ᐅ Financing Your Own Home – Is Getting Started the Hardest Part?
Created on: 20 Oct 2014 20:45
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bratwurstB
bratwurst20 Oct 2014 20:45Hello,
we live in Gotha, Thuringia, and would like to have our own house. My wife and I are 30 years old, and our children are 1 and 3 years old.
I earn about 54,000 euros per year, my wife currently has a mini-job and is looking for a part-time position that would bring in around 700-800 euros per month.
We have very little equity, about 10,000 euros, and maybe a few thousand more will come in over the next few years. However, a large part of that would probably go towards moving costs, the kitchen, etc., so we can’t really count on it for financing. Additionally, we have Riester contracts with a total balance of about 15,000 euros, into which we pay a combined 2,500 euros annually including allowances.
In an initial consultation at the Sparkasse bank, they said we could get up to 200,000 euros in financing.
After reading a bit here, I believe that won’t be enough. So new builds are probably out of the question, as with two small children, a lot of personal labor isn’t really feasible, and we are not professional DIYers.
Over the last two months, we've hardly found any suitable used houses. Of course, compromises have to be made, but it still needs to be to our liking...
What do you think? How can we proceed?
We were thinking about a 5-room house with about 140 m² (1,500 sq ft). Tall windows would be great, otherwise it doesn’t need to be anything special.
we live in Gotha, Thuringia, and would like to have our own house. My wife and I are 30 years old, and our children are 1 and 3 years old.
I earn about 54,000 euros per year, my wife currently has a mini-job and is looking for a part-time position that would bring in around 700-800 euros per month.
We have very little equity, about 10,000 euros, and maybe a few thousand more will come in over the next few years. However, a large part of that would probably go towards moving costs, the kitchen, etc., so we can’t really count on it for financing. Additionally, we have Riester contracts with a total balance of about 15,000 euros, into which we pay a combined 2,500 euros annually including allowances.
In an initial consultation at the Sparkasse bank, they said we could get up to 200,000 euros in financing.
After reading a bit here, I believe that won’t be enough. So new builds are probably out of the question, as with two small children, a lot of personal labor isn’t really feasible, and we are not professional DIYers.
Over the last two months, we've hardly found any suitable used houses. Of course, compromises have to be made, but it still needs to be to our liking...
What do you think? How can we proceed?
We were thinking about a 5-room house with about 140 m² (1,500 sq ft). Tall windows would be great, otherwise it doesn’t need to be anything special.
bratwurst schrieb:
We’ve hardly found any suitable used houses in the last 2 months. Of course, you have to make compromises, but it still has to be something you like...
What do you think? How should we proceed?
We were thinking of 5 rooms and about 140m2 (1500 sq ft). Tall windows would be great, otherwise it doesn’t have to be anything special.What do you expect as an answer?Will prices fall in the coming years? No one can say. Whether there will be reasonable used properties at bargain prices? No idea...
Just keep your eyes and ears open – maybe you’ll get lucky – but you can’t really make firm plans 🙁 Of course, this is frustrating,...
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BamBamBam21 Oct 2014 09:18I wouldn’t rush to find a house right now. Take your time! I’m keeping my fingers crossed for you! 🙂
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HilfeHilfe21 Oct 2014 13:12I would also leave it at that. First, let your wife settle into part-time work, and then see what happens. People tend to get way too worked up about interest rates.
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Bieber081521 Oct 2014 19:18bratwurst schrieb:
we [...] want our own house. You are still young, and the older child’s starting school is still some time away. So: No rush, take your time. You know that you want to build or buy. So save as much as possible and reasonable. And then let it come to you ...