With the greatest respect, that’s just a rant.
Calm down Gek, its just an opinion.
The analysis is coloured by the fact that the OP wants to ensure that his/her daughter has a place to live.
Yes and is willing to forgoe rental income of €2,500pm for 5yrs.
So paying €19,200 in mortgage repayments alone over that 5yrs will cost €96,000. Add in the other costs, taxes etc and you have just spent/lost over €100k in 5yrs.
Wouldnt it just be easier to supplement the daughter €1000pm for rent, itself supplemented by a deposit rate of 1-2% on €250k?
Or as another poster pointed out, buy a property to the value of €250k?
Yeh, thats great, but over 20yrs was my point.
The property I bought in 2002 for €178,000 is now valued at € 210,000. An 18% increase over 16 yrs. And I was lucky, prices eventually went to €320,000 by 2007.
Now I dont know where the property price cycle is at the moment, but with the lowest building output and record low interest rates im thinking that over a 20yr period, that is going to have to change somewhat.
For sure I could earning rent at twice the mortgage repayments but with all those other costs its marginal if I would actually making any money at all.
But its just my opinion.