If you calculate honestly and cannot hope for any gifts from your parents, you have to take risks when saving and invest in shares.
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Financing on pump is not enough to buy a property. It must also be saved well in advance. Here’s the right strategy.
Dhe numbers are frustrating. From 2010 to 2020, real estate prices in Germany rose by 64 percent, and in 2021 they climbed by 11 percent. In big cities it went up even more. A small house in the surrounding area costs at least 400,000 euros, in the city itself 700,000 or more than a million are not uncommon. For many, the dream of owning a home is bursting.
Even those who still get the high purchase prices financed by their bank will ultimately fail at another hurdle: financing their own share and the one-off ancillary costs, which the banks usually do not cover. They include, for example, the real estate transfer tax, which is between 3.5 and 6.5 percent of the purchase price depending on the federal state, notary and land register costs and usually also brokerage fees. Most people then stop calculating, but it would be more honest to also include other one-off costs: the costs for the additional furniture required in a house, a possible small renovation and, in the case of a house, the larger move.
