Buying-To-Let in Letterkenny or Derry - Any Suggestions

C

ChunkyLover

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I live in Dublin and planning to invest in Buy-To-Let property in the North, do anyone out there have experience in buying homes in the north? howz t like

I heard that Northern Ireland is increasingly becoming a tourism destination with over 2 million visitors every year.

Any Suggestions on how good is the idea and where to invest in the North at this time. Irish Independent Property edition last week claimed that Letterkenny linked with Derry is a very good destination to invest.

Any comments?
 
Re: Buying-To-Let in LeterKenny or Derry - Any Suggestions

What i'd say is that there is a glut of rental properties in Letterkenny.Prices have been static for about the past year. Over the past five years appreciation has been nothing like that in many other parts of the country.There is a new private hospital being built in the town so this might help the situation in this part of town.
 
Re: Buying-To-Let in LeterKenny or Derry - Any Suggestions

Property in NI, including Derry, has been increasing in price as demand grows. A story in a locl Derry paper sadi that one buyer from Dublin bought all of the property in an EA window for about 14 million in one day!

Letterkenny looks to be booming with loads of building going on. Average 3-bed semis at between 190 and 230. 2 Bed apartments about 200. Downside is a lot of empty houses/apartments due to over supply. Rent about 500-650 per month, when you can get it, for aparts and houses.

This is only my personal take on things, remember. If I was buying, I would not expect to recover my costs in first couple of years, but I think property will go up in the medium term. good investment if prepared to wait at least five years, i'd say.
 
Was there advertising from Letterkenny/Derry in the issue you read? That often explains favourable comment elsewhere in these supplements. Remember the advertising revenue is at least as valuable as the revenue from the readership.
 
I live in Dublin and planning to invest in Buy-To-Let property in the North, do anyone out there have experience in buying homes in the north?
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I think the notion of buy-to-let in N.I. aims specifically at the Belfast and larger urban areas. Derry is sprawling across the border into Donegal - many buy in Newtowncunningham, for example, and commute across the border. I think supply is good in Derry but a good apartment/flat near the city centre and university will always rent, IMO. Letterkenny is overdeveloped and oversupplied with housing for rent. Convoy is nice and a practical satellite for Letterkenny - rental is possible there. Killygordon is not as nice, IMO, but is a practical satellite for Ballybofey/Stranorlar. Rental would be possible but not as good as Convoy. Ballybofey/Stranorlar themselves are well supplied with rental accomodation.
[Note: These areas are not in the "beautiful" areas of Donegal]

Slim
 
Becca said:
Why do these these towns have two different names even though if you look at a map they appear to be one and the same place?
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Each town is on a different side of the river finn. There are other examples around Ireland.


CL, Im not sure how usefull it is to compare property investment in the two juristictions with differing regulatory arrangements, legal systems, economies and tax regimes.
Also there is a growing number of people who believe that the property market in the Republic has (or is about to) crash.[broken link removed] [broken link removed]
Have you considered any alternative investments?
 
Glut of rental property in Letterkenny, not a great place to go with your investment euros in my view. Donegal has one of the highest unemployment rates in Ireland and has lost much of its major industry in recent years. The county is overbuilt with holiday homes, most of which are empty for most of the year. Buyer's market in the county generally, but not a great bet generally.

Lovely place though, and the people are very nice! (before I get flamed!).
 
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