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
kaho674 schrieb:
What is he trying to tell me? I can’t follow right now. Either you forgot to mark the irony, or as a business owner, you should consider improving your business management knowledge.
I couldn’t interpret your post either but chose to hold back with a comment.
kaho674 schrieb:
What is he trying to tell me? I can’t follow right now.[/QUOTE]
Maybe HE means: IT RUBS THE SKIN WITH THE LOTION; IT DOES THAT WHATEVER YOU TELL HIM, OTHERWISE IT WILL END UP WITH SOMETHING ON THE HOSE AGAIN! H
HilfeHilfe15 Nov 2017 09:53Wage dumping is progressing alongside digitalization.
HilfeHilfe schrieb:
das lohndumping geht mir der Digitalisierung einher.No, wage dumping happens because companies can choose the cheapest skilled workers due to the high number of applicants per job opening. This has nothing to do with digitalization at all.
Somehow, my experience in our region is completely different. Wage dumping is actually declining here, as skilled workers no longer queue up at the employment office. Ten years ago, the rate was almost 15%, but now it is 6.1%. In our district, it is even just under 5%. Wage dumping no longer works if you want to employ qualified staff.
arnonyme schrieb:
You’re quite the joker. Do you really think that 70k+ jobs just fall from the sky during times of wage dumping? The trend keeps going down, because more and more fools are following from below — thanks to government and industry propaganda — thinking they all need to pursue STEM fields now.
The days when a degree guaranteed significantly higher earnings than others without one are long gone.
When I see what some tradespeople earn, it makes me feel sick and wonder why I even bothered studying. Well, having a degree alone doesn’t always help. That’s clear. You also need to be smart and know how to negotiate…
You might be right about many things. In my circle, I only have comparisons between pharma, insurance, banking, industry, logistics, medicine, etc.
I don’t have any comparisons with social work, hairdressing, automotive trades, office administration, etc. But I could imagine those professions unfortunately pay somewhat less.
In the industries I mentioned, you’d have to be pretty foolish to earn less than 3000 net (take-home) with over five years of work experience including a degree. (Part-time and re-entry after a long break excluded)