What would you do?

angela1711 · 21-09-2024 5:49pm #1

Hi,

If you've had the option to buy a big 4-5 bedroom 2-storey apartment mortgage-free vs. buy a house with a 30-year mortgage which one would you choose? The apartment would also mean neither I nor my partner would ever have to work full-time again. I have a sentiment towards houses, and the freedom they give but if an apartment means I will never be dependent on a nasty employer again at the age of 30 I am willing to go with this option. The other option is to take a 30-year mortgage and buy a dream property. Money would be very tight if either party lost their job. What would you do ?

dennyk · 21-09-2024 7:35pm

Surely if you have the funds to buy an apartment that large in cash then you'd have enough to buy a house as well, even if it was a bit smaller, or to put down a sizable enough deposit on a more expensive house that you could easily pay it off in far less than 30 years, or manage the repayments on a lower salary if you prefer.

pleh · 21-09-2024 8:21pm

Be mortgage free, u mightnt have to work full-time but you could choose to and invest the extra money elsewhere.

Jim_Hodge · 21-09-2024 8:29pm

Where are you getting such a price difference between an apartment that size and half decent house?

Iguarantee · 21-09-2024 8:58pm

https://www.boards.ie/discussion/comment/122640902#Comment_122640902

I'd guess that the location is the key difference here.

e.g. apartment outside Ireland Vs. house in Ireland.

Jim_Hodge · 21-09-2024 9:01pm

https://www.boards.ie/discussion/comment/122640979#Comment_122640979

That would be a much bigger issue than apartment or house, as would a dilemma on location within Ireland.

angela1711 · 21-09-2024 10:38pm

Both proprieties are abroad, houses are double the price of the apartments. I could put down a large deposit but the mortgage interest rates are astronomical. 4 times the interest rates in Ireland. I could get a very run down house that would require significant investment and I just don’t think I want to go ahead with such a massive renovation. It’s not just a cosmetic thing, I am talking about roof replacement, moving walls, completely redoing the garden, buying all furniture etc. The apartments are perfectly livable some are quite nice actually and would require a fraction of the cost to bring to a high standard.

dennyk · 21-09-2024 11:04pm

It being abroad definitely complicates matters; there may be a reason that apartments are so cheap in that location compared to houses of a similar size. If it's just due to local supply and demand (a glut of apartments but few detached/semi-d homes), that'd be one thing, but there could be other downsides to buying and owning an apartment in that jurisdiction that would be different and potentially more risky or problematic than the downsides you'd deal with here.

Allinall · 21-09-2024 11:11pm

https://www.boards.ie/discussion/comment/122641236#Comment_122641236

do what you think is best. Not what someone else tells you.

You’re the one that has to live with the result.

Own your destiny.

kabakuyu · 21-09-2024 11:15pm

I'd wait a year or two if I was you.Think about what you really want.

ottolwinner · 22-09-2024 1:42am

if you have that sort of money keep it. Use the banks money to buy the house and get the relief on your taxes or invest in a pension.

iniscealtra · 22-09-2024 4:09am

mortgage free 100% That kind of Financial freedom is life changing. You can have a very nice work life balance.

Jim_Hodge · 22-09-2024 8:41am

It would have helped to say what country you are in, or even just that it's abroad. In light of it being abroad, I'd say go with what feels right because it's impossible from here to know what apartment living is liike there.

the_amazing_raisin · 22-09-2024 9:01am

Since you mentioned the apartment is abroad I'm going to assume it's in a city in Europe that can do apartments competently and not the prison cells that Irish developers like to build?

If that's the case then I'd go for the apartment, close to amenities and night life, possibly better public transport

Main downside is you've neighbours in 3 dimensions now, so double the chances of getting an annoying one

Also being mortgage free is absolutely life changing so I'd definitely go for it. You will probably still have to work a bit to support your lifestyle, but there's a big difference to working a job you hate to keep a roof over your head

What would you do?

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