ᐅ Is Building a House Within My Budget Feasible? Or Should I Give Up on My Dream?
Created on: 13 Dec 2021 22:38
M
Marc240
Hello everyone,
I really appreciate this forum, I have read a lot and the feedback comes from practical experience and is very honest. Thank you for that. That’s why I’m posting my question here, asking for advice.
I am currently facing a dilemma with my dream of building a house. First, I am a fairly cautious person who prefers to avoid financial risks and calculates everything multiple times. I have been keeping a household budget for almost a year now, to avoid overestimating myself. On average, I have about 800€ (around $860) left per month for my project after deducting rent of 1400€ (about $1500). My net monthly income is approximately 3100€-3200€ (about $3350-$3450). During this time, I have lived normally without any restrictions.
I own a plot of land in a good location, fully paid off, which I conservatively estimate to be worth at least 100,000€ (about $108,000).
My equity amounts to roughly 60,000€ (around $65,000), but at least half of that should remain as a safety buffer.
Very roughly asked, is it possible to make something happen with that?
I was actually quite optimistic about it. But the currently steeply rising prices and the responses I have received—at least from prefabricated house suppliers—give me a very different impression.
My idea was actually to build a turnkey house, except for painting and flooring, with 110m2 (about 1184 sq ft) of living space, two full floors, a simple square shape, no basement, no dormers, balconies or projections, a normal standard for today without smart home features or the like, with a concrete slab foundation for well under 300,000€ (around $325,000). That’s a price per square meter of around 2300-2500€ (roughly $250-$270). Isn’t that unfeasible nowadays?
Including additional costs like earthworks, connection fees, architect fees, paving the access road, etc., I don’t want to exceed a total budget of 350,000€ (about $380,000). Furniture, kitchen, and similar items are not included.
This amount is the limit I have set for myself and believe I can manage with my saving rate.
Unfortunately, it doesn’t seem at all possible to get something for that anymore. Do you agree with me? Or is there still some hope?
The house is planned to be built in Rhineland-Palatinate.
Currently, I rent very cheaply! Sometimes I wonder why I’m driving myself crazy day and night, thinking about selling the land and just living a nice life. But then there’s this spark that just doesn’t let go, that won’t give up the dream.
Can you give me some advice?
I really appreciate this forum, I have read a lot and the feedback comes from practical experience and is very honest. Thank you for that. That’s why I’m posting my question here, asking for advice.
I am currently facing a dilemma with my dream of building a house. First, I am a fairly cautious person who prefers to avoid financial risks and calculates everything multiple times. I have been keeping a household budget for almost a year now, to avoid overestimating myself. On average, I have about 800€ (around $860) left per month for my project after deducting rent of 1400€ (about $1500). My net monthly income is approximately 3100€-3200€ (about $3350-$3450). During this time, I have lived normally without any restrictions.
I own a plot of land in a good location, fully paid off, which I conservatively estimate to be worth at least 100,000€ (about $108,000).
My equity amounts to roughly 60,000€ (around $65,000), but at least half of that should remain as a safety buffer.
Very roughly asked, is it possible to make something happen with that?
I was actually quite optimistic about it. But the currently steeply rising prices and the responses I have received—at least from prefabricated house suppliers—give me a very different impression.
My idea was actually to build a turnkey house, except for painting and flooring, with 110m2 (about 1184 sq ft) of living space, two full floors, a simple square shape, no basement, no dormers, balconies or projections, a normal standard for today without smart home features or the like, with a concrete slab foundation for well under 300,000€ (around $325,000). That’s a price per square meter of around 2300-2500€ (roughly $250-$270). Isn’t that unfeasible nowadays?
Including additional costs like earthworks, connection fees, architect fees, paving the access road, etc., I don’t want to exceed a total budget of 350,000€ (about $380,000). Furniture, kitchen, and similar items are not included.
This amount is the limit I have set for myself and believe I can manage with my saving rate.
Unfortunately, it doesn’t seem at all possible to get something for that anymore. Do you agree with me? Or is there still some hope?
The house is planned to be built in Rhineland-Palatinate.
Currently, I rent very cheaply! Sometimes I wonder why I’m driving myself crazy day and night, thinking about selling the land and just living a nice life. But then there’s this spark that just doesn’t let go, that won’t give up the dream.
Can you give me some advice?
WilderSueden schrieb:
With a loan of €350,000 and an interest rate of 1%, you would be done in 28 years.I would recommend scheduling a meeting with a bank: in my opinion, you won’t get a loan on your own, 1% interest is unlikely, but sometimes you have to face the facts.WilderSueden schrieb:
Take another close look at the partnership issue.WilderSueden schrieb:
How does she feel about moving into your house?It’s good that this is being brought up. Personally, I think partners are reluctant to get involved in something that is running parallel without them. Emotionally, they tend to distance themselves from the project.I am always surprised by the supposedly unrealistic prices quoted to original posters here, or the idea that nothing is possible below a certain price point.
By no means do I want to attack anyone here. I enjoy following the discussions. But it does puzzle me.
Let’s take a classic example, the Town & Country Flair 110, which matches the square meter size the original poster has in mind. They want to build in Rhineland-Palatinate (RLP), although I haven’t seen a specific location mentioned yet. Looking at the prices for the Flair 110 from Town & Country in cities like Mainz, Koblenz, and Mayen, the prices range from just under €180,000 to around €201,000.
This type of Flair house is built by the hundreds and it seems to work. A neighbor of mine, for example, built with Town & Country as well.
When I see that my 100 sqm (1076 sq ft) house (not Town & Country, but Heinz von Heiden) was priced at around €163,000 including upgrades back in 2018, I get confused. Yes, costs have gone up since then, but not to the extent that an additional €100,000 or more would be required. For example, electric roller shutters were listed at just under €300 each in the extra cost list, additional sockets installed by the electrical contractor around €40, a flat shower tray €500. All within a reasonable range. The staircase, finished including metal balusters and a straight newel post, cost about €650 (settled directly with the general contractor’s staircase builder; having it finished only through the general contractor would have cost around €800).
If you don’t have luxury expectations, I think it should be feasible to stay within a reasonable budget. You don’t have to denigrate or dismiss the “big value offers.”
Just my 2 cents.
By no means do I want to attack anyone here. I enjoy following the discussions. But it does puzzle me.
Let’s take a classic example, the Town & Country Flair 110, which matches the square meter size the original poster has in mind. They want to build in Rhineland-Palatinate (RLP), although I haven’t seen a specific location mentioned yet. Looking at the prices for the Flair 110 from Town & Country in cities like Mainz, Koblenz, and Mayen, the prices range from just under €180,000 to around €201,000.
This type of Flair house is built by the hundreds and it seems to work. A neighbor of mine, for example, built with Town & Country as well.
When I see that my 100 sqm (1076 sq ft) house (not Town & Country, but Heinz von Heiden) was priced at around €163,000 including upgrades back in 2018, I get confused. Yes, costs have gone up since then, but not to the extent that an additional €100,000 or more would be required. For example, electric roller shutters were listed at just under €300 each in the extra cost list, additional sockets installed by the electrical contractor around €40, a flat shower tray €500. All within a reasonable range. The staircase, finished including metal balusters and a straight newel post, cost about €650 (settled directly with the general contractor’s staircase builder; having it finished only through the general contractor would have cost around €800).
If you don’t have luxury expectations, I think it should be feasible to stay within a reasonable budget. You don’t have to denigrate or dismiss the “big value offers.”
Just my 2 cents.
Andre77 schrieb:
When I see that for my 100 sqm (1,076 sq ft) house (not Town & Country, but Heinz von Heiden) Heinz von Heiden should offer the same standard at a similar price as Town & Country.
Andre77 schrieb:
I don’t know how it is now, but back then Town & Country, for example, only included a solar system as standard, while Heinz von Heiden had a heat pump. Adding a heat pump with Town & Country would have cost several thousand euros more. In the end, the price is what matters!
S
saralina8718 Dec 2021 07:03Andre77 schrieb:
I’m always surprised by the unrealistic prices that are quoted to original posters here, or by the assumption that basically nothing is possible below a certain price point.
I don’t want to attack anyone here, I enjoy reading along. But it does surprise me.
Take a classic example: the Town & Country Flair 110, which roughly matches the square footage the OP is considering. He wants to build in Rhineland-Palatinate (RLP), although I haven’t seen a specific location mentioned yet. Looking at Town & Country’s prices for the Flair 110 in cities like Mainz, Koblenz, and Mayen, the prices range from just under €180,000 to about €201,000.
That Flair model is built by the hundreds and seems to work well. A neighbor of mine, for example, also built with Town & Country.
When I see that my 100 sqm (1,076 sq ft) house (not Town & Country, but Heinz von Heiden) was quoted around €163,000 including upgrades, OK, that was in 2018 and yes, prices have increased since then, but not so much that you would need to add €100,000 or more. Each electric roller shutter was about €300 extra, additional outlets installed by the general contractor's electrician cost about €40 each, and a low-profile shower tray was €500. So all within a reasonable range. For example, the staircase, finished including metal balusters and a straight newel post, cost about €650 (directly settled with the general contractor’s stair builder; just the finishing alone would have cost about €800 through the general contractor).
If you don’t expect luxury, I think it should be achievable within a reasonable budget. There’s no need to badmouth or dismiss the “major budget builders.”
Just my 2 cents There’s no need to make excuses, but it’s important to stay realistic.
100 sqm (1,076 sq ft) is nice and all, but if you’re planning for a family, you have to accept that it will be tight.
It definitely makes sense to discuss such a project with your partner.
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