Buying a house...

Daveysil15

Is now a good time to be buying a house, or would I be better off waiting for a few years and rent in the meantime?

snubbleste

What's your own opinion?

riclad

it depends on the area, how much you are spending.IS it dublin,in a small town, village?

scamalert

since the prices are nearly down 70% from where they were 3-4 years ago,then yes,just avoid buying the ones built during the boom years,and always bargain as nowadays its not hard to get 10-40k off if you have the cash.

gjack389

well daveysil, i just bought a house 4 weeks ago but the market could fall anywhere up to 20%-30% but that could take 2-4 years. i calculated renting against any potential fall in price and decided that buying was the better option. you need to see how much rent you will pay and whether it's worth going ahead now or waiting for a potential fall, good luck with your decision.

Garavan shamrocks

just wondering is there a viability in buying a house to rent it out.Would the rent cover the mortgage and is their tax implications in doing so?

Daveysil15

Garavan shamrocks wrote: »

just wondering is there a viability in buying a house to rent it out.Would the rent cover the mortgage and is their tax implications in doing so?

The rent wouldn't cover the mortgage but assuming you could find someone to rent it you'd be sorted.

Howjoe1

Garavan shamrocks wrote: »

just wondering is there a viability in buying a house to rent it out.Would the rent cover the mortgage and is their tax implications in doing so?

A lot more info needed to answer that fully:

It it helps:

You can set 75% of your mortgage interest against your Gross rents to arrive at your taxable Net Profit. And you'd be liable to tax on it at your top rate of tax. Open to change in any Budget.

Certain running costs can be set against rents to.

You'd have to pay NRP tax of €200 per annum. Maybe a new property tax.


If you have an idea of how much you'd expect to pay mthly for mortgage and how much the property could get in rental income mthy, it would be easier to give you an answer.

But I would warn that with current austerity measures, more and more tax burdens seem to be making it less attractive.

But if you were buying with a view to making in your main residence after a couple of yrs, that could be worth a look.

Garavan shamrocks

The whole idea behind the thought was that with property prices falling all of the time,Is it the time to buy?Would not have any intention of making it my future residence but am begining to think what are the viable ways of making money work for you rather than let it sit in a bank? I was aware of some tax implications but with property prices so volitile, will they rise or drop?

Daveysil15

Garavan shamrocks wrote: »

The whole idea behind the thought was that with property prices falling all of the time,Is it the time to buy?

This is exactly what I want to know. To put it simply, buy now or buy later?

kennyb3

If you even have to ask you haven't done close to enough research to even consider buying a house.

gjack389

Garavan shamrocks wrote: »

just wondering is there a viability in buying a house to rent it out.Would the rent cover the mortgage and is their tax implications in doing so?

My advice is if you have spare cash, pick up something for under 40k in a allsop auction in a town with a good population. rental potential 500-700PM. A tip approach your local authority and see if they would be will to rent your property for social housing. Less hassle for you trying to find tenants.
Getting a mortgage for property that will not be your principal private residence is a non runner.

LosBMX

Do you know what is the minimum amount of money Required to have to get a Mortgage?

LosBMX

LosBMX wrote: »

Do you know what is the minimum amount of money Required to have to get a Mortgage?

I have fond something like this ( Link ), is this Correct?

http://www.mortgages.ie/index.cfm/spKey/first_time_buyers.how_much_can_i_borrow.html

christmas2012

Daveysil15 wrote: »

This is exactly what I want to know. To put it simply, buy now or buy later?

prices are down now,so they say its the time to buy the problem is if everyone goes out buying theyll hike the prices up again,for instance there has been manic buying in around where i live,due to this house prices have shot up again to around 190,000 for estates that used to be social council owned and 300,000 for private houses,so its a bit of a pickle.

if a house is too cheap it may mean interior(before you even furnish the place) work that could set you back up to 100,000 if youre unlucky and obviously a lot less if you are lucky..

StillWaters

Garavan shamrocks wrote: »

The whole idea behind the thought was that with property prices falling all of the time,Is it the time to buy?Would not have any intention of making it my future residence but am begining to think what are the viable ways of making money work for you rather than let it sit in a bank? I was aware of some tax implications but with property prices so volitile, will they rise or drop?

No-one can answer that question for you. Even the best economic minds in the country cannot agree on whether property prices have reached bottom yet, and will they rise or fall. People have opinions, and there are loads of threads on here with pages and pages of posts arguing both sides of the coin.
The best answer is to read over some of them, and make your own mind up.

riclad

UNLESS you are on a high salary ,banks expect you to have between 10 to 20 per cent price ,you also need money to cover legal fees .IF buying older house get a structural survey ,cost 500 euro ,it will detail all faults ,costs of repairs needed ,old house will need insulation and probably rewiring.
They look at your expenses,wages and see if you could afford to pay loan if rates go to 6 per cent.
Average rate now on standard variable ,is 3.5 approx, last time i checked.
if survey comes back, major fault,cost ten k plus ,
it may be easier to just buy a different house.
Theres plenty of cheap houses , outside dublin,
but in many areas its hard to get tenants,
ie theres too many empty houses and apartments.
You cant compare a house in cavan ,with a house in dublin, santry or rathmines,
would be better to say will prices go down in area x,
eg parts of dublin have high demand for rentals ,
prices in small towns, outside citys will probably continue to fall.

dmmnnba

If you find the house you want and this is the time you want it, you can get a mortgage and afford it, difficult to argue that it's a bad time to buy. Even if prices were to drop a bit more you're not going to be badly off.