Single, first time buyer in Dublin – Christmas research has left more confused than anything.

Sarenco said:
I think folks can have a bit of a blind spot about management fees.

I lived in apartments for years and the annual management fee was lower than the combined cost of house insurance, refuse disposal and gardening/maintenance that I currently bear.

And that ignores the fact that an element of the management fee was going to a sinking fund for long-term repairs, etc.
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Agree. It's all about due dilligence and making sure it is well managed and something you get value from as a property owner

As part of my fees I pay about 80 euro a year for unlimited bins which is great value for me
The 200 euro spent on managing agent charges and auditing are the only costs I don't get a "property" service as such from, but the agent gets competitive quotes and decent deals on service providers and also means I have far less home-admin myself so I think it's reasonable value for that and am happy to pay it. In a few years when I can't make it up the stairs anymore I will be v glad of the lift maintenance charge too :D

I have heard stories of agents' "friends" being paid a fortune for landscaping or window cleaning services for sure, but for every horror story there are multiple decent developments imo
 
messyleo said:
I have heard stories of agents' "friends" being paid a fortune for landscaping or window cleaning services for sure, but for every horror story there are multiple decent developments imo
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I got myself on the OMC at an AGM. It was eye opening what was going on once I was on the inside. They hated me because I insisted that everything from now on had to be 100% transparent. There were major changes before the next AGM.
I highly recommend if you are worried about the charges to stand up at the AGM and say so and ask to be voted onto the OMC there and then with the promise to everyone else that you will show all of the workings at the next AGM.
 
As a first time buyer the most important question you should ask yourself in assessing a property is "Who is going to buy this property from me?". Unless you are lucky enough to find your forever property, you are going to sell, so who is your potential purchaser? The average duration of hold for a first time buyer in Ireland is about 8 years, so who is going to buy your property at that stage?
 
If you use a local building surveyor, they should know if it's affected.

If it's an apartment, you could ask the management company or other tenants.
 
Brendan Burgess said:
One thing you should consider is buying a house jointly with a friend.

I would much prefer to share a three bed house with a friend within walking distance of work than live in a 2 bed apartment requiring two hours of commuting every day.

Of course, there are problems. But you can do an agreement to deal with these. For example, agree that by default, the house will be sold in 5 years. If it suits both of you, you can vary this agreement. You can sell earlier or defer it.

I know people who have done this and it's generally worked out very well.
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Whatever else you do don't do this.

Worked in finance all my working life - the vast vast majority of those I saw over the years never worked out - do what you can within your own budget, then whatever decisions you want to make down the line won't have to be negotiated with another individual - on a human front I've seen so many long standing friendships break up due to disagreements post purchase...
 
I wouldn't dismiss the idea out of hand. I know of cases where it worked well. Especially where the participants went into the deal with appropriate preparation.

Key Post - Buying a house with a friend - draft agreement

If you are buying a house jointly with a partner, you must put down in writing beforehand what you are agreeing to. It may not be very romantic, but relationships and friendships break down, and it is much easier to sort things out if you have an agreement done beforehand. Here are some examples...
www.askaboutmoney.com
 
If you can buy the house you want in the location you want on your own, fire ahead.

But if you can't, then it's worth considering buying jointly. Go in with your eyes open. Anticipate problems. Draft an agreement. Set an end date e.g. 5 years.

Of course, it's not ideal. But it's much better than commuting for two hours a day from a property you don't like in a location you don't want to live in.
 
My old apt complex in Ashbourne, hitting nearly €3k a year now for the 3 bed units, I will get an confirmation on that figure.
Place is falling down, not enough in sinking fund, some fire issues but resolved I believe.
A lot of lift shafts, roller gates, underground car park, complex not secure, common areas unpainted and carpets not changed in over 15 years
And this is with a fairly well known reputable management company at the helm.
Pure nightmare, you have to do a lot of homework to find a complex without it's issues.

Id rather stay put and keep saving if that was my only option, I wouldn't waste my money. Especially when you see how apartment living happens properly in other countries like Zurich for example with storage / group heating etc. We have it so wrong here.
 
Sarah Ryan said:
Even marriages with the appropriate preparation and a priest blessing go sour.
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Even when a jugement of divorce plans for the property to be sold (for example when adults children reach a certain age), it can take a few years for this to happen if one spouse refuse to move.
 
Hi All,

Thanks so much for everyone's perspective, im overwhelmed with so many responses, but thank you!!!

I have a bit of saving to do, but looks like I may be in position for something by end of this year, fingers crossed the housing market doesn't outpace my rate of savings. I think my parents may help with a small gift, but I'd rather try my best to do it all myself.
  • 2 bed is going to be the min for myself. After reading this, apartments now concern me.

  • Apartments: I didn't mind the idea of an apartment until I read about anti-social behavior, that is something I need to be aware of! The management fee I expected. I didn't realise that management fee's include bins and insurance. Also good to know €1500 per annum is realistic and beyond this is having the laugh / would need to provide extra / may indicate a problemed management company. But it sure sounds like management companies differ? Is there a minimum standard they must adhere to? Again I guess I'd need to do extra due diligence and sleuthing if I was looking at an apartment, but that does make housing far more attractive.

  • €30k emergency fund: I think I'd feel more comfortable going into a mortgage as a single person with some emergency fund behind me, not doing so sounds risky. But It might be just a me thing. I'd rather comfort of having something to fall back to, rather than worrying about having no savings at all, which I think would make me panic.

  • Selling shares: I'd rather have some equity exposure and an ability to max out €1270 per annum tax relief on shares. But there potential capital here to help with a home purchase.

  • This is really a good idea, I am going to make a plan come April / May to start open viewings:
PandPs said:
My advice would be to use the “open viewing” filter in the property apps and go visit every single house that has an open viewing and that even remotely matches what you’re after for several months before you’re in a position to make an offer. Make sure you’ve visited at least 20-30 houses before you’ve saved enough for a deposit - more if possible.
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Thanks all,
 
Macal18 said:
I think my parents may help with a small gift, but I'd rather try my best to do it all myself.
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If you have this kindness available to you, take it!
Macal18 said:
This is really a good idea, I am going to make a plan come April / May to start open viewings:
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Start now. The market will be busy again after the slowdown at Christmas. No need to wait.
Macal18 said:
€1500 per annum is realistic
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I was looking at investment properties and rarely saw a management fee at this level in my target areas, it was always higher. It was not always on the ads either, most times I had to ask. So be sure to check this.
 
Macal18 said:
Also good to know €1500 per annum is realistic and beyond this is having the laugh / would need to provide extra / may indicate a problemed management company.
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It completely depends on the specific property and facilities what is reasonable
Lifts
Gardens
Large areas that need cleaning
Electric gates
On-site concierge
Gym
Some developmentshave all these - some have none. The cost of management fees will therefore vary greatly and a figure in isolation will tell you nothing. 3k could be great "value" for the above but 3k could be terrible value without any of the above
You really need to see what covers and the accounts etc.
Bare in mind a portion is also the sinking fund so the bigger this is (no bad thing!) the higher the fees also
 
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