ᐅ We are planning to build in 2022; the planning phase is beginning.
Created on: 6 Jun 2020 09:33
Y
Ybias78
Before I share the completed data, here are some details about our building project. We are still quite early in the process. About 2.5 years ago, we purchased a plot of land that we are currently paying off. The plot is located within the developed area of Fichtenwalde (about 50km (31 miles) south of Berlin) and is currently classified as forest. There are about 80 trees on the land. Converting it into a building plot is not a problem. However, there is a tree protection regulation, which means all trees must be replaced. The cost of felling the trees, including replanting and a financial deposit (in case the replacement trees do not survive), is around €20,000 (based on feedback from our neighbors who built last year).
We plan to start building the house at the beginning of 2022 and want to consult an architect by August 2020 to design the house and submit the building permit / planning permission application. While the building application is being processed, the land can then be converted, including tree removal. This will be paid for with the money we save from now until the new build. We don’t have any other equity. We moved in together around 10 years ago, during which time we had to pay off my student loans, buy two cars, etc. Our income has also increased over time.
We now need some help with the overall planning. As mentioned, our current plan is:
Here is the plot:
Information about us:
General information about you:
Expenses already included elsewhere can be omitted. This list is not exhaustive and can be extended or summarized. Please specify all costs monthly, even if they only occur annually!
Housing costs:
Other expenses:
General information about the property:
We plan to start building the house at the beginning of 2022 and want to consult an architect by August 2020 to design the house and submit the building permit / planning permission application. While the building application is being processed, the land can then be converted, including tree removal. This will be paid for with the money we save from now until the new build. We don’t have any other equity. We moved in together around 10 years ago, during which time we had to pay off my student loans, buy two cars, etc. Our income has also increased over time.
We now need some help with the overall planning. As mentioned, our current plan is:
- Consult an architect and plan the house by August.
- Submit the building permit / planning permission application in October.
- Tree felling can take place by the end of February.
- In 2021, we will look for a (most likely) regional company to build the house (recommendations welcome).
- From June 2020 to December 2021, the saved money will be spent on:
- Architect fees, tree removal, paying off the land including a €2,750 special repayment. A new car for my wife (approx. €10,000) will also be purchased.
- Cheaper items should also be covered, such as surveying, soil report, etc.
Here is the plot:
Information about us:
General information about you:
- Who are you?
- A family of three.
- How old are you?
- She is 38, he is 41, daughter: 8.
- Do you have children?
- Yes, a girl.
- Are more children planned?
- No others planned.
- What do you do professionally?
- She is a full-time teacher. He is a controlling manager for several hospitals (full-time).
- Are you employed, self-employed, retired, homemaker, etc.?
- Both employed.
- How many hours do you work?
- She works full-time with 27 teaching hours plus preparation and follow-up time. He works 40 hours.
- What are your gross/net incomes?
- She: €2,820. He: €3,000 (tax class IV/IV). This includes about €400 in company pension contributions. Additionally, there are annual bonuses of about €3,000 (not included in net income).
- How much child benefit do you receive?
- €204.
- Other transfer payments like parental allowance, sick pay, etc.?
- None.
- How much equity do you have?
- Currently negligible (under €10,000).
- How much of that equity do you want to invest in the house project?
- All of it.
Expenses already included elsewhere can be omitted. This list is not exhaustive and can be extended or summarized. Please specify all costs monthly, even if they only occur annually!
Housing costs:
- Current basic rent (cold rent)
- €390
- Current total rent (warm rent)
- €567
- Electricity
- €72
- Gas
- None.
- Water, sewage, waste disposal, street cleaning
- Included in additional costs.
- Telephone, internet, mobile phone
- €85 (including Amazon Prime and Netflix)
- Public transport monthly pass (also for children)
- None.
- Car loan (or savings rate for a new car)
- Currently none.
- Insurance
- €100 per month (one fully comprehensive, one partially comprehensive).
- Taxes
- €34
- Fuel
- €200
- Repairs
- €140
- Other
- Is there a second car, motorcycle, scooter? Please specify all costs again!
- Private health insurance (also supplementary health insurance, daily sickness allowance, etc.)
- Dental supplementary insurance: €37
- Liability insurance (including pets)
- €7
- Capital or term life insurance
- None
- Pension insurance (including company pension plans)
- Company pension contributions (already included in net income).
- Disability insurance
- None
- Accident insurance
- None
- Household contents insurance
- €7
- Legal expenses insurance
- €20
- Other insurance (e.g., travel insurance, funeral insurance)
- Groceries
- Difficult to plan.
- Dining out
- Personal care/drugstore
- Pets (food, vet, medication, housing)
- Medication
- Clothing
- Furniture
- Childcare/school fees (including meals)
- After-school care €190 including meals
- Tutoring
- School supplies and books
- Club fees/gym
- Student association: €20
- Gym: €25
- Daughter’s music school: €66
- Babysitter
- Toys
- Cleaning
- TV/video/audio/CDs/DVDs
- Tickets (sports, cinema, concerts, etc.)
- Donations
- Student association: €15
- Other
- Vacation
- House
- Retirement
- Hobbies/gifts
- Other
- Total: €2,250
Other expenses:
- Alimony?
- Loans?
- €250 for the land.
- Other?
- Anything forgotten? Please add here!
- Total income: €6,024
- Total expenses: €3,769
- Balance: €2,255 (saved).
- Including cold rent and optional savings (e.g., savings rate for the house).
General information about the property:
- How large is the plot?
- 1,447 sqm (15,575 sq ft)
- What are its dimensions?
- 20 m (66 ft) road frontage x 72 m (236 ft)
- What is the land value?
- €120 per sqm
- New build, renovation / year built, house type?
- New build – L-shaped bungalow (we are still very early in planning)
- Garages?
- Depends on the budget.
- How big should the house be? (living area / usable area)
- About 140 sqm (1,507 sq ft)
- What is the market value of the land and house after completion?
- Land approx. €200,000 + house €350,000 = €550,000
- Land cost:
- Current outstanding debt €42,000
- Development costs
- Plot is fully developed.
- Acquisition incidental costs (notary, court, property transfer tax, realtor)
- Building or purchase costs (including architect, structural engineer):
- €300,000 budgeted.
- Renovation or restoration costs
- Additional building costs (e.g., utility connections, soil expert, construction electricity, etc.)
- Planned: €50,000
- Outdoor facilities/terrace, paths, landscaping, fences, etc.
- Depends on the total costs.
- Financing costs (fees or commitment interest)
- Total costs
- Remaining debt on the land + new build: Planned financing amount: €400,000
- Kitchen costs
- €10,000
- Furniture, lamps, decoration
- Mostly furniture will be kept and replaced gradually.
- Other "non-acquisition, incidental acquisition, construction, or additional building costs"
- Total costs:
- €400,000
- Deductible equity
- €0 (will be used for clearing the plot; €25,000).
- Financing amount
- €400,000
Oh, it’s actually quite clear between the lines:
1. A corner bungalow is twice as expensive, a) because of the additional floor area and b) due to the more complex roof structure;
2. this extra cost is several times higher than that for larger tiles, fancier washbasins, or fully floor-to-ceiling windows with external blinds all around;
3. the bold claim “corner bungalow, even if these are my famous last words” requires a blank check from the mortgage lender.
And yes, it is certainly helpful when I say this for free, as the architect only does so when asked to calculate how much the design will actually cost to build.
If you’re looking for someone to be nasty to you, you’re in the wrong place here—you’d have to go to the financing section for that (which is almost free of 11ant users, because the punches fly too low there). Even here, with maybe one exception of a guerilla marketing amateur who ridicules a certain builder, even trolls can be helpful—those insiders who claim that a yellow logo is basically being tossed around like a hot potato. But if a little ingratitude could upset me, I’d be fundamentally wrong in all kinds of forums— the internet is not for crybabies, I’ve known that from the start.
https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
1. A corner bungalow is twice as expensive, a) because of the additional floor area and b) due to the more complex roof structure;
2. this extra cost is several times higher than that for larger tiles, fancier washbasins, or fully floor-to-ceiling windows with external blinds all around;
3. the bold claim “corner bungalow, even if these are my famous last words” requires a blank check from the mortgage lender.
And yes, it is certainly helpful when I say this for free, as the architect only does so when asked to calculate how much the design will actually cost to build.
If you’re looking for someone to be nasty to you, you’re in the wrong place here—you’d have to go to the financing section for that (which is almost free of 11ant users, because the punches fly too low there). Even here, with maybe one exception of a guerilla marketing amateur who ridicules a certain builder, even trolls can be helpful—those insiders who claim that a yellow logo is basically being tossed around like a hot potato. But if a little ingratitude could upset me, I’d be fundamentally wrong in all kinds of forums— the internet is not for crybabies, I’ve known that from the start.
https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
11ant schrieb:
Well, it’s actually quite clear in the lines:
1. An L-shaped bungalow is twice as expensive, a) because of the larger area and b) due to the more complex roof structure;
2. this price increase is several times higher than the cost difference for larger tiles, fancier washbasins, or floor-to-ceiling windows with blinds all around;
3. the bold claim "L-shaped bungalow, even if these are my famous last words" requires a blank check from the mortgage lender.
And yes, it is definitely helpful when I say this for free, unlike the architect who has to calculate what it actually costs to build the design.
If someone wants to read that I’m being mean to them, they’re in the wrong place here—you’d have to go to the financing section for that (which is almost free of 11ant users because I don’t tolerate low blows there). Here, even trolls, with the exception of one guerrilla marketing amateur who mocks Heinz von Heiden ridiculously, can be helpful by the way—they (insiderrr!) claim a yellow logo is passed around here like a hot potato. But if a little ingratitude could upset me, I wouldn’t belong in forums at all—the internet is no place for crybabies, I’ve known that from the start.It’s obvious that it’s more expensive just by looking at the prices on the general contractor pages. But it’s our choice. You can also get from a) to b) in a Dacia. Many prefer to buy another brand, even though it’s much pricier. It’s all a matter of personal taste. There’s no point in looking at a house from the garden that we don’t like, even if it has nice washbasins inside, etc.
And the statement “the internet is no place for crybabies” says a lot. If everyone behaved online as they do in real life, it would be much more bearable. Many abuse the anonymity of online communication to prove a point and forget their manners. I believe one should behave online just as respectfully and politely as in real life. Maybe that’s just my age (over 40).
B
BackSteinGotik8 Jun 2020 22:21I think it’s not necessary to focus too long on the form of feedback once you’ve received it.
What can be noted is that your preferred option is a rather more expensive one, and you have quite strict (self-imposed) limits regarding your savings rate.
So far, you are saving 2,300 per month, paying 400 in rent, and want to continue saving 1,500 after building the house. Your budget for the house itself is 300,000, but there is a possibility that the actual costs will be higher.
For me, this simply means that your target savings rate will likely not be achievable. The monthly rate will probably move closer to 1,500 rather than 1,200, plus additional running costs. With your income, this is certainly manageable, but it is difficult to combine the usual 30% for housing expenses with an extra 25% for savings.
What can be noted is that your preferred option is a rather more expensive one, and you have quite strict (self-imposed) limits regarding your savings rate.
So far, you are saving 2,300 per month, paying 400 in rent, and want to continue saving 1,500 after building the house. Your budget for the house itself is 300,000, but there is a possibility that the actual costs will be higher.
For me, this simply means that your target savings rate will likely not be achievable. The monthly rate will probably move closer to 1,500 rather than 1,200, plus additional running costs. With your income, this is certainly manageable, but it is difficult to combine the usual 30% for housing expenses with an extra 25% for savings.
BackSteinGotik schrieb:
I think you don’t need to dwell too much on the feedback once you’ve received it.
What can be noted is that your preferred design is a rather expensive option, and you have very strict (self-imposed) limits regarding your savings rate.
So far, you are saving 2,300 per month, have rent costs of 400, and want to continue saving 1,500 after building the house. Your budget for the house alone is 300,000, and there is a possibility that the costs could be higher.
To me, this simply means that your final savings rate target won’t hold. The actual payment will likely be closer to 1,500 than 1,200 per month, plus additional running costs. Given your income, that’s probably not an issue, but it is difficult to combine the usual 30% for housing with an additional 25% for savings. Thanks for the feedback. Since we are both employed and I have already negotiated my salary for the years 2021–2023 (with an increase of about €100 net per month each year plus a significant raise in performance targets), I do believe we can reach the savings rate. Over the next few days, I have several meetings planned, including one with a financing expert and a general contractor (Kampa). Then I will know:
a) what is feasible
b) roughly how high the payment will be
Whether it will be Kampa in the end, I don’t know yet. I will also check several other general contractors and regional construction companies to compare their services and prices.
I intend to use special financing to keep the payment as “low” as possible. That means around €1,400 payment + €400 additional costs, with about €10,000 in special repayments per year. As mentioned, that is the plan. Let’s see what the final outcome will be.
We both have company pension plans into which we pay about €350–400 per month. Starting at age 67, these can either be paid out or added to the pension. So, if the financing isn’t fully paid off by then (25 years), these funds can cover the remainder. However, that is more of a worst-case scenario.
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