Insane rent rates on property in Dublin!

PullMyFinger!

Just looking here at DAFT.ie and I would have thought with the student season winding down to find something a bit more reasonable but its still crazy! Has anyone found a bargain lately and where? 200 euros a week for somewhere I like says it all about the greed of landlords lately.

azezil

200 a week! where you trying to live, Blackrock in a penthouse appartment

I was looking at it earlier, some reasonable rates on double rooms, circa €350 a month, but about 5 - 7 miles from City Centre.

landser

try buying a gaff and paying a mortgage, which i hope to do in the next few weeks.

if anything rents have come down in the last couple of years.

in 2001/02, i was paying €1.69 psqm pm for a dingy flat in clontarf. now i'm pay €1 psqm pm for an architect designed house in killester, a mile away, and my rent hasn't increased since 2003.

PullMyFinger!

azezil wrote:

200 a week! where you trying to live, Blackrock in a penthouse appartment

I was looking at it earlier, some reasonable rates on double rooms, circa €350 a month, but about 5 - 7 miles from City Centre.

Must have been a bedsit!

Mohanned

In the blanch its not expensive

RuggieBear

i'm paying 950 to live in a one bedder in d2 :eek: .....i can walk everywhere and if i feel lazy my taxi is rarely over 6e.

Myself and girlie save a fortune in time and travel expenses...

PullMyFinger!

Mohanned wrote:

In the blanch its not expensive

http://www.daft.ie/searchrental.daft?s%5Bcc_id%5D=ct1&s%5Ba_id%5D%5B%5D=189&s%5Bmnp%5D=&s%5Bmxp%5D=&s%5Bbd_no%5D=1&s%5Bpt_id%5D=&s%5Bmove_in_date%5D=0&s%5Blease%5D=&s%5Bfurn%5D=1&search=Search+%BB&tab=1&s%5Bsearch_type%5D=area

My mate has pulled out of doing this with me (2 bedroom) hence the expense

PullMyFinger!

landser wrote:

try buying a gaff and paying a mortgage, which i hope to do in the next few weeks.

I know I'll have to do it eventually but does the thought of a 30 year loan hanging over your head scare the bejaysus out of anyone else?

azezil

Ah a place by yourself, well that's different... I'd be looking to share :P

seamus

€850 a month is what you pay for your privacy.

On the other hand, you could get a €200,000 loan and buy your own 1 bed apartment for €850 a month.

Sleipnir

PullMyFinger! wrote:

I know I'll have to do it eventually but does the thought of a 30 year loan hanging over your head scare the bejaysus out of anyone else?

Not when you remember that as a renter, you're paying off someone elses 30 year loan for them!

Velvet Vocals

RuggieBear wrote:

i'm paying 950 to live in a one bedder in d2 :eek: .....i can walk everywhere and if i feel lazy my taxi is rarely over 6e.

Myself and girlie save a fortune in time and travel expenses...

I pay 1000 to live in a beautiful two bedroom apartment in Dub3 - I can also walk anywhere, taxi's are about €8 - 10 and we have an excellent bus service that actually comes ever 10 minutes without fail.

RuggieBear

Saint Something wrote:

I pay 1000 to live in a beautiful two bedroom apartment in Dub3 - I can also walk anywhere, taxi's are about €8 - 10 and we have an excellent bus service that actually comes ever 10 minutes without fail.

Sweet!
tbh i reckon it is worth paying the premium to avoid commuting. i commuted from bray to dublin for over 14years on the Dart or bus....i just got sick of it (an hour each way every day) and being forced to crash at mates if i went out as the taxi would always be over £45 (if the ****er would take you).

Neuro

PullMyFinger! wrote:

200 euros a week for somewhere I like says it all about the greed of landlords lately.

I have just three words for you:

Supply and Demand.

Velvet Vocals

landser wrote:

try buying a gaff and paying a mortgage, which i hope to do in the next few weeks.

if anything rents have come down in the last couple of years.

in 2001/02, i was paying €1.69 psqm pm for a dingy flat in clontarf. now i'm pay €1 psqm pm for an architect designed house in killester, a mile away, and my rent hasn't increased since 2003.

I have to say, while that sounds great and everything, I'm really fine with paying rent. I look on it as a service, I pay money to someone and I get to live in a beautiful place. I don't have to worry about any house owner stuff because I'm not a house owner, if I want to move, it's no biggie, I just do it. Eventually I will buy of course, but I'm very,very fussy. I'm not going to buy just to get "my foot on the ladder" I'm so sick of people saying that to me. I just feel so much freer with no mortgage. I know it would be just be a case of renting the house/apartment out if I owned it and I wanted to up sticks for a while... but then someone else would be living in my space... know what I mean.
Nope, I think renting is great, I certainly don't consider it "dead money" That's another thing people keep saying. How could it be dead money, your paying to live somewhere, that's like saying that paying your bill after you stay in a hotel is dead money or paying a cleaner after they have cleaned your place is dead money. They're all just services we have to pay for..... anyway, that's my rant over and done with

PullMyFinger!

Neuro wrote:

I have just three words for you:

Supply and Demand.

or 3 more

Time to emigrate

D!ve^Bomb!

Saint Something wrote:

I have to say, while that sounds great and everything, I'm really fine with paying rent. I look on it as a service, I pay money to someone and I get to live in a beautiful place. I don't have to worry about any house owner stuff because I'm not a house owner, if I want to move, it's no biggie, I just do it. Eventually I will buy of course, but I'm very,very fussy. I'm not going to buy just to get "my foot on the ladder" I'm so sick of people saying that to me. I just feel so much freer with no mortgage. I know it would be just be a case of renting the house/apartment out if I owned it and I wanted to up sticks for a while... but then someone else would be living in my space... know what I mean.
Nope, I think renting is great, I certainly don't consider it "dead money" That's another thing people keep saying. How could it be dead money, your paying to live somewhere, that's like saying that paying your bill after you stay in a hotel is dead money or paying a cleaner after they have cleaned your place is dead money. They're all just services we have to pay for..... anyway, that's my rant over and done with

yeah but you're payin money to someone else, and at the end of the day you gain nothin from it, at least if you were payin a mortgage(basically payin rent on your own house) then at the least the house WILL be yours in the long run!

as far as i see it you're wastin your money at the moment..

by the by, how does one go about getting a loan of this size?? i heard the bank will give you 10 times what you earn but you have to pay 10% upfront?

is it too much for little old me to look into buying a house on my own? let's say a 250,000 house.. how much would that be per month?

lomb

D!ve^Bomb! wrote:

as far as i see it you're wastin your money at the moment..

u are not, u are getting the use of an asset, and in return u are paying rent. if u want to live there forever buy now, wheras if its a temporary gig, rent.

Sleepy

I'm sharing a place with 4 others in Foxrock for €287 a month, sure I've a small single room and once a month or so I'll have to wait to use the shower but I'm living with a really good bunch of people and having the craic with them and the rents cheap for Dublin so I'm laughin' really

Third_Echelon

Im paying 550 a month for a room in Temple Bar. I share the apartment with 2 others. I have a big enough bedroom with double bed etc

Living in the city centre is pretty handy for everything really. I get the bus to work (work in citywest, no way would i live there), cinemas, pubs, parks, gyms, shops etc are all really close.... I haven't got a taxi in months.....

Of course I wouldn't mind paying less rent, but i reckon if i was living in the suburbs that my other costs would go up, such as transport etc, so i think it balances out really in the long run.

I dont know how much longer ill live in the city centre, but for the meantime its fine for me. Maybe in a year or so I'll consider moving....

0utshined

PullMyFinger! wrote:

I know I'll have to do it eventually but does the thought of a 30 year loan hanging over your head scare the bejaysus out of anyone else?

It's kinda scary but consider that unless you can live rent free somewhere you'll have to pay rent/mortgage every month. For me the mortgage is the less scary option. YMMV.

Neuro

Saint Something wrote:

Nope, I think renting is great, I certainly don't consider it "dead money" That's another thing people keep saying. How could it be dead money, your paying to live somewhere, that's like saying that paying your bill after you stay in a hotel is dead money or paying a cleaner after they have cleaned your place is dead money. They're all just services we have to pay for..... anyway, that's my rant over and done with

Some people are very eager to enter the property market, regardless of the cost, so they can get a foot on the property ladder. Don't worry about spending so-called "dead money". In a few years time you will probably be able to retort with two words of your own: "negative equity".

jesus_thats_gre

Its great, pay a mortgage for 30 or 40 years and die within 5 or 10 years of having it paid off..

vibe666

Neuro wrote:

"negative equity".

what do you think paying someone elses mortgage for them is? positive equity?

seriously though, if I'd been in a position to get a mortgage when i got here almost 3 years ago and bought a house for €200k back then, not only could I have paid 30k off my own mortgage instead of my landlords mortgage by now, but the property would have gained 15-20% in value, or possibly more depending on where i bought. how is that "negative equity"?

PullMyFinger!

Do rates usually come down in May when the students go back home to mammy? The amount of building going on in Dublin is incredible, surely we're due a drop in rates soon.

jesus_thats_gre

vibe666 wrote:

what do you think paying someone elses mortgage for them is? positive equity?

seriously though, if I'd been in a position to get a mortgage when i got here almost 3 years ago and bought a house for €200k back then, not only could I have paid 30k off my own mortgage instead of my landlords mortgage by now, but the property would have gained 15-20% in value, or possibly more depending on where i bought. how is that "negative equity"?

You are missing the point. the majority of financial analysts/commentators are speculating that the housing market is gonna drop off over the next few years.. It may not happen, but if it does, alot of people are going to be in difficult positions.. You are talking about the last 3 years but your mortgage would likely be over 30 years.. What is going to happen over those other 27 long years.. Anything..

On top of that, because property prices are ridiculously high and people are getting themselves into a stupid amount of debt, the market will likely take a turn for the worse.. It just isn't sustainable. If it doesn't go bad, it will just even out..

Third_Echelon

PullMyFinger! wrote:

Do rates usually come down in May when the students go back home to mammy? The amount of building going on in Dublin is incredible, surely we're due a drop in rates soon.

In one word. No.

They are building loads, because the demand is there for more and better accomodation. I can't see rents going down myself, perhaps staying the same... who knows.. there are lots of greedy landlords out there

lomb

jesus_thats_gre wrote:

You are missing the point. the majority of financial analysts/commentators are speculating that the housing market is gonna drop off over the next few years.. It may not happen, but if it does, alot of people are going to be in difficult positions.. You are talking about the last 3 years but your mortgage would likely be over 30 years.. What is going to happen over those other 27 long years.. Anything..

On top of that, because property prices are ridiculously high and people are getting themselves into a stupid amount of debt, the market will likely take a turn for the worse.. It just isn't sustainable. If it doesn't go bad, it will just even out..

I dont see how having 15 or 20 grands worth of negative equity is a problem, u are still going to be paying a mortgage, and if u suspect rates are going up fix it for 5 years. its best to buy as soon as possible but do buy a good property. ie dont buy an apartment in a suberb like clondalkin, buy a house. that sort of thing.

Boggle

I seriously don't know how ye can manage it in Dublandpaying such high rents. I'm renting a new appartment in Raheen (lk) and am paying only 200pm.

You are missing the point. the majority of financial analysts/commentators are speculating that the housing market is gonna drop off over the next few years.. It may not happen, but if it does, alot of people are going to be in difficult positions.. You are talking about the last 3 years but your mortgage would likely be over 30 years.. What is going to happen over those other 27 long years.. Anything..

This is a sticky issue - the amount of people that will find themselves up sh1t-creek if this happens is unfortunate but with the banks being put under pressure to limit lending (nations debts too high) coupled with the fact that supply is currently outstripping demand (if waht I hear is correct) then there's only one way it can go in the long run...

Peteee

I'm in blackrock (8 mins walk from work, priceless) payin 360 a month sharing with 6 other fellas, havin a fairly good craic. Rooms small, but all i use it for is computer, reading and sleeping.

MorningStar

The negative equity situation is a possibility but it has been a long time since a house in Dublin and probably Ireland just went into negative equity.

Anaylist have been saying for 10 years house prices will crash. I waited for 3 years before buying a house and saw my options disapear. I would probably have a house with 60%-70% if I had bought earlier. Current I have 23% so house prices need to drop that much before I go into negative equity.

While rent will be market driven mortgages are less sensitive to market forces. The rate can and will go up but that also effects rent. Rent will increase and mortgages effectively stay the same over time. If rent is 50% of your living expenses it will probably stay that way and by the time you retire your income will be less so your rent will be a higher protion of your income.

If I was 20 I don't think I'd worry about this stuff but if I was 30 I'd be nervous, 40 I'd be scared and 50 I'd sh*t myself and 60 you would be worried about what age you are going to work to and guessing till death

PullMyFinger!

So by the looks of things we can forget the adage that "property doubles in value every 10 years"

okidoki987

You have to remember one VERY important point in all the talk about property crashes etc.
THE EURO.
As we are now members of the Euro, interest rates are set by the European Central Bank and the muppets (apologies to Kermitt) in Dame Street have no say any more in what happens to rates as the rest of Europe doesn't care about us only their own economies.
So interest (mortgage) rates will NOT rise by the % increases we have seen when we had an Irish Pound!
They will only drift up (or down) by 1/4% (maybe 1/2%).
If the EURO/USDollar exchange rate stays around 1.3000 or higher, there will be no increase in interest rates!
If we still had the Irish pound and were not members of the Euro, we would interest rates of around 7% and the housing market would not be increasing by the rates it has been.

Neuro

MorningStar wrote:

Current I have 23% so house prices need to drop that much before I go into negative equity.

Not necessarily. Inflation in Ireland is currently running at 2.2% annually. The price of your house has to appreciate by at least 2.2% per annum simply to maintain its current value.

MorningStar

Neuro wrote:

Not necessarily. Inflation in Ireland is currently running at 2.2% annually. The value of your house has to appreciate in value by at least 2.2% per annum simply to maintain its current value.

You need to understand economics a bit more than that and the calculation that gives you inflation figures.
Look at this way do you think a loaf of bread is getting so expensive it will cost the same as house? :eek:

PullMyFinger!

Third_Echelon wrote:

there are lots of greedy landlords out there

And they seem to be operating like bar owners in a cartel manner :rolleyes:

iguana

D!ve^Bomb! wrote:

by the by, how does one go about getting a loan of this size?? i heard the bank will give you 10 times what you earn but you have to pay 10% upfront?

is it too much for little old me to look into buying a house on my own? let's say a 250,000 house.. how much would that be per month?

I've never heard of a bank offering 10 times a salary before. I think about 5 times is the most I've heard. Then again if you are buying something with an additional bedroom and are planning to rent it they will take your rental income into account. look at myhome.ie to see what is out there. You'd get a 2 bedroom place in somewhere such as cabra for that price.

Then check mortgages.ie which has a couple of good mortgage calculators. Check out the repayment calculators 1st. It lets you play around with different term mortgages and what happens if you can increase your payments or if the interest rates change.

Just do lots of research about where to buy, look for something where prices have increased nearby, something that needs decorating as you can add up to 10 times the decorating costs to your properties value if you do it well, or something on a new bus route. That way you can best avoid negative equity. And if prices come down in the next few years, they will go up again all you have to do is hold on.

Ok, sorry that was off the original topic. Myself and my partner rent a 2 bedroom place in Ranelagh for €900pm. It also has a small garden. There are good rental places out there if you keep looking. We had to look at a lot of dumps in order to find this place.

But I can't wait to get out of here. We were going to buy a 3bed house with a huge garden on Sundrive rd last year which would have cost us the same monthly. The deal fell through at the last minute. Now we are buying a house in London where we are moving in the summer. We will pay less on the mortgage there than we would on the rent of a smaller place and if we stay there it will be paid off when we are in our 40's. I Seriously hope I will live for more than 5-10 years after that and if I don't I will be leaving an enormous amount to my family.

And if we want to leave London we can always rent the house out in order to cover our mortgage payments. Or sell it and use the equity to buy something else. My partner and I have paid €27,000 in rent in the last 2 and a half years. That is a ridiculous amount of money which I can never, ever get back. If I had been paying it off a mortgage it would be my money if I wanted to sell the house.

seamus

iguana wrote:

I've never heard of a bank offering 10 times a salary before. I think about 5 times is the most I've heard.

The bank will give you whatever the hell you want as long as you can show them they will get it back with interest. There's no limit on the amount a bank can loan someone for a mortgage.

0utshined

seamus wrote:

The bank will give you whatever the hell you want as long as you can show them they will get it back with interest. There's no limit on the amount a bank can loan someone for a mortgage.

That's pretty much the way it is. They used to base it on a multiple of salary but it's more common now for them to look at your repayment capacity and calculate the mortgage amount by looking at repayments as a % of your take home pay.

PullMyFinger!

D!ve^Bomb! wrote:

let's say a 250,000 house.. how much would that be per month?

http://www.daft.ie/searchsale.daft?search=Search+%BB&s[cc_id]=ct1&s[a_id][0]=&s[mnp]=&s[mxp]=250000&s[pt_id]=&s[bd_no]=&s[search_type]=area&s[sort_by]=price&s[sort_type]=a&offset=280&search_type=sale&id=21647#f

about 892 euros

PullMyFinger!

That link aint gonna work, try http://www.simplymortgages.ie/

PullMyFinger!

Anyone got alternatives to Daft.ie?

PullMyFinger!

Found myhome.ie (to answer my own question )

PullMyFinger!

Feel free to move this to Accomedation/Property.

In the past 3 months 3 mates have all moved back home cos they cant afford to rent, they would be on a good to very good annual income yet they have decided to go back home to mammy.

Is it time for an uprising against Landlords? If people dont pay the crazy rates they want they'll be forced to drop to a more reasonable price.

Sarn

seamus wrote:

The bank will give you whatever the hell you want as long as you can show them they will get it back with interest. There's no limit on the amount a bank can loan someone for a mortgage.

Can you tell me which banks you're going to?

I've been to several financial institutions and they all give me back the same answer, essentially just over 5 times my salary. As far as I'm aware the ones I went to are reluctant to give a loan where repayments are greater than 35 - 40% of your take home pay. When you take stress-testing into account (theoretical what if rates increased by 2% could you handle the increased monthly repayments) this will influence how much they're going to give. Obviously if you have someone to go guarantor you can increase how much you get.

The thing is sometimes renting is the only option, while you might easily be able to make the mortgage repayments on €200,000 (say €850 a month, 35 year term), you might not be able to find a property at this price in Dublin (in a location that will save on commuting time and expense). If you decide to go the rental route you can pick and choose the location according to price and walk away if needs be.

I'm in a situation where I want to own my own place but the amount of money I can get my hands on limits my options. Renting is expensive for a one bed place, same as a mortgage, but the rental location is seriously better than where I could buy.

gurramok

In regard to house prices, the vast numbers of immigrants are renters also.
Most of these are from eastern europe, once their home country's economies pick up to the EU average, they'll return home leaving a rental crisis as the native Irish population does not have the capacity to fill the gap.
Give it a few years and landlords will be screaming for tenants

Supercell

I always wonder about the people that talk about rent not as being dead money..well to me this is just the point..

I reckon by the time i'm ready to retire the average retirement age will be probably 70-75 (currently you can get mortgages to 70 years of age instead of the old 65 ..that suprised me).

So ..i rent till i'm 70'ish ..what happens then if i retire??..i'm no longer earning an income and still have to pay rent?. Do i live in some horrible govt funded shiiitehole with the rest of the populace that never became landowners or had kids to move in with ?

No_fookin_thank_you!!

I will own my own place..when i become an old fart..if needed i'll sell my overpriced Irish house and move to the south of france into a property about 50% cost of the Dublin one and play bowls with the other old farts on those cold 17c January nights!!...

Anyone that says rent all your life is taking a shortsighted view imho..retirement is a time in our lives that is becoming a longer and longer timespan with medical advancements..not planning for this right now is bloody shortsighted imho.

Third_Echelon

PullMyFinger! wrote:

Feel free to move this to Accomedation/Property.

In the past 3 months 3 mates have all moved back home cos they cant afford to rent, they would be on a good to very good annual income yet they have decided to go back home to mammy.

Is it time for an uprising against Landlords? If people dont pay the crazy rates they want they'll be forced to drop to a more reasonable price.

Sounds like they are bad at budgeting. If they have good jobs, they can afford rent no problem. To me it sounds like they want that extra 300 -> 500 quid to spend on something else....
I like my family etc, but there is no way I would move home after 7 years living away from home... not a chance...