Financing plan

To ensure that the dream of a home does not turn into a nightmare, you need a detailed financing plan. It consists of your own contribution, your capital resources, subsidies, building society savings and bank financing. You need to observe several important steps.

General aspects

• For new construction, clarify total costs with a construction professional.
• For renovation, have the condition of the house checked.
• Caution: In practice, costs are usually higher. Therefore plan a reserve.
• Establish a financing plan before you award a contract.
• Determine how much of your household budget is available for credit payments. 
• Check subsidy options.
• Clarify financing options with banks. 
• Have a financing package compiled: direct loan, interest allowances, government aid, etc. 
• Have the energy index for the building computed (low-energy house, very low-energy house, passive house). 
• Check if an Energy performance certificate for buildings is required. 
• Applications for subsidies require a building permit and the computed energy index. 
• You cannot begin building before the subsidy is approved. 
• Subsidy funds are available on completion of the raw building shell including roof.

Plan well to save time, money and troubles.

Property check

• Check composition and condition (especially important for basement construction). 
• Check the location (light plays a role in future heating costs).
• Important issues in selecting a plot: site development, transportation infrastructure, water and sewage; electricity, natural gas, telephone and TV cable connection; noise, smells and exhausts. 
• Observe local building code, development plan and zoning.
• Ask the municipality about site development fees. 
• In many cases a building permit requires the approval of neighbors.
• Before you purchase property, study the real estate register.
• Lay persons should consult a notary public or attorney (sales contract, entry in real estate register).

Check list for planning:

• Clarify financing. 
• Collect information (visit builders’ fairs, view model homes, talk with others, professionals) 
• Clarify your own requirements and wishes:
  • type of building (conventional, modern, low-energy, etc.) 
  • number of residents and their requirements (music room, workshop, etc.) 
  • living requirements over time (barrier-free living, children grow up), so plan for the future (house for generations) 
  • plan electric installations and water connections, even installation bus
• Create a site plan.
• Involve a professional planner in your final house plan. 
• Caution: Each change in the plan costs time and money for a new permit process. 
• Collect price quotes. It pays to compare.
• Submit your plan and wait for the building permit (plan adequate time for the permit process).