ᐅ No building plot available due to new EU local residency model?
Created on: 11 Nov 2017 21:49
H
Hanneshickel
Hello everyone,
We are a family of two who have been searching for a building plot east of Munich, about 50-70km (30-45 miles) away, near the upcoming A94 highway, for several years. We have applied multiple times to local municipalities near us for a plot under the local resident model, but each time we were rejected due to too few points or because our equity or income was too high. We have too few points because we don’t have children. Since we have been searching for a long time, we have saved around €130,000 (about $140,000) and can save about €15,000 (about $16,000) more each year. However, here you are not allowed to have more savings than the plot would cost (mostly around €150-200/sqm (about $140-190/sqft), so approximately €120,000 (about $130,000)). Also, you are not allowed to earn more than the municipal average, which as a couple is about €80,000 (about $85,000) gross. We, however, earn almost double that gross, so together we have a net income of around €6,500 (about $7,000) per month (both earn roughly the same).
Therefore, our only option is to buy a plot privately. But prices here are extremely high compared to municipal land. We are talking about €500-700/sqm (about $460-650/sqft), so quickly around €300,000 (about $320,000) just for the plot. Then I estimate construction costs of about €400,000-500,000 (about $430,000-540,000) for a 160 sqm (about 1,700 sqft) house with a basement, double garage, and a simple building shape. That means approximately €700,000-800,000 (about $750,000-860,000) in total.
We don’t feel confident financing this amount, as it would easily mean paying over €2,000 (about $2,150) per month for the next 30 years. If one of us takes time off work due to having children, then there would be too little left for living expenses. Or is it now normal to finance this much for a house? My pain threshold is currently around €1,800 (about $1,950) per month for the mortgage.
What do you think?
What other options do we have to get affordable building land?
Or should we forget about building and only look for existing houses?
Thank you and best regards,
Hannes
We are a family of two who have been searching for a building plot east of Munich, about 50-70km (30-45 miles) away, near the upcoming A94 highway, for several years. We have applied multiple times to local municipalities near us for a plot under the local resident model, but each time we were rejected due to too few points or because our equity or income was too high. We have too few points because we don’t have children. Since we have been searching for a long time, we have saved around €130,000 (about $140,000) and can save about €15,000 (about $16,000) more each year. However, here you are not allowed to have more savings than the plot would cost (mostly around €150-200/sqm (about $140-190/sqft), so approximately €120,000 (about $130,000)). Also, you are not allowed to earn more than the municipal average, which as a couple is about €80,000 (about $85,000) gross. We, however, earn almost double that gross, so together we have a net income of around €6,500 (about $7,000) per month (both earn roughly the same).
Therefore, our only option is to buy a plot privately. But prices here are extremely high compared to municipal land. We are talking about €500-700/sqm (about $460-650/sqft), so quickly around €300,000 (about $320,000) just for the plot. Then I estimate construction costs of about €400,000-500,000 (about $430,000-540,000) for a 160 sqm (about 1,700 sqft) house with a basement, double garage, and a simple building shape. That means approximately €700,000-800,000 (about $750,000-860,000) in total.
We don’t feel confident financing this amount, as it would easily mean paying over €2,000 (about $2,150) per month for the next 30 years. If one of us takes time off work due to having children, then there would be too little left for living expenses. Or is it now normal to finance this much for a house? My pain threshold is currently around €1,800 (about $1,950) per month for the mortgage.
What do you think?
What other options do we have to get affordable building land?
Or should we forget about building and only look for existing houses?
Thank you and best regards,
Hannes
HilfeHilfe schrieb:
It’s the pressure from others that makes you stressed. People want to be "mainstream." I hadn’t read that space was a problem. Also, I don’t think wanting to be mainstream is the main reason people choose to build a house. For me, it’s mainly about freedom. I don’t have to ask anyone or consider others when I want to drill a hole somewhere. It’s a completely different way of life. But, of course, everyone sees it differently.
Why is there always this slightly negative, jealous attitude like "people just want to be mainstream"... Maybe it’s simply the desire for more space and roomier areas? Maybe because it’s great for the kids? Because celebrating in the right atmosphere is even more enjoyable? Etc...
You can live in 60 sqm (645 sq ft)... you might say that’s too small for you... I feel the same way about 4 people living in 105 sqm (1,130 sq ft). Sure, it’s possible, but having more space is definitely nicer.
You can live in 60 sqm (645 sq ft)... you might say that’s too small for you... I feel the same way about 4 people living in 105 sqm (1,130 sq ft). Sure, it’s possible, but having more space is definitely nicer.
H
HilfeHilfe14 Nov 2017 09:16Tego12 schrieb:
Why is there always this slightly dismissive, jealous attitude… “everyone wants to be mainstream” … Maybe it’s just the desire for more space and more generous rooms? Maybe because it’s great for the kids? Because celebrating in the right atmosphere is just more fun? Etc…
You can live in 60 square meters (645 square feet)… you might say that’s too small for you… I feel the same way about 4 people in 105 square meters (1,130 square feet). Sure, it’s possible, but having more space is simply nicer.In such income groups, it’s considered “uncool” not to own property. On the other hand, people complain that everything is overpriced. Why is it overpriced? Because the “mainstream” buys everything up and drives prices higher.
Eldea schrieb:
Oh, and regarding the distance, the travel time is also important. For the 63 km (39 miles) route, I need 35 minutes (my husband 45 minutes [emoji23]). The highway is clear and can be driven without restrictions. I know an expert like that too. Always drives as fast as possible on the highway, says it’s no problem at all, but after every highway trip is dripping wet and drenched in sweat.
Grym schrieb:
I know an expert like that too. Always drives as fast as possible on the highway, says it’s no problem at all, but after every highway trip he’s completely soaked and sweating. Grym, as always, you are absolutely right. In a troll community like that, everyone acts tough and strong, so it’s only natural to sweat quickly.
HilfeHilfe schrieb:
in solchen Verdiener Kreisen Earning around 6,500 net per month as a couple in Munich? Seriously?