Hello everyone!
Our username says it all. My wife and I want to fulfill our dream of owning a home, probably in 2014.
Now we are facing the following challenge:
Today we fell in love! With the "Landstadt - Gatow" area in Berlin Spandau! From our point of view, it’s simply the ideal place to live. Quick access to central Berlin, close to Potsdam, near the water, a newly developed area with two very nice schools, and just idyllic :-) For us, it’s clear; we want to live there.
The good news is that you can buy a lot directly from the federal government (the property is federally owned; the area was used by the British armed forces until 1990). We have the necessary funds if we sell an inherited property (which is located far from Berlin). The prices for plots are around 100,000 euros (about $110,000), which is roughly what we could get for our inherited lot. We even have a potential buyer lined up.
So far, so good.
Now comes the BUT, and why we want/can only build in 2014.
Our current professional situation is that we both finished our studies this year and are currently trainee teachers. This means our monthly net income is about 2,000 euros (about $2,200). From our point of view, that’s not enough yet to take out a loan. We plan to borrow around 120,000 euros (about $130,000).
I don’t think any bank would lend to us now since we are still trainees.
That’s why we want to start building only in 2014.
Our question is: Is it generally worthwhile to buy a lot now and then take out a loan in 2-3 years, or would you wait and only start once you have a permanent job?
The question also relates to how long such a transaction takes with all the formalities involved, like the notary, etc.
Would a bank fully count a mortgage-free property as equity? Or should we rather buy everything from one source, for example, from a prefabricated house company?
And lastly: Do you think 120,000 euros (about $130,000) is realistic for a house (around 4-5 rooms, modestly built)?
What are the advantages/disadvantages (other than securing the dream lot) if we were to buy the lot next year, for example?
Thanks in advance for your answers!
Our username says it all. My wife and I want to fulfill our dream of owning a home, probably in 2014.
Now we are facing the following challenge:
Today we fell in love! With the "Landstadt - Gatow" area in Berlin Spandau! From our point of view, it’s simply the ideal place to live. Quick access to central Berlin, close to Potsdam, near the water, a newly developed area with two very nice schools, and just idyllic :-) For us, it’s clear; we want to live there.
The good news is that you can buy a lot directly from the federal government (the property is federally owned; the area was used by the British armed forces until 1990). We have the necessary funds if we sell an inherited property (which is located far from Berlin). The prices for plots are around 100,000 euros (about $110,000), which is roughly what we could get for our inherited lot. We even have a potential buyer lined up.
So far, so good.
Now comes the BUT, and why we want/can only build in 2014.
Our current professional situation is that we both finished our studies this year and are currently trainee teachers. This means our monthly net income is about 2,000 euros (about $2,200). From our point of view, that’s not enough yet to take out a loan. We plan to borrow around 120,000 euros (about $130,000).
I don’t think any bank would lend to us now since we are still trainees.
That’s why we want to start building only in 2014.
Our question is: Is it generally worthwhile to buy a lot now and then take out a loan in 2-3 years, or would you wait and only start once you have a permanent job?
The question also relates to how long such a transaction takes with all the formalities involved, like the notary, etc.
Would a bank fully count a mortgage-free property as equity? Or should we rather buy everything from one source, for example, from a prefabricated house company?
And lastly: Do you think 120,000 euros (about $130,000) is realistic for a house (around 4-5 rooms, modestly built)?
What are the advantages/disadvantages (other than securing the dream lot) if we were to buy the lot next year, for example?
Thanks in advance for your answers!
We built using a highly energy-efficient timber frame construction method. We completed the build and moved in within five months. However, everyone will tell you not to put too much time pressure on yourself. It’s better to plan for an extra two months and move in at a relaxed pace. 😉
Nothing is as unpredictable as a construction project. When delays occur, you could end up stuck in an unfinished house in the worst case. 😡
I definitely recommend taking a look at the booklists from consumer advice centers. Building or buying a house is a complex process. These centers provide comprehensive and unbiased information.
Best regards
Thomas Heufers
Nothing is as unpredictable as a construction project. When delays occur, you could end up stuck in an unfinished house in the worst case. 😡
I definitely recommend taking a look at the booklists from consumer advice centers. Building or buying a house is a complex process. These centers provide comprehensive and unbiased information.
Best regards
Thomas Heufers
T
Traumhaus201411 Oct 2011 14:25Consumer advice center!! Very good tip! Thanks.
I would have scheduled consultation appointments with a company like Town & Country or IBG or whichever they are called. A neutral source is better at first, I think.
Regards!
I would have scheduled consultation appointments with a company like Town & Country or IBG or whichever they are called. A neutral source is better at first, I think.
Regards!