Should I Buy A Property For Kids Going To 3rd Level?

Ismaithliommilseáin · 16-01-2023 10:15pm #1

I was looking for your opinions on the following. I have 4 kids who will all go to Dublin to 3rd level. My eldest is currently in 1st year in TCD in student accommodation and has a further 4 years in college. Then we will have the other 3 kids coming up over the next few years. I reckon that if I have to pay Euro 1000/month for a minimum of 4 years for each of my 4 children, I will have to spend close to Euro 150,000, if not more, in rent. I am considering buying a 3/4-bed property somewhere around Dublin 6/Dublin 14/Dublin 8 which would be not too far from TCD. One unknown is what colleges my other kids will go to. Maybe they could end up going to DCU on the north side or UCD, so maybe there is a location that would cater for all 3 colleges.

My kids could stay in the property and any free bedrooms would be rented out to other students. We then wouldn't have the nightmare of looking for accommodation before the college year starts and I wouldn't be throwing money down the drain on rent. The budget would be about Euro 500,000, financed by savings (60%) and mortgage (40%). I would be grateful for any feedback. Also you might have ideas about what location might suit.

Caranica · 16-01-2023 10:17pm

I would say consider Blanchardstown/Clonsilla. Bus routes to Trinity, UCD, TU Dublin and DCU. You'll get better value.

16-01-2023 10:36pm

https://www.boards.ie/discussion/comment/120117613#Comment_120117613

College age kids wont want to live in Blanchardstown.

Caranica · 16-01-2023 10:41pm

https://www.boards.ie/discussion/comment/120117698#Comment_120117698

Plenty of college age kids live in Blanchardstown. Shopping centre, cinema, theatre, sports campus Ireland. Plenty of student jobs too

Fian · 16-01-2023 10:47pm

Dundrum, somewhere near the luas line. Easy to cycle/walk into UCD, cycle/luas into city centre.

If you need DCU there are buses running direct from UCD to DCU or you could get a luad to city centre and bus out to DCU.

You could get a 3 bed terraced former council house for that budget in dundrum. You'll have no trouble finding students who will be delighted to take up extra rooms when available as well.

herbalplants · 16-01-2023 10:50pm

Eastwall and you don't need to have a budget of 500k and walking distance from few universities.

Ismaithliommilseáin · 16-01-2023 10:52pm

Thank you very much for your input so far.

Ismaithliommilseáin · 16-01-2023 11:01pm

Would you consider Drumcondra?

16-01-2023 11:07pm

https://www.boards.ie/discussion/comment/120117698#Comment_120117698

I can’t see myself really worrying if I was them considering.

walterking · 16-01-2023 11:07pm

With 4 kids getting use of it, it can make sense especially if you are clever about it

They can rent the rooms out under the rent a room scheme and earn up to €14,000 - this includes payment for utilities. That can save you additional payments.

Afaik but best to get tax advice, providing accomodation for children in full time education is not subject to gift tax

A 3 bed is probably the best option and at an accessible price.

I'd look at this - not perfect condition, but ideal for students with garage for bikes etc.

https://www.myhome.ie/residential/brochure/148-mulvey-park-dundrum-dublin-14/4658374

The Spider · 16-01-2023 11:13pm

Southside if possible, Dundrum, Rathfarnham, Terenure etc. I know if they were my kids that’s where I’d be aiming, no safe way to walk home at night on the north side, sorry there just isn’t, Eastwall not a chance would I have my kids going there as for Blanch forget about it, it’s not exactly ideal student life, buy what you can afford in the best area, and one that doesn’t put any of the kids in proximity to dodgy types.

herbalplants · 16-01-2023 11:17pm

https://www.boards.ie/discussion/comment/120117872#Comment_120117872

I agree with your post but God that property above is awful for 500k!! Seriously that house is so overpriced.

There is one walking distance from city.

https://www.myhome.ie/residential/brochure/6-susanville-road-drumcondra-dublin-3/4670863

the_amazing_raisin · 16-01-2023 11:21pm

I know nothing happens fast in the property world but it may be prudent to wait 6 months to a year. There's talk if a recession on the horizon and that may bring prices down, particularly in Dublin where houses are seriously overvalued

herbalplants · 16-01-2023 11:25pm

https://www.boards.ie/discussion/comment/120117910#Comment_120117910

Sorry to but in but there is plenty of dodgy kids in the wealthy areas!

Count Dracula · 16-01-2023 11:34pm

Whatever you do try to avoid crusty areas like Drumcondra, Phibsborough or other associaed NIC type areas. Rough at night and dingey. You will get exceptions, but I find areas near prisons terrible value.

Whoever mentioned Dundrum is on the money.

Op, if you have 300 k swinging around you are dead right to invest it in your kids future. It is a great idea. You should get somewhere on the Luas for in and around 650 -800. It will hold its value extremely well. I would also implore you to consider the type of student existence you would prefer your kids to have. I am not getting into the nitty gritty of enforcing them a life as junior Landlords, but if I were you I would massively take a firm handle on who they end up couching it with for a solid 4 years. You want your kids studying and meeting focused, forward thinking students, not a crowd of pipe smokers from Westmeath, Cavan or Carla. Let them live in Blanch and Glasnevin and faff around for bus fare drinking cans of Cheap pisssh.

You strike me as the type of parent that want's the best for your kids, make sure you get that message home to them. Dundrum is a decent affluent area in South Dublin. It is a great opportunity for your kids to get the start out they need in life. But I would definitely control that gaff and don't let them away with turning it into a party zone. don't get me wrong, I loved a good time in college, but every year had " that gaff" which was just populated by drop out's, hags looking to get one in the oven and imbeciles smoking joints and spouting shight, you don't want your kids mixing with losers, just make sure of it.

It is a great idea, but if you are balls deep on 500k I would get somewhere decent for the extra 150-200k

It's for your kids, don't leave their futures on the table waiting to be picked up. There is rumours of a new gated community being created in the old Asylum, some of the soccer moms are kicking off on traffic congestion - not your problem. Your kids are going to cycling or on the Luas - if you are buying them a gaff they can fork out for their own car?

Good luck OP, it is great to see someone having great foresight such as yours, your entire concept makes complete sense. Always spend your money where you spend your time.

Alkers · 16-01-2023 11:44pm

What is your existing financial situation?

Do you have a mortgage on the house you live in?

What would you do if the property market crashed?

Do you have any other investments?

What are your kids ages - will they be in college at the same time?

Your kids might not want to live where you buy the house.

Part of the college experience is leaving home and learning the ropes, not being provided for.

Do / will your kids work part time or do you fully fund them? My concern is they won't appreciate the gesture as they're not having to work to put themselves through college as a good portion of people do.

kippy · 16-01-2023 11:46pm

I remember about twenty years ago speaking with a person who told me they had considered buying a property in Dublin when their eldest started college there (they were from the south of Ireland). They never did for one reason or another..the younger two kids also ended up in college in Dublin. I spoke with that person about seven years later and they deeply regretted just not buying something that suited the kids there when the first one started college.

While buying property at any time can be stressful and potentially risky it isn't the worst idea in the world even in today's uncertainty.

maninasia · 16-01-2023 11:57pm

Of course it makes sense, but its going to cost ya too. Apartments are cheaper than houses, think about 2/3bd apt.

Mellor · 17-01-2023 12:10am

https://www.boards.ie/discussion/2058279967/should-i-buy-a-property-for-kids-going-to-3rd-level

Makes sense when you consider that you'll (or they'll) be sinking close to 200k on rent over the years. But you you should also consider the tax. The rent value you are not earning is considered a gift and subject to CAT at 33%. Comes to 64k payable, but you could write off under annual and lifetime gifts. No cost.

The Spider · 17-01-2023 12:45am

https://www.boards.ie/discussion/comment/120117972#Comment_120117972

There certainly are, but I’ve lived all over Dublin, and I can safely say the south side experience is a world away from the north side experience. Having grown up in a dodgy enough area in another city, there is absolutely no chance on earth I’d let my kids anywhere near an area similar to the one I grew up in.

I had some good times on the northside, but then again it was the first part of Dublin I lived in when I moved there, I nievly thought all Dublin was like that, dodgy as hell,until I moved south side, couldn’t believe the difference.

south side is boring but it’s safe

spaceHopper · 17-01-2023 12:51am

The 155 goes from bray to ucd to the city center to dcu, That opens up a lot of place. Take shankill, you would be near the dart luas and busses to town and to dcu. Same with cherrywood.

Some of these properties are in what are not so great but really not dangerous area of shankill. no 9 has been for sale for while

https://www.myhome.ie/residential/dublin-18/house-for-sale-in-shankill?maxprice=500000

Q&A · 17-01-2023 1:50am

https://www.boards.ie/discussion/2058279967/should-i-buy-a-property-for-kids-going-to-3rd-level

It's a nice idea but be sure you are going in with your eyes open and you are sure of all the permutations.

The first one that comes to mind is if you buy in Dublin how will it impact your ability to support any/all of your kids if they the go to college elsewhere. There is no guarantees they will get the course they want in the college they want or indeed stick with the course. College is great but a high percentage drop out/realise they want to do something different.

Even if they go to Dublin will they want to live together. There's a lot of personal development that happens in those years. It's very possible they will want assert their independence and/or live with their friends.

Do you want to be a landlord and what is the plan for the property after college? How does taking on another mortgage impact your financial position i.e., mortgage repayments on an additional property. As commendable as your intentions are just be sure you're able to deal with changes to the master plan.

17-01-2023 2:18am

Why not an apartment? Less maintenance, no gardens to look after.... will you be selling the property after they all graduate?

I'll probably be shot for saying this, but I'd leave houses for families that need them.

For students, I'd consider a three bed if you can get it or a two bed with decent sized bedrooms - your own kids could share a bedroom if needs be?

I wouldn't be making them excessively comfortable away from home either, or they might never move out!!

Something like this?

https://www.myhome.ie/residential/brochure/apartment-4-brunswick-court-stoneybatter-dublin-7/4671837

Padre_Pio · 17-01-2023 2:23am

https://www.boards.ie/discussion/2058279967/should-i-buy-a-property-for-kids-going-to-3rd-level

Don't forget that you can rent it to your children when they start working too and if they part time jobs during college or summer.

DFB-D · 17-01-2023 2:27am

You might consider if classes will be held on campus in the future.

I can see online learning increasing, meaning in class could be reduced to one or two days a week.

But in saying that, property is a never a bad long term investment. If you plan on less than 15-20 years, buy in a dip and sell high. I believe we may be entering a dip, so waiting a year or so might be prudent.

maninasia · 17-01-2023 7:12am

https://www.boards.ie/discussion/comment/120118362#Comment_120118362

This is a good proposal, central, 4bd 4 bath. I trawled through apartments and didn't find anything better. You can get 'cheap apartments in Finglas area and Tallaght or out on edges of the city but this is actually more valiue for money in a way and a bit safer area and super convenient.

It's not remotely one of the world's coolest neighbourhoods though !

Caranica · 17-01-2023 8:31am

https://www.boards.ie/discussion/comment/120118212#Comment_120118212

Such sweeping generalisations are really not going to help anyone. I've lived in D15 for almost 20 years and never had any trouble. Can't say the same for when I lived in "a good area" on the south side. There are edgy areas all over Dublin, irrespective of side of the river. Even the wealthiest areas are only a stone's throw away from less desirable areas.

Count Dracula · 17-01-2023 8:45am

https://www.boards.ie/discussion/comment/120118500#Comment_120118500

All true.

But who enjoys living in a rough area walking around with your head down, not being able to attend certain pubs for fear of your safety. You will always hear of people in Dublin 15 saying crap like " I never have any problems , you need a bit of common sense" etc etc.

I would not be spending 600k on a property to help tone up my common sense skills, I am fine thank you very very much, if I managed to claw 600k together I reckon my life skills are doing just fine?

OEP · 17-01-2023 10:07am

https://www.boards.ie/discussion/comment/120118520#Comment_120118520

You must be afraid of your shadow!

17-01-2023 10:30am

https://www.boards.ie/discussion/comment/120118500#Comment_120118500

Yea for 20 years but when did you leave?

Dublin 20 years ago is a lot different than Dublin today.

Frankly parts of Dublin 2-3 years ago are just not the same today.

SwimClub · 17-01-2023 10:39am

It seems to make short term financial sense given the massive rent you would be paying.

You need to think about your exit strategy though as others have said, with 4 kids you have a responsibility to all of them.

Do you keep the house down the line, who gets it and what about the others, will they get equal support.

Do you make it clear in advance that you sell as soon as they are all out of uni and give them a deposit each for example.

You might be favoring the eldest with this, might the fact the house is in a given area restrict the others uni and career choices, etc.

Should I Buy A Property For Kids Going To 3rd Level?

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