I'd appreciate people's thoughts on whether I should sell or rent out my Dublin city apartment. My situation is that I am unable to work at the moment due to ill health and I plan to move abroad in Sept. I expect to come back in 2-3 years but this could end up being sooner or much later, it's depends on how things go.
The various figures are:
- apt valued at 295k, 70k mortgage (0.6% interest)
- potential rental profit of about 4K based on rent of €1700 (mortgage €700 per month, tax at 20%, letting fee 8%, management fee and property tax of 2k)
- savings 60k
- living costs abroad 12k annually
I had initially planned on selling and investing the money, however, after realizing how high rents have gone I am considering letting it out. Figures wise it looks good in that I cover my mortgage and make a small profit. My savings give me a buffer for rental problems however I may need this if I continue to be unable to work.
My concerns are mostly around the current discussions about how bad it is for small landlords i.e. high tax, problem tenants, maintenance costs etc. as well as the risk of a fire safety issue coming up similar to other Dublin developments. Re: tenants, I am concerned that the current market conditions could lead to increased levels of tenant disputes .
I have analysis paralysis, should I just relax and go for it or get out and invest in ETFs instead?
The various figures are:
- apt valued at 295k, 70k mortgage (0.6% interest)
- potential rental profit of about 4K based on rent of €1700 (mortgage €700 per month, tax at 20%, letting fee 8%, management fee and property tax of 2k)
- savings 60k
- living costs abroad 12k annually
I had initially planned on selling and investing the money, however, after realizing how high rents have gone I am considering letting it out. Figures wise it looks good in that I cover my mortgage and make a small profit. My savings give me a buffer for rental problems however I may need this if I continue to be unable to work.
My concerns are mostly around the current discussions about how bad it is for small landlords i.e. high tax, problem tenants, maintenance costs etc. as well as the risk of a fire safety issue coming up similar to other Dublin developments. Re: tenants, I am concerned that the current market conditions could lead to increased levels of tenant disputes .
I have analysis paralysis, should I just relax and go for it or get out and invest in ETFs instead?