Bought 2bed apt in Dublin 5, want to get advice

karrived

Registered User
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3
I want to ask about money =)

More specifically - I'm wondering if I made a right choice buying an apartment and whether to sell or keep it. It might sound strange to ask this after actually buying, but I'm double guessing myself after a few month living there (btw I like the area and the house).. Any advise is highly appreciated.

So after 2 years of searching I got this:

2 bed apartment cost - 237500e
20% deposit - 47500e
loan - 190000e
interest rate 3% ~ 400e/month
monthly repayment - 750e

LPT/Life insurance - 50e/month (300pa + 300pa)
Management fee - 100e/month (1200pa)

Cost to buy ~ 7500e
Cost to sell ~ 7500e

Overall - 1300e/month + 15k to buy/sell

Same apartment rental in the complex - 1500-1900e/month

This is a 2 bed / 1 bath (~70sq.m.) apt in Artane with a garden. I rent 1 room to a friend for 650e/month, so I'm paying 650e/month (1300-650). To cover buy/sell costs l need to rent the room for around 2 years.

What you think, is it a good deal?

I was thinking maybe to switch to a cheaper 1 bed as I don't plan a family (max is I'll have a partner living with me). This way I can repay the loan much faster. On the other hand I can repay >50% of this property till the end of 2019 and keep renting the room.

I'm in my early 30s, have no other loans / no obligations / can repay another 20% now but am keeping it as a safety net as there's no other sources of income except my job.
 
If you like the apartment complex stay.

Always good to have second bedroom - if single you can rent a room if you need cash and its tax free; if in a couple you sometimes need space if one person sick or if theres a row.
 
If you were renting you'd have to pay 750 a month (1500 /2). Instead you're buying for that amount. In fact it's not costing you 750 as you have 650 rent tax free. Which is a marvellous tax advantage. Plus you have your utility bills shared.

Your friend is getting a discount on rent of 100. He should also have to pay the half the management fee but if that's not already agreed than leave well enough alone.

Selling will cost you solicitor and auctioneer fees. Purchasing will cost you legal and solicitor fees.

One beds are awful, particularly in Ireland. Stay where you are. And overpay your mortgage to own the property faster.
 
Because you can hardly swing a cat in them. There's generally not enough parking, and zero storage. Many are badly built with sound issues, plus legacy management issues. Does your two bed have any issues?
 
Because you can hardly swing a cat in them. There's generally not enough parking, and zero storage. Many are badly built with sound issues, plus legacy management issues. Does your two bed have any issues?
have a street parking spot, insulation is ok (could be a bit better, but it's fine), management fee decreased to 1200 from 1500 when I moved in, no sound issues at all. Not sure what means legacy management issues. Googled but still have no idea) When I was buying I worked with a pretty expensive solicitor who checked the property throughout.
 
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