2- I’m concerned about reports Sinn Fein will bar evictions and possibly prevent sales in favour of long tenancies
Yes Dermot - I mentioned in the post about only being allowed to increase by 2 %Is the 2nd house in the country location in a RPZ area.
Cheers BrendanIf you have good tenants, then you shouldn't worry unduly about evictions. If the tenants leave, you could sell then.
But the potential ban on giving tenants a right to rent the property for life would be a real concern, so yes, you should sell.
Brendan
Hi,I have 2 properties rented below market rate due to me
I don't think that looking at the figures is enough currently. There is an inherent risk with the current situation if the legislation change in terms of evictions/selling with tenants in situ...Kind of depends on your financial situation overall, if you are only selling because you are looking for a better investment / return on your money (as opposed to selling because you need to liquidate funds), then look at it purely as your investment vs your opportunity cost. What is your investment making you at the moment vs what it could be making. If you were to sell and invest in something else would you be any better off?
You might not be achieving the market rate, however, you're still making €1,805 per month after your mortgage repayments. How much would you get if you sold the properties? Then how much would you be able to get from another kind of investment with that money? If you can get more with your money from another investment, then sell. If you can't then don't.
Agree wholeheartedly.Kind of depends on your financial situation overall
I don't think this will ever be legislated for. I think the current legal framework is at the boundaries of constitutionality and will not go further.I don’t need to sell- the reason for selling would purely be to avoid being stuck in a situation where I can no longer sell my rental properties
Tenants will more than likely leave at some point of their own accord. You could give them a very gentle deadline: "if you don't have something else by 2030 I will be selling up".I am conscious that I would be putting two families in a difficult position and this is what has prevented me from doing anything till now.
It would help if you told us the value of each property today.Guys- I’m curious as to which of the two properties I described would you sell if you could only sell one??
House 1 Dublin
Value 375 k approx
Mortgage free
Purchase price 120k
Rent 1475 market rate 2250 plus
House 2 1 hr from dublin
Value 200 k
Purchase price 175 k ( 2005!!)
Mortgage 150 k outstanding - interest only 4 % currently
Rental income 830. Market rate 1400
There is not much difference in the gross yield. So it comes down to net profit calculation per property which will be different as one has a mortgage and the other doesn't.
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