Dream of owning your own home: This is how you overcome the financing hurdles!

Dream of owning your own home: This is how you overcome the financing hurdles!

More and more young people dream of owning their own home. According to a recent Opinion poll by the market research institute Forsa on behalf of the German Real Estate Association, over 80% of 18 to 44 year olds express the desire to own their own home. Nevertheless, it turns out that the realization of this dream is made considerably more difficult by various factors.

The increased real estate prices, construction prices and the increased financing interest rates have increased the hurdles for potential buyers. Above all, a lack of equity and insufficient income are the main reasons why many employees cannot realize their dream of owning their own home. Switching from a rented apartment to your own home often requires giving up some amenities.

Psychological aspects of the desire to own a home

Michael Alexa, psychologist, explains that for many, owning a home symbolizes security, stability and control. However, younger generations are increasingly tending to prefer flexible tenancies and mobility to permanent accommodation. As a result, ideas about housing and property are changing.

There are various approaches to closing the financing gaps and realizing your dream of owning your own home. The relevant tips include:

• Bausparvertrag: Hierbei ist ein geringes Darlehen vor der Zuteilung möglich, wobei Banken 60-80% des angesparten Guthabens gewähren.
• Nutzung der Grundschuld von Eltern: Abbezahlte Immobilien der Eltern können als Eigenkapital gewertet werden.
• Riester-Vertrag: Das Guthaben kann steuerfrei für Immobilienkäufe verwendet werden.
• Eigenkapital vergleichen: Banken haben verschiedene Kriterien zur Bewertung von Eigenkapital.
• Unterstützung der Familie: Eltern oder Verwandte können Eigenkapital zur Verfügung stellen.
• Kombination der genannten Optionen zur Verbesserung der Finanzierung.

Additional attention should be paid to banks' income checks, as different flat rates can lead to varying credit decisions. A financing certificate can also improve your position with brokers and sellers.

Consider alternative living models

Early contact with real estate agents can make the property search easier. Buying existing properties, especially those in need of renovation, can be advantageous. Personal contributions and smaller living spaces help reduce costs. Alternatives such as builder groups, tiny houses or moving to rural areas are also recommended in order to make the dream of owning your own home come true.

In addition to these tips, the Finanztip Foundation financial education in Germany by providing free content to support financial decisions. This organization earns money through affiliate links when users click on recommended offers or sign contracts, but ensures that all recommendations are independent of the providers.

In order to overcome the challenges on the way to owning your own home, it is crucial to be well informed and consider various financing options.