buying second property for investment purposes

DubCount

https://www.boards.ie/discussion/comment/120101549#Comment_120101549

AFAIK the deposit requirement of 10% only applies to first time buyers. As a second time buyer, I think you will need 20% anyway.

The bank giving you the new mortgage may still give you a mortgage but they will take account of your existing mortgage is assessing your ability to repay, so they may not advance you the full 3.5x because of the existing mortgage.

I had heard that the Council long term lease scheme was no longer operating. Even if it was, it was not without issues. The councils tended to use these properties for their less desirable clients that they cant house anywhere else. Its not a complete hastle free investment.

Is it a bad idea - yes. Sell the house and use the proceeds to up your level of deposit and reduce the mortgage on your own property. Do you really want to be a landlord in Ireland at the moment?

In the wind

https://www.boards.ie/discussion/2058276770/buying-second-property-for-investment-purposes

I wouldn't touch the Irish Buy to Let property market with your money never mind my own. There are literally an infinite number of opportunities to make an investment that are more secure for your capital, less of a head wreck & likely to give higher returns.

Save your money & your sanity - stay away from this market.

In the wind

https://www.boards.ie/discussion/comment/120028132#Comment_120028132

Good opportunities like this.

DownByTheGarden

https://www.boards.ie/discussion/comment/120094198#Comment_120094198

LTL scheme is still running but they are offering much less now. You could ask the council for something in writing that they promise to rent the property off you if you buy it. But I wouldnt risk enbding up having to be an normal landlord. That will just end in tears.

ballyharpat

https://www.boards.ie/discussion/comment/120090239#Comment_120090239

So many things wrong with this, it hurts to read.

I wish more money were put into the education system, or at least spent in a way that would avoid people leaving school with this kind of thinking. It's a complete failure on the part of our government. It's a failure for teacers to think that they allowed this kind of person to believe that their thinking could be considered intelligent.

ballyharpat

https://www.boards.ie/discussion/comment/120101355#Comment_120101355

A granny flat is not entitled to the tax free 14k.

Fair play to him/her, they bought a house, perhaps saved, or borrowed more money, now they can rent property to people that need it. If they didnt rent out/build more, there woule be at least 2 fewer properties available for rent.

Am I missing something? would you prefer they spent their money on expensive foreign holidays? Luxury cars?

Thanks :)

eoinbn

https://www.boards.ie/discussion/comment/120116750#Comment_120116750

https://www.boards.ie/discussion/comment/120116775#Comment_120116775

Granny flats are covered if they are attached. Surely someone as intelligent as you can figure out how to use Google to find widely available information.

My Business Studies teacher was excellent. Any failings in my logic are purely down to myself.

However, nobody has been able to disprove my point that rent is to pay expenses, not the principal of the loan which says it all.

ballyharpat

https://www.boards.ie/discussion/comment/120116882#Comment_120116882

If you’re renting a self-contained flat, such as a granny flat or a floor with a separate entrance, then you are covered under landlord and tenant law. If it is not an ensuite room, there are no regulations which govern this type of arrangement.

It needs to be attached the house AND be accessible from the house, and connected to the same electric and water etc.

Anyway......

mariaalice

A let them at it they are convinced they will make loads of money what could go wrong, aren't interested in another type of investment and are convinced they have a way around regulations its a fantasy.