Sell or rent

gomamochi1

Hi folks
Thanks for previous posts. We are currently selling house in Dublin 14 with a view to moving to the country for a job/ family reasons, pace of life etc. recent media attention about demand for houses has made us thought about venting it out for a year instead of selling as not 100% sure of move to de country. Would miss d14 area and kids Are happy and gaff is great as never gutted it for selling but for a family home and living in long term.

Any possible suggestions welcome.

Thanks

djimi

Rent out your place for a year and rent down the country for a year if youre not sure about the move. It might end up costing you a few quid but at least youll be sure about moving when the time comes.

Uriel.

Definitely rent it out Op.

As the other poster said, if you're not sure about the country move I'd rent down there for now to see if you settle.

Depending on your financial situation it makes no real sense to sell now. Rents are healthy and despite all the commentary, I can't see house prices dipping in dublin irrespective of NAMA and other factors.

Depending on your own circumstances you're not going to lose money by waiting and you make even get modestly more for your house in a couple of years.

murphaph

Make sure you can afford to cover mortgage + rent in case your chosen tenant decides not to pay their rent.

The_Conductor

OP- its D14- you should be able to let the property, and one way or the other, prices aren't going to rise or fall too much in the course of a year (its D4/D6 that are showing strong price rises- D14 would be too far out- Churchtown general area?_

What Philip has said is valid- you have to be incredibly careful with choosing tenants- you only have to read on this forum of the mayhem they can cause. When you let a property- many tenants consider it 'their' house to do with as they please- and quite often, withholding rent seems to be a favoured means of keeping the owner over a barrel. If you are in the unfortunate position of having to evict a tenant- its a long and tortuous process- it can well take over a year- and in the meanwhile, god only knows what the tenant is doing to the property.

The first thing to ensure when letting your property- after choosing your tenants carefully- is to get all the bills signed over into their names- so you're not on the hock for them.

Anyway- do post back and let us know what you decide, and how it goes.

Penguino

OP some good points above. Also remember that your rental income will be taxed, with all the new levies etc this can be significant.

This aside, I would agree on renting your original house for a year and then reassessing the situation. You can also get possession of it back if you are selling it even though there is a rental lease in place

djimi

Penguino wrote: »

You can also get possession of it back if you are selling it even though there is a rental lease in place

This is questionable, even if written into the lease.

Penguino

You can take possession of it back if selling, renovating or moving back in. However based on the length of the time the tenancy has been in place you need to give the tenants certain notice periods.

djimi

Penguino wrote: »

You can take possession of it back if selling, renovating or moving back in. However based on the length of the time the tenancy has been in place you need to give the tenants certain notice periods.

Thats not what Threshold seem to think (they are of the opinion that a fixed term lease is just that, and nothing short of antisocial behaviour or non-payment of rent can allow the landlord to break the lease), but this has been debated on here before and nobody seems to have a definitive answer either way, nor does it appear to have been tested at a PRTB hearing.

Penguino

I don't fancy a big debate on it either just reading from the Residential Tenancies Act 2004

gomamochi1

Thanks for all the insightful suggestions and info. Don't fancy being a landlord for a few years so have decided to lash her up on the market and see how it goes. Lot of interest and have an offer already for the asking before the official viewing so that's a good sign so far! The oh is not keen to hold onto it for a year due to concerns of house prices falling and risk of renting but sure still waiting for job to come through so will be playing it by ear! Thanks folks!

The_Conductor

Penguino wrote: »

I don't fancy a big debate on it either just reading from the Residential Tenancies Act 2004

The Residential Tenancies Act primarily deals with Part 4 tenancies (though obviously all of its provisions also apply to a fixed term lease too- a fixed term lease is in addition to the provisions of the 2004 Act, not a substitute for them, and cannot legally be used as a mechanism to confer lesser rights on a tenant).

If a tenant has a fixed term lease- it is a legally binding agreement between he (or she) and the landlord. They cannot be evicted (willingly or otherwise) unless there are specific break clauses in the lease, and even then, the break clauses must be fully in keeping with the terms of the 2004 Act.

You can't decide that you want to live in your house again- adios tenants. You have to follow the process defined in the lease- and in the Act- to the letter, and even then, if the tenant decides they don't want to leave- then you have to file eviction processes- and potentially take a case to the PRTB- which may take a few months, a year or even longer- have a read on some people's experiences in this forum.

I'm not trying to discourage the OP- simply point out- there are rules that have to be followed- and signing a lease does not give the tenant lesser rights than in the 2004 Act- under any circumstances- however, neglecting to cater for eventualities, may mean you're stuck with the lease- even if as landlord you would have had grounds for ending the tenancy under the 2004 Act.

Its stacked in favour of the tenant- they get the best of both worlds- and there is a presumption that they need protection from their landlord. If you get caught on the wrong side in all of this- you're screwed.

Penguino

[QUOTE=Its stacked in favour of the tenant- they get the best of both worlds- and there is a presumption that they need protection from their landlord. If you get caught on the wrong side in all of this- you're screwed.[/QUOTE]

Couldn't agree more

Idbatterim

I would definetly rent it out! the prices in dublin 14 have shot up quite a bit in the past year. there is a massive shortage of property in the area, I live there and pretty much everything is either sold or sale agreed. The way I think people were shafted with prices on the way up, people can equally shaft themselves now if they sell, look at the prices 1 / 2 years ago in the area, compared to now...

gomamochi1

I hear ya about prices rising on the past year or so just concerned that they possibly can't keep rising like they did during the crazy years due to a lot of stuff previously mentioned I. E repos, Nama stock coming online etc and also anxious about being a landlord also with all de pitfalls!

hfallada

gomamochi1 wrote: »

I hear ya about prices rising on the past year or so just concerned that they possibly can't keep rising like they did during the crazy years due to a lot of stuff previously mentioned I. E repos, Nama stock coming online etc and also anxious about being a landlord also with all de pitfalls!

Nama stock tends in be in the outer suburbs like lucan, blanchardstown or swords and not mature areas like Dublin 14. So i wouldnt worry about house prices falling. Generally landlords don't have issues 95% of the time. You just need to screen your tenants carefully. If someone seems slightly off, don't take them. Generally a respectable professional family should be no issue at all. Most tenants cause zero problems particularly non nationals like brazilians, Italians and French

The Spider

Absolutely rent it out, you'd be mad not to properties in Dublin 14 are going to be like hens teeth, rents are on the up, so after a year you can more than likely raise the rent, and have decent income, you'll more than likely get more rent than the mortgage if not this year then definitley next year.

Lot of high value jobs coming into Dublin at the moment, loads of big IT companies are targeting Ireland and Dublin in particular, so the salaries are there to pay the rent.