Marshian2015
Registered User
- Messages
- 5
Hello all
am new to this forum and really hope I have come to the right place.
So, I bought my one bed Dublin apartment in 2007 for Eur 320k.
Currently Owe - Eur 260k
Can sell for - Eur 205k approx.
So you can see I made a huge loss and the negatvie equity gap is currently Eur 55k. I am moving to another county where my fiance already has a house so my options are to rent or to sell my dub apartment. a relative has very generously offered to give me an interest free loan to bridge the gap of negative equity which I can pay off over 10 years and he is really urging me to sell.
between tax on rental income, hassle with being a landlord and other costs he thinks I will never ever be in a winning position with my apartment. Rent per month would be Eur 1200 if I decided to rent out. I am on a variable rate mortgage of 4.25%. My interest payments are still quite high at the moment.. approx Eur 900 per month out of total repayments of Eur 1375 per month. My estimated tax bill would be Eur 2-eur 3k per year.
So my question is, does it make sense to sell and take the Eur 50k loan over 10 years interest free or should I hold on to my apartment and rent it out in the hope that some day it will come good again? really cannot see the wood from the trees at the moment yet I know he is probably giving me very sound advice. Further, myself and my fiance would like to sell his house in about 5 years time and move to a better house. he is not in negative equity.
Please help!!
Many thanks
am new to this forum and really hope I have come to the right place.
So, I bought my one bed Dublin apartment in 2007 for Eur 320k.
Currently Owe - Eur 260k
Can sell for - Eur 205k approx.
So you can see I made a huge loss and the negatvie equity gap is currently Eur 55k. I am moving to another county where my fiance already has a house so my options are to rent or to sell my dub apartment. a relative has very generously offered to give me an interest free loan to bridge the gap of negative equity which I can pay off over 10 years and he is really urging me to sell.
between tax on rental income, hassle with being a landlord and other costs he thinks I will never ever be in a winning position with my apartment. Rent per month would be Eur 1200 if I decided to rent out. I am on a variable rate mortgage of 4.25%. My interest payments are still quite high at the moment.. approx Eur 900 per month out of total repayments of Eur 1375 per month. My estimated tax bill would be Eur 2-eur 3k per year.
So my question is, does it make sense to sell and take the Eur 50k loan over 10 years interest free or should I hold on to my apartment and rent it out in the hope that some day it will come good again? really cannot see the wood from the trees at the moment yet I know he is probably giving me very sound advice. Further, myself and my fiance would like to sell his house in about 5 years time and move to a better house. he is not in negative equity.
Please help!!
Many thanks