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Buying In Ireland

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  • 02-12-2009 4:27pm
    #1
    Carpenter
    Registered Users Posts: 2,683 ✭✭✭


    OK here is the story a Friend of mine is coming back to Ireland to live from England after 45 years and has 350k to spend on a House/Apartment
    What fees will she have to pay (stamp duty and so on) will she be a first time buyer here and what on average is the cost every year for living in an apartment block (Ball park).
    She has this money in her account over in England in cash can she just transfer it over here and buy a place .
    Any help would be great.


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    #2
    robd
    Registered Users Posts: 951 ✭✭✭robd


    Carpenter wrote: »
    OK here is the story a Friend of mine is coming back to Ireland to live from England after 45 years and has 350k to spend on a House/Apartment
    What fees will she have to pay (stamp duty and so on) will she be a first time buyer here and what on average is the cost every year for living in an apartment block (Ball park).
    She has this money in her account over in England in cash can she just transfer it over here and buy a place .
    Any help would be great.

    0% stamp duty on the first 125k
    7% on the balance up to 1million, 9% thereafter.

    0% stamp duty for an owner occupier of a new build under 125 sqm also.

    She would not be considered a first time buyer if she has "previously purchased or built a house or apartment anywhere in the world".

    See http://www.revenue.ie/en/tax/stamp-duty/property.html.

    General maintenance charges for 2 bed apartments are in the 1500 to 2000 range per annum but can be more or less and can be adjusted at any time by any amount. Not a huge amount of consumer protection at present.

    Legal fees for purchasing a home are circa 2000 but very negotiable. Some for as low as 800 plus search fees.
    Maybe 300-500 for a survey of a property, although not necessary just prudent.

    That's the only fees, as I presume she would not be taking out a mortgage. No fees payable to agents etc. in Ireland.

    Yes, she can just open account with ID etc. and do an electronic transfer. Best to arrange in advance with bank on either side to do Pound to Euro conversion to get best rate. Best to talk to Irish bank in advance about transfer and intended used etc. as it would be flagged under money laundering laws.


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    #3
    Carpenter
    Registered Users Posts: 2,683 ✭✭✭Carpenter


    Thanks your were a great help
    robd cheers


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    #4
    hoser expat
    Registered Users Posts: 181 ✭✭hoser expat


    I had an estate agent last week tell me that I could probably get away with being a first-time buyer (and avoid stamp duty) as I've never owned a property in Ireland. I owned on in the US for 7 years, but never in Ireland. Could your friend 'get awy' with this or are the UK-Irish banking systems too linked or more linked than US-Irish.

    Not that I'm thinking of doing this, but it was the agents suggestion. I know enough not to trust them, don't worry.


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    #5
    robd
    Registered Users Posts: 951 ✭✭✭robd


    hoser expat wrote: »
    I had an estate agent last week tell me that I could probably get away with being a first-time buyer (and avoid stamp duty) as I've never owned a property in Ireland. I owned on in the US for 7 years, but never in Ireland. Could your friend 'get awy' with this or are the UK-Irish banking systems too linked or more linked than US-Irish.

    Not that I'm thinking of doing this, but it was the agents suggestion. I know enough not to trust them, don't worry.

    Maybe. But the potential to get caught would remain forever. If you do get caught, you'd be liable for the stamp duty plus heavty penalty interest, which could well add up to the cost of the property.

    The revenue run algorithms against things such as property sales and mortgages. A cash purchase of circa 350k could easily raise interest from them as to where the funds came from. Revenue do not operate on an innocent until proven guilty. You're guilty unless you can prove otherwise.

    A personal call, of course.


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