Re: been approved mortgage; Negotation strategy for 4 bed in the Dublin 15 area new S
Would probably need alot more info to gauge an offer price, what would the house cost in 2006? what are other similar houses in the area on the market for? is there alot of other similar house in a 1 mile radius? Why have you picked this house over the hundreds of others?
If you want to buy in the current market you should be looking at what amount you can comfortably afford, not what price you can get the house for. As what ever price you pay now, it will/could be a lot cheaper in a year or two time. A price drop is not such a problem if the repayments are well within your means, it can be a huge problem if your stretching yourself for the repayments. How large a deposit do you have? Have you worked out what your repayments will be when interest rates return to a more normal level of 5-6%
What price would the house be if you used a traditional lending multiple? Say 3.5 times the main earner and 1 times second?
What would the house cost if the the monthly repayments were 35% of the main earners net monthly wage, minus any other loans and a interest rate of 6%?
Basically what can you afford to pay, say if one of you loses your job? if you both get a 10% wage cut? this will happen over the next few budgets.