Buying a Property to Rent Out Before Moving Abroad

Cyrus

good vibes wrote: »

Hi there,

I’m Considering buying a house in Dublin at the moment for cash ,im wondering what peoples thoughts are on buying a house in the current housing market ?

Seeing as there is so little available on the market at this time , should I wait to buy ?

What do people think the market will be like in a years time ?
Are we heading for a crash ? Its difficult to see that happening in a year as there is
so little on the market & the value on houses / apartments are increasing ....


Thanks in advance..

Depends on your situation, if you aren’t in a rush I would wait until things pick up a bit Covid wise and some more supply comes on. Even if prices don’t change you may get a better place for your money, choice is very limited at the moment.

Snipp

good vibes wrote: »

Hi there,

I’m Considering buying a house in Dublin at the moment for cash ,im wondering what peoples thoughts are on buying a house in the current housing market ?

Seeing as there is so little available on the market at this time , should I wait to buy ?

What do people think the market will be like in a years time ?
Are we heading for a crash ? Its difficult to see that happening in a year as there is
so little on the market & the value on houses / apartments are increasing ....


Thanks in advance..

Trying to time the market is a fools game. Property is a long term investment.

MicktheMan

IMHO:

If the house is for your PPR then

Ignore the noise, the fud, the chatter.

Find a house you like, in a location you like, at a price you can afford, buy it and enjoy it.

End of.

If it's an investment property to rent out ... are you mad?

good vibes

thefridge2006 wrote: »

The best advice I can give you would be not to listen to anyone on the internet especially not this forum. This place is full of property bulls and bears.

I'm not giving you advice but i personally think there will be a big pop and a lot of negative equity floating around that will make 08 look easy.

Thanks for that, i suppose the big question is.. If i were to wait how long would it be until a pop.. By pop you mean crash ?

good vibes

Thank you..

The goal is to buy a house i like & want to live in, but I'd also like to rent it out.. As id like to work abroad for a couple of years.. But i would have a trusted friend to act as my agent.. Am i mad wanting to rent out house while living abroad ?

MicktheMan

good vibes wrote: »

Thank you..

. Am i mad wanting to rent out house while living abroad ?

You are unfortunately if you think you should have no problem getting it back easily. Not a risk I would take with my home.

awec

good vibes wrote: »

Thank you..

The goal is to buy a house i like & want to live in, but I'd also like to rent it out.. As id like to work abroad for a couple of years.. But i would have a trusted friend to act as my agent.. Am i mad wanting to rent out house while living abroad ?

Yes.

Why would you want to tie yourself to an asset here if you are going to be abroad for a few years?

Marius34

good vibes wrote: »

Hi there,

I’m Considering buying a house in Dublin at the moment for cash ,im wondering what peoples thoughts are on buying a house in the current housing market ?

Seeing as there is so little available on the market at this time , should I wait to buy ?

What do people think the market will be like in a years time ?
Are we heading for a crash ? Its difficult to see that happening in a year as there is
so little on the market & the value on houses / apartments are increasing ....


Thanks in advance..

Since you are cash buyer, in my opinion investing in your own property is not a bad idea.. It might be not a great idea either, but it's one of the safest place to move your cash, if you are not a business person.
There could be a fall in property price at some point in few years, but even with fall in price, it may still be above current nominal price. Although you should be ready to lose 10-20% in value, as none of us can be sure about the future.

good vibes

Well if I leave it in the bank my savings would depreciate in value..
Plus I was hoping to make a house work for me so I’d have a stream of income,
Plus I’m not into investing in stocks ect ..
so I thought it would be a good investment.

good vibes

Thank you,

Your Correct I’m not a business person so maybe the best thing to do is to invest my cash in a house now,because I’m renting at the moment so I don’t want to Eat into my savings for a house..

.I’m thinking of buying now which will save me on rent.... I could then rent out two rooms tax free for 14,000 a year and then when I want to move abroad
I could rent the whole house then and and I have a trusted friend / agent to look after a property...

But finding suitable tenants that will pay the rent & not wreck the house is key.

DataDude

good vibes wrote: »

Thank you,

Your Correct I’m not a business person so maybe the best thing to do is to invest my cash in a house now,because I’m renting at the moment so I don’t want to Eat into my savings for a house..

.I’m thinking of buying now which will save me on rent.... I could then rent out two rooms tax free for 14,000 a year and then when I want to move abroad
I could rent the whole house then and and I have a trusted friend / agent to look after a property...

But finding suitable tenants that will pay the rent & not wreck the house is key.

Without speculating at all on future of property prices, if this purchase would be a significant portion of your net worth, no investment professional would advise for it. Putting a significant chunk of your wealth in a single property on a single road, in a single country, with a single tenant is risky for investment purposes as you’re heavily exposed to negative legislative change/political changes/tenants etc.
If this property forms a smaller part of a wider asset base. It might be reasonable enough.

If not, some sort of a diversified portfolio would be more advisable and less hassle. If you’re insistent on being fully exposed to property. At least find a REIT or similar to avoid such concentrations risk.
Assuming this is a significant sum of money and you’re not financially savvy as you’ve indicated. You should really consider professional advice and not boards.ie.

Graham

Mod Note

OP, as most of your posts are variations on the same subject, I've moved them all into this thread and changed the thread title.

good vibes

DataDude wrote: »

Without speculating at all on future of property prices, if this purchase would be a significant portion of your net worth, no investment professional would advise for it. Putting a significant chunk of your wealth in a single property on a single road, in a single country, with a single tenant is risky for investment purposes as you’re heavily exposed to negative legislative change/political changes/tenants etc.
If this property forms a smaller part of a wider asset base. It might be reasonable enough.

If not, some sort of a diversified portfolio would be more advisable and less hassle. If you’re insistent on being fully exposed to property. At least find a REIT or similar to avoid such concentrations risk.
Assuming this is a significant sum of money and you’re not financially savvy as you’ve indicated. You should really consider professional advice and not boards.ie.

r


Thanks but as I’ve said in previous posts I do not want to risk my savings with investment companies....

JimmyVik

good vibes wrote: »

r


Thanks but as I’ve said in previous posts I do not want to risk my savings with investment companies....

I spent a couple of years trying to make the risk/reward on a rental investment work.
Not a chance that I could.
No bigger investment risk in Ireland than buying and renting imo.
In most experts opinions too by the way.

good vibes

Hi,

Does anyone know if it's a legal requirement for a iandlord living abroad to have a collection agent pay 20% of the rent every month to the revenue dept ?

Thanks guys

Gussoe

Seems to be an old thread.

Several people have suggested investing in a REIT, but the last few years have shown those to be a poor performing investment.