maintenance costs, upkeep, and so forth, would you buy or build a house again?
If yes, why? If not, why not? I’m really interested to hear your thoughts! And were there any surprises—positive or negative—that you didn’t expect?
Regards
we are about to sign the contract with the developer but have started seriously reconsidering whether we should go through with it.
We negotiated for 8 months and were quite sure about it. However, towards the end, some issues arose regarding the contract and other matters, which we managed to resolve.
It now looks like we would be paying a third of our net income to the bank for 22 years. I think we can afford it. But when you are used to paying monthly rent of about €800-900 (divided by 2), this is quite a different level.
With a house, it’s not just the loan payments; there are ongoing maintenance costs as well. From what we’ve read, this is roughly €2-3 per m² (about 0.2-0.3 per sq ft) per month. So that’s another €400-500 per month. And, of course, there is much more work involved too.
Admittedly, this is stressing us out quite a bit, especially my partner. She is worried about the heavy financial burden each month. Is that justified?
We don’t want to live just for the house; we want to go on vacations, avoid problems with children, and so on. As I said, the current situation is manageable, but we wonder if we might be underestimating the costs.
So here’s my question to the community: looking back at everything you know now about loans, maintenance costs, upkeep, and so forth, would you buy or build a house again?
If yes, why? If not, why not? I’m really interested to hear your thoughts! And were there any surprises—positive or negative—that you didn’t expect?
Regards
Wow, that all sounds really positive. What about the loan? Did you ever worry about whether things would work out, if you could really afford the payments, or if you could still take vacations like before without having to watch every penny twice? Or did any of that ever limit your freedom to make decisions, like not being able to simply end your lease and move somewhere else, for example, because of a job offer? You do commit to the location, so it’s not as easy to move anymore. Of course, you never know what the future holds. But I would be interested to know if this was a factor for you.
Jochen104 schrieb:
The house should serve you, not the other way around.
Exactly.
A well-planned house within the family’s budget does exactly that.
The quality of life factor is extremely positive. It’s a game-changer!
And if you say: I’m making this my hobby too (a matter of attitude), then your home also becomes the hobby project of your choice. That’s: TOP.
Regarding the monthly costs for house maintenance, I have often read about 2-3€ per m² (22-28 cents per ft²). Personally, I find that quite high because, even for a new build in our case, it would amount to around 400-500€ (450-560 USD) per month. So these would not be savings but additional expenses on top of the mortgage. Is this realistic when you consider insurance for the house, electricity, water, waste disposal, and similar expenses, or is that an overestimate? We just lack a sense for it.
xycrazy schrieb:
Wow, that all sounds really positive. And what about the loan? Did you ever worry whether it would work out, if you could really afford the payments, if you could still take vacations like before without having to count every penny twice? Or did you ever feel restricted in your freedom to make decisions because of it? For example, not being able to simply end the lease and move somewhere else, perhaps due to a job offer? You are tying yourself to a place, which isn’t as easy to change anymore. Of course, you never know what’s coming. But I’d be interested to know if that played a role for you.Life is dangerous and always ends in death.
You can’t foresee everything.
If everyone loses their job, they won’t be able to pay rent either.
And yes: In the first years, there is a lot of work. Then you just take a staycation on the balcony instead of going to Fuerte (I miss it, but owning a house makes up for it).
And if I had to move: Then so be it. See above. Life.
Location, location, location.
Can I sell the house within 6 months?
Or rent it out.
I would deal with that if it actually happens.
Worrying about things that haven’t happened yet is pointless.
Sure, you have concerns. Who doesn’t?
No effort (+ worries), no reward.
If building a single-family home were that easy, everyone would have one.
You have to grit your teeth sometimes. It’s something you can do at least once in your life...
Besides that: Garbage, gas, water, electricity—those costs stay the same.
With heating, I’m even saving about $1000 (USD) per year compared to before owning the house.
Hi,
this will probably be a long text.
First of all: It’s completely normal to have doubts before signing the contract. After all, you’re committing for a long time, and once construction starts, you can’t just say “this was a mistake, I’m stopping now.” I think most future homeowners feel this way. After my wife expressed doubts several times, I even asked her three days before signing: “Do we really want to do this?” For me, it was clear that I wanted to. But with her agreement, I knew that WE BOTH wanted to take this step. Only then can it work.
During the construction phase, you’ll face this question again and again. Some couples get divorced during this time (or shortly after). There will be disagreements, significantly higher stress for both of you, time constraints, and if you’re unlucky, some difficulties on the building site, too.
We had a big clash about five months after moving in. Every possible and impossible issue was put on the table. But the storm passed, and we’re back on good terms.
You just have to be careful not to “lose each other.” Make a conscious effort to reserve time for yourselves. Go out for a nice meal once in a while. Take a Sunday walk with no house-related topics. Simply switch off sometimes and do something together. As much as possible. TOGETHER is the magic word.
Now – to the main question:
YES – I (and hopefully we) would build again. This – even though my wife’s job situation has made our finances tighter and might get even tighter early next year.
You pay a lot of money for the mortgage – but it’s for your own property, not someone else’s.
Your monthly expenses remain the same – rent can/will increase.
You own something built exactly to your wishes and ideas.
You planned your house individually, including room locations and “short” distances.
You have your little personal touches in the house, unique to you. I love, for example, our two showers. In the old apartment, showering was purely functional – now it’s a pleasure.
Your home’s energy consumption is lower compared to the apartment. You don’t have to accept the given building conditions (in our old apartment, the former child’s room had a thermal bridge, making it hotter in summer, colder in winter than the rest of the apartment).
You don’t need the owner’s approval for changes or repairs, nor do you have to wait for the building manager or caretaker to grace you with their presence or decision. However, you are responsible for the repairs yourself.
The children (3 and 5 years old) can just go outside onto the property when they want to play. You don’t have to walk to the playground every time, wasting time.
Hopefully, you’ll develop good relationships with your neighbors. One hand washes the other: if you help, you get help in return. You’re all in the same situation. In the apartment building, we never had such close contact with neighbors as we do with the house. Strange, since the house itself is more “secluded.”
You don’t need a gym – the house and garden keep you active enough. 🙂
Were there any negative surprises?
Well – one neighbor just doesn’t get along. That means: “Good day” and “Have a nice walk.”
The costs for the outdoor area (paving work) were higher than expected – so we had to split the expenses.
You always have something to do.
Are there other things I (somewhat) regret?
Looking back, I realize that some work I skipped for cost reasons should have been done. I miss a few little things now (but not much). If I had invested the extra 5,000 euros (about $5,500) right away, it would have been the perfect house.
Phew – lunchtime is almost over again.
this will probably be a long text.
First of all: It’s completely normal to have doubts before signing the contract. After all, you’re committing for a long time, and once construction starts, you can’t just say “this was a mistake, I’m stopping now.” I think most future homeowners feel this way. After my wife expressed doubts several times, I even asked her three days before signing: “Do we really want to do this?” For me, it was clear that I wanted to. But with her agreement, I knew that WE BOTH wanted to take this step. Only then can it work.
During the construction phase, you’ll face this question again and again. Some couples get divorced during this time (or shortly after). There will be disagreements, significantly higher stress for both of you, time constraints, and if you’re unlucky, some difficulties on the building site, too.
We had a big clash about five months after moving in. Every possible and impossible issue was put on the table. But the storm passed, and we’re back on good terms.
You just have to be careful not to “lose each other.” Make a conscious effort to reserve time for yourselves. Go out for a nice meal once in a while. Take a Sunday walk with no house-related topics. Simply switch off sometimes and do something together. As much as possible. TOGETHER is the magic word.
Now – to the main question:
YES – I (and hopefully we) would build again. This – even though my wife’s job situation has made our finances tighter and might get even tighter early next year.
You pay a lot of money for the mortgage – but it’s for your own property, not someone else’s.
Your monthly expenses remain the same – rent can/will increase.
You own something built exactly to your wishes and ideas.
You planned your house individually, including room locations and “short” distances.
You have your little personal touches in the house, unique to you. I love, for example, our two showers. In the old apartment, showering was purely functional – now it’s a pleasure.
Your home’s energy consumption is lower compared to the apartment. You don’t have to accept the given building conditions (in our old apartment, the former child’s room had a thermal bridge, making it hotter in summer, colder in winter than the rest of the apartment).
You don’t need the owner’s approval for changes or repairs, nor do you have to wait for the building manager or caretaker to grace you with their presence or decision. However, you are responsible for the repairs yourself.
The children (3 and 5 years old) can just go outside onto the property when they want to play. You don’t have to walk to the playground every time, wasting time.
Hopefully, you’ll develop good relationships with your neighbors. One hand washes the other: if you help, you get help in return. You’re all in the same situation. In the apartment building, we never had such close contact with neighbors as we do with the house. Strange, since the house itself is more “secluded.”
You don’t need a gym – the house and garden keep you active enough. 🙂
Were there any negative surprises?
Well – one neighbor just doesn’t get along. That means: “Good day” and “Have a nice walk.”
The costs for the outdoor area (paving work) were higher than expected – so we had to split the expenses.
You always have something to do.
Are there other things I (somewhat) regret?
Looking back, I realize that some work I skipped for cost reasons should have been done. I miss a few little things now (but not much). If I had invested the extra 5,000 euros (about $5,500) right away, it would have been the perfect house.
Phew – lunchtime is almost over again.
D
Doc.Schnaggls11 Dec 2015 12:08Well, we had already lived in a (small) condominium before, so the connection to a location wasn’t really any different than before.
We planned the financing so that we could manage it with just one income, and it was also important for us to still be able to go on vacation.
Well, maybe not three or four times a year anymore, but one or two nice holidays should still be possible.
At first, my wife was also rather skeptical about the loan, but by now we both see the project as quite manageable.
There will never be 100% certainty in life, but if you have the opportunity to own your own home, in my opinion, you shouldn’t miss out on the significant gain in quality of life.
Best regards,
Dirk
We planned the financing so that we could manage it with just one income, and it was also important for us to still be able to go on vacation.
Well, maybe not three or four times a year anymore, but one or two nice holidays should still be possible.
At first, my wife was also rather skeptical about the loan, but by now we both see the project as quite manageable.
There will never be 100% certainty in life, but if you have the opportunity to own your own home, in my opinion, you shouldn’t miss out on the significant gain in quality of life.
Best regards,
Dirk