We have now decided to start building a house from autumn 2019, even though personally I would have much preferred to buy. On one hand, I’m happy that our long-held plans are finally coming to fruition; on the other hand, I’m currently frustrated that we spent 5 years searching in vain – 5 years of rent payments at 600 euros per month (about $650 USD) times 12 months times 5 years equals 36,000 euros (about $39,000 USD)… money we could have already paid toward a mortgage.
My parents had their mortgage paid off by age 50. According to our repayment plan, I expect to be in my early 60s when we finish.
We posted several ads, told everyone we know, left notes in mailboxes of vacant properties, and kept our eyes open everywhere… all ultimately futile. We could have bought something in November 2017 but were outbid at the last moment by about 10,000 euros (around $11,000 USD). That was not worth it to us, especially since the agent was also asking for a commission. That’s life…
One real estate agent told us that interesting properties sometimes have to be marked inactive within an hour after listing because the phone won’t stop ringing otherwise.
About 95% of the viewings we did turned out to be disappointments: mold, water damage, kilos of pigeon droppings in the attic, awkward floor plans, very old electrical installations, filthy bathrooms, no mobile reception, slow internet, impending road and sewer construction of 1.5 years duration with cost repartition, paint shops, and noisy neighbors like arcades, and so on.
Supposedly, half villages are empty here in northern Hesse and many houses are waiting for buyers. But I really don’t see that, except for some dilapidated half-timbered houses on main roads.
This year, our patience ran out because I don’t believe anything will change in the next 5 years either.
How long did it take for you? Or did you skip the “fun” and decide to build right away? I’d be glad to read about your experiences.
Have a great weekend!
My parents had their mortgage paid off by age 50. According to our repayment plan, I expect to be in my early 60s when we finish.
We posted several ads, told everyone we know, left notes in mailboxes of vacant properties, and kept our eyes open everywhere… all ultimately futile. We could have bought something in November 2017 but were outbid at the last moment by about 10,000 euros (around $11,000 USD). That was not worth it to us, especially since the agent was also asking for a commission. That’s life…
One real estate agent told us that interesting properties sometimes have to be marked inactive within an hour after listing because the phone won’t stop ringing otherwise.
About 95% of the viewings we did turned out to be disappointments: mold, water damage, kilos of pigeon droppings in the attic, awkward floor plans, very old electrical installations, filthy bathrooms, no mobile reception, slow internet, impending road and sewer construction of 1.5 years duration with cost repartition, paint shops, and noisy neighbors like arcades, and so on.
Supposedly, half villages are empty here in northern Hesse and many houses are waiting for buyers. But I really don’t see that, except for some dilapidated half-timbered houses on main roads.
This year, our patience ran out because I don’t believe anything will change in the next 5 years either.
How long did it take for you? Or did you skip the “fun” and decide to build right away? I’d be glad to read about your experiences.
Have a great weekend!
M
Mottenhausen30 Nov 2018 13:41Zaba12 schrieb:
Construction Time Guarantee
So you're still not here long enough after all I am the biggest critic of this guarantee, don’t worry, I’m not proud of it. I just wanted to mention it because people here often say that anyone signing a contract now won’t actually start before 2020.
H
HilfeHilfe30 Nov 2018 15:116 months. The comparison with rent is misleading because you also pay interest.
HilfeHilfe schrieb:
6 months. Comparing it to rent is misleading because you also pay interestExactly. That’s why I said “annuity” and not “repayment.” Five years ago, of course, we had less income and equity than we do now. But prices were also lower back then. When I look at my age at the end of the repayment plan, it makes sense to start as early as possible—especially to take it easier at work from around age 60 (early retirement, etc.).
Six months seems quick to me, but from today’s perspective, it’s just right.
Well, hindsight is always 20/20... I’m curious whether market conditions will ever shift again!?
We had been considering this decision for quite some time. At first, it seemed too expensive to us (at that time, we were not yet aware of the price developments). Eventually, we bought an existing property 3 years ago.
For about 2 years now, we have also been looking again for a building plot or a detached house, depending on what we can find. We are not going to force anything. We could sell our house immediately, but until something new comes up, we won’t take any further steps.
For about 2 years now, we have also been looking again for a building plot or a detached house, depending on what we can find. We are not going to force anything. We could sell our house immediately, but until something new comes up, we won’t take any further steps.
Mottenhausen schrieb:
I’m the biggest critic of this guarantee, don’t worry, I’m not boasting about it. I just wanted to mention it because people here always say that anyone signing a contract now won’t start before 2020. I don’t know if it’s different anywhere else, but here it’s exactly the same. If you ask a structural contractor now, the earliest start is in 12 months. That’s why I fully agree with this opinion.
And honestly, almost everyone who is currently frustrated in our construction area due to delays of more than 3 months are those who believed in the stated start date. It doesn’t matter whether it’s a general contractor or a prefabricated house.
The most important thing for the prefabricated house provider or general contractor is your signature. And once you’ve signed, you won’t get out without a penalty. Don’t worry, they will downplay the delay anyway.
Started looking at houses at the beginning of 2017.
Viewed 3 properties from the 1960s/70s, did the calculations, saw that after all the renovations the total cost would be incredibly high – decided to build a new house instead.
Visited 1 plot of land; the second one was a perfect match, February 2017.
Reserved it in March 2017.
Loan approval in June 2017, contract signed.
Building permit / planning permission approved in September 2017.
Foundation laid in November.
Then came the cold winter.
Topping-out ceremony at the end of March 2018.
And then everything got delayed, there was no progress for a long time.
Windows installed in June 2018.
The rest proceeded faster again.
Moved in October 2018.
So, less than 2 years from “we want our own place” to moving into a newly built home – I think that’s still reasonable. Even though I had hoped for it to be quicker.
Viewed 3 properties from the 1960s/70s, did the calculations, saw that after all the renovations the total cost would be incredibly high – decided to build a new house instead.
Visited 1 plot of land; the second one was a perfect match, February 2017.
Reserved it in March 2017.
Loan approval in June 2017, contract signed.
Building permit / planning permission approved in September 2017.
Foundation laid in November.
Then came the cold winter.
Topping-out ceremony at the end of March 2018.
And then everything got delayed, there was no progress for a long time.
Windows installed in June 2018.
The rest proceeded faster again.
Moved in October 2018.
So, less than 2 years from “we want our own place” to moving into a newly built home – I think that’s still reasonable. Even though I had hoped for it to be quicker.