Hello everyone,
I’m new here. My wife and I have been looking for a suitable plot of land for quite some time. We have now found a 605 sqm (6500 sq ft) plot that we like. After consulting with the local municipality, we had to submit an application for the plot. Today, we received an email from the mayor informing us that we have been awarded the plot. So far, we do not have a planned house design nor financing approval for either the land or the house. Our first appointment is on Friday at the prefab house exhibition in Erlangen. I am now wondering what the best approach is: to fully finance the land and house separately or to finance everything together.
Best regards,
Marcus
I’m new here. My wife and I have been looking for a suitable plot of land for quite some time. We have now found a 605 sqm (6500 sq ft) plot that we like. After consulting with the local municipality, we had to submit an application for the plot. Today, we received an email from the mayor informing us that we have been awarded the plot. So far, we do not have a planned house design nor financing approval for either the land or the house. Our first appointment is on Friday at the prefab house exhibition in Erlangen. I am now wondering what the best approach is: to fully finance the land and house separately or to finance everything together.
Best regards,
Marcus
A
Acxiss202020 Nov 2020 14:17Hello,
no :-) we have now finished the house design and are currently dealing with the financing questions. We have received one offer from the broker Hüttig & Rompf which looks as follows:
Construction costs house (turnkey) 259,305 €
Land costs 24,200 €
Outdoor facilities 10,000 €
Development costs 2,000 €
Additional building costs (including earthworks) 60,000 €
Notary and property transfer 2,947 €
Equity capital -22,452 €
_____________________________________________________________________
Loan required 336,000 €
His proposal is a mix of bank loan (DSL, interest rate 1.47%) and KfW loan, plus a home savings contract (BHW) as follow-up financing with a total monthly payment of 1,087 euros and a 30-year fixed interest period. We have a rough income of 3,000 euros monthly and not very high living expenses. A home savings contract with 2% interest and currently 10,000 euros and a preparatory savings contract with 1% interest and a budget of 4,400 euros in 3 years is also still available. However, we do not want to touch these for now. Our account is with DKB, where for a 15-year fixed interest period the monthly payment would only be 933 euros (1.24% interest). For 10 years even 100 euros less. Since my partner will inherit a house in the next few years which is intended to be sold, we are now unsure whether to choose the 10 or 15 years fixed rate at DKB (provided they accept us) to have a lower monthly payment and then speculate on paying off the rest with the inheritance, or to play it safe and secure the interest rate now. Extra repayments are only possible with 5% at DSL and 10% at DKB. The interest-free availability period is 8 months at DKB and 15 months at DSL.
House data:
Schwörerhaus ground floor & upper floor KfW 55 with 115 sqm (1,237 sq ft)
Basement 55 sqm (592 sq ft)
On other comparison portals, the payments are similar to the offer from Hüttig & Rompf.
no :-) we have now finished the house design and are currently dealing with the financing questions. We have received one offer from the broker Hüttig & Rompf which looks as follows:
Construction costs house (turnkey) 259,305 €
Land costs 24,200 €
Outdoor facilities 10,000 €
Development costs 2,000 €
Additional building costs (including earthworks) 60,000 €
Notary and property transfer 2,947 €
Equity capital -22,452 €
_____________________________________________________________________
Loan required 336,000 €
His proposal is a mix of bank loan (DSL, interest rate 1.47%) and KfW loan, plus a home savings contract (BHW) as follow-up financing with a total monthly payment of 1,087 euros and a 30-year fixed interest period. We have a rough income of 3,000 euros monthly and not very high living expenses. A home savings contract with 2% interest and currently 10,000 euros and a preparatory savings contract with 1% interest and a budget of 4,400 euros in 3 years is also still available. However, we do not want to touch these for now. Our account is with DKB, where for a 15-year fixed interest period the monthly payment would only be 933 euros (1.24% interest). For 10 years even 100 euros less. Since my partner will inherit a house in the next few years which is intended to be sold, we are now unsure whether to choose the 10 or 15 years fixed rate at DKB (provided they accept us) to have a lower monthly payment and then speculate on paying off the rest with the inheritance, or to play it safe and secure the interest rate now. Extra repayments are only possible with 5% at DSL and 10% at DKB. The interest-free availability period is 8 months at DKB and 15 months at DSL.
House data:
Schwörerhaus ground floor & upper floor KfW 55 with 115 sqm (1,237 sq ft)
Basement 55 sqm (592 sq ft)
On other comparison portals, the payments are similar to the offer from Hüttig & Rompf.
A
Alessandro20 Nov 2020 14:30The house costs are extremely low.
A
Acxiss202020 Nov 2020 14:43However, this was quoted as a fixed price by Schwörerhaus.
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Pinkiponk20 Nov 2020 17:44Acxiss2020 schrieb:
Construction costs house (turnkey) 259,305,-
...
Schwörer house ground floor & upper floor KfW 55 with 115 sqm (1,238 sq ft)
Basement 55 sqm (592 sq ft)Does the house cost 259,305? Have you already reviewed the scope of work description?Pinkiponk schrieb:
The house costs €259,305? Have you already seen the detailed specification of the construction services?When we started looking into building a house (about 8 months ago), we visited the prefab house exhibition in Villingen-Schwenningen – Schwörerhaus was represented there as well. This exact house was listed for almost the same price (if I remember correctly). We even looked into Schwörerhaus quite thoroughly.
I don’t want to dismiss your entire financing plan, your expectations about the house, or your sense of price – but here is something I can tell you:
For this house (which even includes a basement), you definitely need to add another €100,000. You will never get this house for €260,000.
Please read the detailed construction and service description carefully. Make a cost breakdown, compare the specifications with other prefab house providers or local solid builders, and after some research you will conclude that you can’t build a 110m² (1,184 sq ft) house with a basement for less than around €320,000 – regardless of the provider. It also depends on your additional wishes (e.g., garage/carport or similar).
Your cost breakdown is very sparse, and I also think you haven’t dealt with this topic very intensively yet (which was the case for us at the start, too). But just to give you a small hint/tip/push: Feel free to read through various cost threads here in the forum and you will quickly realize there are many more costs coming your way…
- House price from €260,000 to €350,000
- Outdoor landscaping from €10,000 to (depending on the region maybe €15,000-20,000, or having it done could be over €30,000)
- Additional building costs (does that include the kitchen??) If not, then with €60,000 you can get along relatively well. Otherwise, add kitchen costs on top of that.
If you do such a rough calculation, you can also plan your financing costs better. Don’t be fooled by those “special offers” that the prefab house providers advertise here. It never stays anywhere near those prices!
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Pinkiponk20 Nov 2020 18:0211ant schrieb:
He must have had a screw loose here, with a 10m (33ft) elevation difference on the plot and 4m (13ft) of that just within the building area. Maybe when he said "without basement," he meant that where the basement would normally be, the ground floor is built as a daylight basement. I can well imagine a daylight basement. Or am I technically wrong? A basement would mean all four sides are dug into the ground, but maybe one or two sides are enough?