South Dublin housing market: Mini bubble or start of upturn? Buy now or wait?

ted1

jay0109 wrote: »

How much interest would you have paid on a mortgage over those 15 years>

On a 20 year mortgage he'd be fairly close to having an asset at the end and in 5 years would be living rent/ mortgage free.


Lima, with a family I'm far less stressed having my own place. No fears about a land lord evicting us, upping the rent etc.
Being able to paint rooms and make changes as I see fit.

lima

Ted I agree it's certainly better having your own home and putting down roots when you have kids. Choosing to have no kids (as of right now) does allow more flexibility in accommodation choices.

Spider,

It's certainly a lot of money to pay in rent. One would pay an enormous amount in interest over 15 years too. Plus whether you lived in your own house or in rented houses over the last 15 years doesn't make a different in the here and now, all you have is memories.

Mortgage = Interest + principle. Interest is 'dead' money, principle is like saving and using that saving to buy a house interest free after 20-35 years.

Rent plus saving = Rent + savings. Rent is 'dead' money, saving is like paying principle and keeping that principle in other investment products etc.

I have been renting 9 years so far in my life, in different parts of the world. Say an average of e600 per month = e64,000. Meanwhile my friends are stuck miserably in shoeboxes worth nothing in the 'burbs. I have also saved six figures in savings so same as 64k in 'interest' and 1xxk in 'principle'. Lived in some great places and made friends for life. Currently rent a redbrick 20min walk to work in D4/D6 area. Never needed to care about stuff going wrong in house or cutting the grass (actually I have no idea of problems that can go wrong with houses!) just got the landlord to fix it.

Everyone is different and clearly you made the right choice for you, my point is that just because someone bought a house doesn't mean its right for everyone.

Idbatterim

if it is current market rent v buying now, put it this way, people are hoping or speculating there might be another bust, say prices rise on average 10% a year for another 5 years, BIG IF prices implode 50% again, so you they are back to where they are now and you have shelved all that money out on rent, thats a given. Being gun ho cost a lot of people a lot of money, so has been far too cautious a 18-24 months ago when prices were LOL cheap compared to now, I certainly would have bought then if I was in a position to, I still am not in a position to now, which is probably a good thing as there is no tough decision for me now, its all academic... I cant see how interest rates will get cheaper than they are now and if trackers ever surface again, there will be a lot more margin built into them!

Dredd_J

You can just keep renting, which you are used to already, and wait and maybe buy if house prices fall in the future.
If they dont fall then you just remain as you are with renting. Its not really that bad to rent. Well at least not until retirement anyway.