Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

First home: Turnkey v Renovate?

Options
  • 24-08-2020 10:55am
    #1
    coffeeteame
    Registered Users Posts: 14 ✭


    After a little research and a lot of saving, I'm close to hopefully getting approved as a single applicant for a mortgage for circa €400k. Including deposit etc I'm expecting to pay about €450k for a house but struggle to find something of good value in Dublin to match this (walking distance to cc, turnkey, min C BER) - I'm not overly familiar with the process but how do banks respond or assist in buying a lower value house (~€300k) with potential etc and borrowing for renovations etc? Should a first home be turn key and reno after that with lower LTV?


Comments

  • Options
    #2
    Sarn
    Registered Users Posts: 3,076 ✭✭✭Sarn


    More often than not you will get better value buying a turnkey property. Generally, in many areas the premium paid for a turnkey property would not be enough to renovate to the same standard, unless you are doing the work yourself.


  • Options
    #3
    Pivot Eoin
    Registered Users Posts: 564 ✭✭✭Pivot Eoin


    Sarn wrote: »
    More often than not you will get better value buying a turnkey property. Generally, in many areas the premium paid for a turnkey property would not be enough to renovate to the same standard, unless you are doing the work yourself.

    I would in general agree with this point, However just to add from what Ive seen and experienced looking for TurnKey post Covid - these are the houses (Especially the top top finish properties) that are getting the huge bidding wars and going 10%+ above FV. Everybody has the same idea.


  • Options
    #4
    DubLad69
    Registered Users Posts: 484 ✭✭DubLad69


    I was struggling with the same dilemma. For us it was clear in the end that a new build was better value.

    The new build will cost €450,000, with €30,000 coming from HTB. House about 135 sq meters.

    If we want a second hand in the same area they are smaller around 110sq meters. Costs about €350,000, but by the time we put in new kitchens, bathrooms, painting, and fixing things we will spend about €100k. And it still would not be up to the same standard as a new build.

    We would in effect only be paying €420k for the new build and €450k for the second hand once the work is done and it will still be smaller and not as high a standard.


  • Options
    #5
    Pivot Eoin
    Registered Users Posts: 564 ✭✭✭Pivot Eoin


    DubLad69 wrote: »
    I was struggling with the same dilemma. For us it was clear in the end that a new build was better value.

    The new build will cost €450,000, with €30,000 coming from HTB. House about 135 sq meters.

    If we want a second hand in the same area they are smaller around 110sq meters. Costs about €350,000, but by the time we put in new kitchens, bathrooms, painting, and fixing things we will spend about €100k. And it still would not be up to the same standard as a new build.

    We would in effect only be paying €420k for the new build and €450k for the second hand once the work is done and it will still be smaller and not as high a standard.

    Really depends where you want to live though doesn't it.

    A new build in the area Im looking at 110m+ is in the region of €650k+

    Old houses are what they are, will probably never get it up to standard of a new build... but there isnt a huge amount of potential with most new builds these days.. minimal garden space or room to side. What you see is what you get with them mostly.


Advertisement