ᐅ No building plot available due to new EU local residency model?
Created on: 11 Nov 2017 21:49
H
Hanneshickel
Hello everyone,
We are a family of two who have been searching for a building plot east of Munich, about 50-70km (30-45 miles) away, near the upcoming A94 highway, for several years. We have applied multiple times to local municipalities near us for a plot under the local resident model, but each time we were rejected due to too few points or because our equity or income was too high. We have too few points because we don’t have children. Since we have been searching for a long time, we have saved around €130,000 (about $140,000) and can save about €15,000 (about $16,000) more each year. However, here you are not allowed to have more savings than the plot would cost (mostly around €150-200/sqm (about $140-190/sqft), so approximately €120,000 (about $130,000)). Also, you are not allowed to earn more than the municipal average, which as a couple is about €80,000 (about $85,000) gross. We, however, earn almost double that gross, so together we have a net income of around €6,500 (about $7,000) per month (both earn roughly the same).
Therefore, our only option is to buy a plot privately. But prices here are extremely high compared to municipal land. We are talking about €500-700/sqm (about $460-650/sqft), so quickly around €300,000 (about $320,000) just for the plot. Then I estimate construction costs of about €400,000-500,000 (about $430,000-540,000) for a 160 sqm (about 1,700 sqft) house with a basement, double garage, and a simple building shape. That means approximately €700,000-800,000 (about $750,000-860,000) in total.
We don’t feel confident financing this amount, as it would easily mean paying over €2,000 (about $2,150) per month for the next 30 years. If one of us takes time off work due to having children, then there would be too little left for living expenses. Or is it now normal to finance this much for a house? My pain threshold is currently around €1,800 (about $1,950) per month for the mortgage.
What do you think?
What other options do we have to get affordable building land?
Or should we forget about building and only look for existing houses?
Thank you and best regards,
Hannes
We are a family of two who have been searching for a building plot east of Munich, about 50-70km (30-45 miles) away, near the upcoming A94 highway, for several years. We have applied multiple times to local municipalities near us for a plot under the local resident model, but each time we were rejected due to too few points or because our equity or income was too high. We have too few points because we don’t have children. Since we have been searching for a long time, we have saved around €130,000 (about $140,000) and can save about €15,000 (about $16,000) more each year. However, here you are not allowed to have more savings than the plot would cost (mostly around €150-200/sqm (about $140-190/sqft), so approximately €120,000 (about $130,000)). Also, you are not allowed to earn more than the municipal average, which as a couple is about €80,000 (about $85,000) gross. We, however, earn almost double that gross, so together we have a net income of around €6,500 (about $7,000) per month (both earn roughly the same).
Therefore, our only option is to buy a plot privately. But prices here are extremely high compared to municipal land. We are talking about €500-700/sqm (about $460-650/sqft), so quickly around €300,000 (about $320,000) just for the plot. Then I estimate construction costs of about €400,000-500,000 (about $430,000-540,000) for a 160 sqm (about 1,700 sqft) house with a basement, double garage, and a simple building shape. That means approximately €700,000-800,000 (about $750,000-860,000) in total.
We don’t feel confident financing this amount, as it would easily mean paying over €2,000 (about $2,150) per month for the next 30 years. If one of us takes time off work due to having children, then there would be too little left for living expenses. Or is it now normal to finance this much for a house? My pain threshold is currently around €1,800 (about $1,950) per month for the mortgage.
What do you think?
What other options do we have to get affordable building land?
Or should we forget about building and only look for existing houses?
Thank you and best regards,
Hannes
People who commute are generally less healthy, more overweight, more stressed, and less happy—this has long been proven by studies. It has also been found that commuting by car is the unhealthiest form of commuting. In terms of the factors mentioned above, working overtime is better than commuting. These are the facts, and there is no need to sugarcoat them here.
Grym schrieb:
The statement is still nonsense; no one will talk on the phone with you at 7 a.m.You can’t generalize like that; it really depends on the job. My husband makes phone calls every morning on his way to work in his car, and that’s also at 7 a.m. There are also companies where work goes on around the clock.
Best regards
Sabine
Yes, when you have to commute, you tend to convince yourself of many things, for example that you actually need a half-hour buffer. No one really needs a mental half hour between private life and work. That’s just something people tell themselves. A healthy person is flexible and simply manages these roles. They can even discuss a technical question over the phone while sitting in the garden.
But yes: you shouldn’t eat where you… well, go to the bathroom. This mainly applies to members of a community, town, or rural area who might be under the scrutiny of neighbors.
On the topic of grandparents: our little one is now one year old. I’m looking forward to when she can spend the night with us, Grandma and Grandpa, on weekends. We still work now. But apart from that, we have our own lives. We dream just like you do. We are no different from you, just a bit older. The only thing about retirement age that will be good is having time for yourself.
But yes: you shouldn’t eat where you… well, go to the bathroom. This mainly applies to members of a community, town, or rural area who might be under the scrutiny of neighbors.
On the topic of grandparents: our little one is now one year old. I’m looking forward to when she can spend the night with us, Grandma and Grandpa, on weekends. We still work now. But apart from that, we have our own lives. We dream just like you do. We are no different from you, just a bit older. The only thing about retirement age that will be good is having time for yourself.
ypg schrieb:
Yes, when you have to commute, you convince yourself of many things, for example that you actually need that half-hour buffer. No one really needs a mental half hour between personal life and work. That’s just something people tell themselves. Is it your humble, tolerant nature that makes you think you get to decide what people need and what they don’t?
ruppsn schrieb:
Is it your humble, tolerant nature that makes you believe you decide what people need and what they don’t?This is my insight from over 30 years of experience in work and professional life.
Certainly not just my opinion. If it were only about my opinion, I would make that clear.
ypg schrieb:
It is my insight from over 30 years of work and professional experience.Oh dear, oh dear, that doesn’t make it any better!
I dare say I know much better what I need and what I don’t. Because, surprise, I definitely know myself and my life circumstances better than you do!
Your 60 years of YOUR professional experience are of little use here. The arrogance of thinking you know better from a distance, without understanding an individual’s situation, says a lot. Referring to others who share the same presumptuous viewpoint doesn’t help either...
In case you haven’t realized it yet: people are individuals with very different, individual needs. If after 30 years you still haven’t understood that, maybe you should keep the “work/professional experience” card to yourself...