Using equity in house

aido79

I purchased a house earlier this year which was incomplete and hope to have it finished by the end of the year. A similar house in the same estate recently went on sale for €160,000 so I'm going to assume that that is roughly what mine will be worth when it is completed. I don't have a mortgage on this house and currently live abroad so I intend to rent it out. I have been thinking about using the equity in the house to invest in something else, possibly another property but open to any opinions offered. I'm not sure if it is even possible to do this so any info would be appreciated.

tommylimerick

is this essentially a question on gearing ?
you want the bank to release funds to you for another investment on the strength of the property ?
this was what was being sold during the tiger
first things first I think , get the house finished and rented out
sweat the assett
after a couple of years maybe buy another one

aido79

tommylimerick wrote: »

is this essentially a question on gearing ?
you want the bank to release funds to you for another investment on the strength of the property ?
this was what was being sold during the tiger
first things first I think , get the house finished and rented out
sweat the assett
after a couple of years maybe buy another one

yeah that's what I'm talking about. I have never had a mortgage on this house so that's why I wondered if it was possible to get money from a bank on the strength of the property.
What do you mean by sweat the asset?

tommylimerick

sweat the asset just means to make as much money off something as you can
not really apply here
I reckon your best shot is to first finish the house then get it rented
you will be making nice income from that
the banks as far as I am aware are only giving loans to first time buyers with good jobs
and a decent deposit but they might start lending to landlords again but not for a while

godtabh

aido79 wrote: »

yeah that's what I'm talking about. I have never had a mortgage on this house so that's why I wondered if it was possible to get money from a bank on the strength of the property.
What do you mean by sweat the asset?

You might be able to release equity but probably not as much as you would expect. I'd say if you got 50% you'd be lucky.

tommylimerick

I have some land ,do you think the bank would give me money to play the stock market on the strength of it ?

robp

tommylimerick wrote: »

I have some land ,do you think the bank would give me money to play the stock market on the strength of it ?

I am pretty sure you should only invest in stocks what is already yours.

The Dagda

tommylimerick wrote: »

I have some land ,do you think the bank would give me money to play the stock market on the strength of it ?

You have a mortgage free house and some land?

You seem to be doing ok, so keep doing what you're doing.

Investing 101 - Stick to what you know.

tommylimerick

but not bricks and mortar
if I want to sell my future labour better be something that goes up ,
wouldn't you agree
regardless of which side you butter your bread as a investment you need to make cash
gearing is brilliant in a rising market
tomorrow I can buy a percentage of the price of gold so I will be buying something I never own
or at least a stake in it
pure shortsightness from the bank I reckon