ᐅ Is Building a House Within My Budget Feasible? Or Should I Give Up on My Dream?
Created on: 13 Dec 2021 22:38
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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?
Marc240 schrieb:
Building the plot is not straightforward,You should explain that in more detail, as it affects the required budget. Marc240 schrieb:
Reducing from 1.5 stories instead of 2 stories, also a tip I take to save money,You misunderstood this (or summarized it incorrectly). The “Anstattvilla” is (at least as a basic box house; it looks different on a slope) the cheapest construction – only in the case of your desired size does a second full-height floor not make economic sense. However... Marc240 schrieb:
Exterior dimensions for the house 7x12 m... this would neither reach the desired 110 sqm (square meters), nor is it a cost-effective ratio between the sides. That would be about 100 sqm (1,076 sq ft), and a long side roughly 1.2 to 1.6 times the width of the gable side is usually more economical. A square shape is not bad – it’s only being “dogmatically square” that regularly leads to excess surface area (or tight spaces, or a complicated spatial layout). By the way, the bestselling Town & Country Flair 110/113 model has a ground plan aspect ratio of 1:1.07.https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
If you are planning for a family, that significantly changes the situation.
110m² (1184 sq ft) without a basement is really quite compact for a family. Once you subtract space for building systems and circulation areas, you’re left with the equivalent of a 70-80m² (750-860 sq ft) apartment. That might be workable with one child, but any more would start to feel very spartan.
So rather aim for 140m² (1507 sq ft). That definitely isn’t feasible for 350k.
If your girlfriend is supporting you throughout this, she should probably contribute financially as well if you want to turn your dream into reality. Otherwise, a family home won’t happen.
A quick rough calculation for you:
140m² x 2300 (lowest standard + own labor) = 322k
Additional construction costs 40-50k
Minimal landscaping 10-20k
Unexpected expenses and things I may have forgotten 20k
This leads to a realistic estimate of over 400k for your modest dream, and that’s still optimistic, assuming the simplest execution and finishes.
So I’m saying: with a total budget of 350k, you currently can’t build a family home in Rhineland-Palatinate (RLP). If it really is your dream, you need to increase your budget, either through family equity or your girlfriend’s income.
Alternatively, you might consider looking for an existing property, which could be more doable. Then you can renovate and improve it over the years.
110m² (1184 sq ft) without a basement is really quite compact for a family. Once you subtract space for building systems and circulation areas, you’re left with the equivalent of a 70-80m² (750-860 sq ft) apartment. That might be workable with one child, but any more would start to feel very spartan.
So rather aim for 140m² (1507 sq ft). That definitely isn’t feasible for 350k.
If your girlfriend is supporting you throughout this, she should probably contribute financially as well if you want to turn your dream into reality. Otherwise, a family home won’t happen.
A quick rough calculation for you:
140m² x 2300 (lowest standard + own labor) = 322k
Additional construction costs 40-50k
Minimal landscaping 10-20k
Unexpected expenses and things I may have forgotten 20k
This leads to a realistic estimate of over 400k for your modest dream, and that’s still optimistic, assuming the simplest execution and finishes.
So I’m saying: with a total budget of 350k, you currently can’t build a family home in Rhineland-Palatinate (RLP). If it really is your dream, you need to increase your budget, either through family equity or your girlfriend’s income.
Alternatively, you might consider looking for an existing property, which could be more doable. Then you can renovate and improve it over the years.
Here, I would probably go with one of the major providers.
Thoroughly work through the construction specifications and calculate the missing costs.
NO upgrades, everything standard.
Create the driveway with gravel, sow the lawn yourself.
Interior plaster Q2, wallpaper with textured liner. Floors laminate.
There’s no way around it—you have to talk to the providers. Don’t discuss the budget; ask to see the different options and get the construction specifications. 110sqm (1,184 sq ft) works for a family with one child.
But be aware that this means only one electrical outlet per room corner, no roller shutters, gas heating, etc. On the other hand, you do get a house.
Thoroughly work through the construction specifications and calculate the missing costs.
NO upgrades, everything standard.
Create the driveway with gravel, sow the lawn yourself.
Interior plaster Q2, wallpaper with textured liner. Floors laminate.
There’s no way around it—you have to talk to the providers. Don’t discuss the budget; ask to see the different options and get the construction specifications. 110sqm (1,184 sq ft) works for a family with one child.
But be aware that this means only one electrical outlet per room corner, no roller shutters, gas heating, etc. On the other hand, you do get a house.
H
HilfeHilfe15 Dec 2021 06:04Hello, €600 rent versus financing that is only slightly more expensive. You have to decide what you want to choose in the future. It is feasible for you.
H
Hausbautraum2015 Dec 2021 06:27First of all: In our town and another nearby, there is an entire development of townhouses being offered with 110 sqm (1,184 sq ft). They have two children’s rooms of 13 sqm (140 sq ft), a bedroom of 15 sqm (161 sq ft), and even a study with 9 sqm (97 sq ft). So, living in 110 sqm (1,184 sq ft) is definitely possible!
Regarding your second point: With $350,000, it would probably be difficult to manage in our area, but I’m not sure how things are in Rhineland-Palatinate (RLP). Or as someone mentioned earlier: no roller shutters, few power outlets, no special features, no carport, etc. For us, owning a house was a dream, more important than vacations or anything else, so I understand where you’re coming from!
But what I don’t understand is this: In 10 years, you’ll be living with two children in 110 sqm (1,184 sq ft) without roller shutters, even though as a couple you will have an income that would be enough for 140 sqm (1,507 sq ft) with a normal standard. Does that make sense? Why do you insist on owning the house alone?
Regarding your second point: With $350,000, it would probably be difficult to manage in our area, but I’m not sure how things are in Rhineland-Palatinate (RLP). Or as someone mentioned earlier: no roller shutters, few power outlets, no special features, no carport, etc. For us, owning a house was a dream, more important than vacations or anything else, so I understand where you’re coming from!
But what I don’t understand is this: In 10 years, you’ll be living with two children in 110 sqm (1,184 sq ft) without roller shutters, even though as a couple you will have an income that would be enough for 140 sqm (1,507 sq ft) with a normal standard. Does that make sense? Why do you insist on owning the house alone?
S
saralina8715 Dec 2021 07:11We have 130 sq m (approximately 1,400 sq ft) of living space and, if necessary, will live in this house with two children. The exterior dimensions are roughly 7 x 11 m (23 x 36 ft).
Just for price orientation: We built in 2020/2021, using solid wood construction without a basement, KfW 40 energy standard, with a photovoltaic system. The basic house without upgrades cost 330,000. However, this was before the huge increase in material costs, which seems to have driven prices significantly higher since then.
Just for price orientation: We built in 2020/2021, using solid wood construction without a basement, KfW 40 energy standard, with a photovoltaic system. The basic house without upgrades cost 330,000. However, this was before the huge increase in material costs, which seems to have driven prices significantly higher since then.
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