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
H
Hanneshickel12 Nov 2017 10:40We can already save more money now, that’s not a problem; we don’t live extravagantly.
The children are also taken into consideration because our parents live east of Munich nearby. They will retire soon and would then partially take care of the children. This is also the reason why we want to stay in this area.
The children are also taken into consideration because our parents live east of Munich nearby. They will retire soon and would then partially take care of the children. This is also the reason why we want to stay in this area.
Hello,
If you already have a problem with 30 minutes, good luck in the real world. How could it be any shorter unless you basically live at the office? Thirty minutes is maybe around 15 meters (9 miles) by car or 5 meters (3 miles) by public transport. That’s already quite close.
Besides, sometimes you have limited influence over that. My employer now wants to move out of the current office building (which is understandable since the place is falling apart) and consolidate three locations in Nuremberg into one. In principle, a great idea, but unfortunately that turns my 25-minute commute into 45 minutes or more. I’m not thrilled about it either, but that’s probably not why most people look for a new job.
Best regards,
Andreas
kaho674 schrieb:
and could only work in Hamburg with a daily 30-minute commute each way.
If you already have a problem with 30 minutes, good luck in the real world. How could it be any shorter unless you basically live at the office? Thirty minutes is maybe around 15 meters (9 miles) by car or 5 meters (3 miles) by public transport. That’s already quite close.
Besides, sometimes you have limited influence over that. My employer now wants to move out of the current office building (which is understandable since the place is falling apart) and consolidate three locations in Nuremberg into one. In principle, a great idea, but unfortunately that turns my 25-minute commute into 45 minutes or more. I’m not thrilled about it either, but that’s probably not why most people look for a new job.
Best regards,
Andreas
Have you listened to the traffic reports recently? Do you currently commute to Munich by public transport or by car?
My point is that there are now far too many people trying to drive into Munich. If you have to travel during peak hours (in Munich roughly 7-9 a.m. and 4-6 p.m., and in rural areas often starting around 7 a.m. or earlier), you might find yourself spending more time stuck than moving in the future.
Nowadays, it doesn’t even take an accident to cause delays—I was recently stuck for about 30 minutes on the A94 from the end of the motorway to the Riem junction, completely without any apparent reason. There was no trade fair (which usually causes significant congestion) and no snowfall.
Personally, I find it stressful and frustrating to crawl along a motorway at no more than 30 km/h (20 mph) on a regular basis.
According to a colleague who drives the A94 from Riem to Munich every morning, slow-moving traffic there now starts before 7 a.m.
For this reason, I expect the situation to get worse over the next few years (and will have to) before any real change in mindset takes place. If I were you, I would seriously question whether the person planning to reduce their working hours to spend more time with the family can realistically afford to spend 2–3 hours a day commuting, and whether taking the B12 regularly until the A94 extension is completed is a good idea (it’s also congested, and on top of that, there are many reckless drivers overtaking at every uncertain traffic situation).
Unfortunately, the situation is similar on almost all other roads as well.
So consider whether alternatives like the train or suburban rail (S-Bahn) are an option, and how arrangements could be made for situations such as needing to pick up a sick child.
My point is that there are now far too many people trying to drive into Munich. If you have to travel during peak hours (in Munich roughly 7-9 a.m. and 4-6 p.m., and in rural areas often starting around 7 a.m. or earlier), you might find yourself spending more time stuck than moving in the future.
Nowadays, it doesn’t even take an accident to cause delays—I was recently stuck for about 30 minutes on the A94 from the end of the motorway to the Riem junction, completely without any apparent reason. There was no trade fair (which usually causes significant congestion) and no snowfall.
Personally, I find it stressful and frustrating to crawl along a motorway at no more than 30 km/h (20 mph) on a regular basis.
According to a colleague who drives the A94 from Riem to Munich every morning, slow-moving traffic there now starts before 7 a.m.
For this reason, I expect the situation to get worse over the next few years (and will have to) before any real change in mindset takes place. If I were you, I would seriously question whether the person planning to reduce their working hours to spend more time with the family can realistically afford to spend 2–3 hours a day commuting, and whether taking the B12 regularly until the A94 extension is completed is a good idea (it’s also congested, and on top of that, there are many reckless drivers overtaking at every uncertain traffic situation).
Unfortunately, the situation is similar on almost all other roads as well.
So consider whether alternatives like the train or suburban rail (S-Bahn) are an option, and how arrangements could be made for situations such as needing to pick up a sick child.
Depending on the project, I sometimes drive longer distances each way, but I don't see that as wasted time. Nowadays, it’s easy to schedule phone appointments while driving. If you don’t have fixed meetings, you can organize and handle a lot over the phone using voice control, all very relaxed, without anyone constantly needing something from you in the office. And if you stop by a drive-thru bakery beforehand, you can even have a cappuccino next to you.
Advantage: No time wasted, and the trip flies by. From certain positions onward, you’re paid based on performance rather than time... and I can make phone calls just as effectively in the car as when sitting at my computer... hands-free systems in decent vehicles have become very good.
Advantage: No time wasted, and the trip flies by. From certain positions onward, you’re paid based on performance rather than time... and I can make phone calls just as effectively in the car as when sitting at my computer... hands-free systems in decent vehicles have become very good.
Tego12 schrieb:
Depending on the project, I sometimes drive longer distances, but I don’t see it as wasted time. Nowadays, it’s easy to schedule phone calls while driving. The advantage: no wasted time and the trip flies by. In certain positions, you are paid based on performance rather than time anyway... and I can make effective calls in the car just like sitting at my desk... hands-free systems in decent vehicles have become very good.Can you really also pay full attention to the traffic at the same time? Talking on the phone while driving, especially if it should be effective, is a hazard.
andimann schrieb:
If you already have a problem with 30 minutes, good luck in the real world. Yeah, where do you think I live?
My commute is 8 minutes. Totally real.
andimann schrieb:
How could it get any shorter, unless you basically live at the office? 30 minutes is maybe 15 km (9 miles) by car or 5 km (3 miles) by public transport. That’s already pretty close. Yeah, 30 minutes is the breaking point. It also depends on how you spend those 30 minutes. Driving 250 km/h (155 mph) on the highway is worse than walking through the forest.
andimann schrieb:
In principle, a great idea, but unfortunately it easily turns my 25-minute commute into 45 minutes or more. Not thrilled about it either, but hardly anyone changes jobs because of that. My condolences!