Building a house or building a property is a big challenge for everyone. About land search, the right surveyor’s office and the house builder – many questions and challenges. This is especially true for families who are already stretched thin by family responsibilities. So if you belong to the young families or couples with young children, you have with this group among all the highest potential for suffering, because here the burden is greatest according to the care needs of the children and the new life-changing circumstances. This makes it all the more important to prepare yourself and your young family for home building. A start is to get info from web articles, YouTube videos, blogposts and advisors.

Young Families Benefit From Assistance

Financial support for young families or builders with children is one of the most popular forms of support – both from the supporter’s and the supporter’s perspective. Money can be used in many ways and is easy to transfer. For most of them a loan is the first support, although it has to be paid back later, it reduces the financial burden or spreads it over several years/decades. Private loans from your family are even better here thanks to low or even no interest, although for this the social structures are endangered, should there be problems with the repayment or with the relationship in your family. But this is not the only reason why you might have refrained from borrowing money from relatives – not every family can afford that at all.

Therefore, it is ideal to receive financial injections that do not have to be paid back, i.e. that do not create any debts for you. Such “gifts” are not to be expected in the same amount as a loan, but nevertheless there are often lucrative offers on the part of the state, the country or the municipality. None, however, is a gift without an end in itself. Here are two important and often encountered examples that you should definitely check for when building a house:

Baukindergeld

The Baukindergeld is a form of government subsidy for families building a home. The grant does not have to be repaid and is designed to make it easier for families to build a home or finance the purchase of their own property. For each child, the subsidy amounts to 12,000 euros, paid in 10 annual installments of 1,200 euros each. In effect, therefore, the subsidy is somewhat lower due to monetary depreciation, which will be taken into account by the bank when considering the loan.

The condition for the subsidy is that the child is not older than 18 years and that child benefit is granted for it. In addition, the signing of the purchase contract or the approval of the construction must not have been made or granted before 01.01.2018. Also excluded are families who already own one or more properties or whose household income exceeds 90,000 euros per year (with an extension of this income limit by 15,000 euros for each child from the second).

Premium From The Municipality

It is not only on the part of the federal government that you receive financial support for the purchase or construction of a property. As a young family, some municipalities also grant you premiums if, for example, you settle an old property in the town center. Often the bonus is linked to the renovation of the property. Smaller towns with a few hundred inhabitants in particular want to become attractive for families again. Ultimately, it is a fight against migration. Favorable renovation loans can also be found in the comparison calculator at Kredit-fabrik.de