voluntary wrote: » CSO stats would cater for that. They publish adjusted figures.
voluntary wrote: » beaz2018 wrote: » Are you assuming that every house in Dublin has gone down in value by this amount based on a CSO headline % number? Surely certain areas will improve/fall in price over time quicker/slower than others depending on a number of factors. It's more a theretical and statistics/average/trend/sentimets based consideration. But that's how trends are being established. When prices decrease over a period of time, it's more likely that they will keep decreasing as potential buyers hold off. There's the lower cost aspect associated with delayed purchase. When prices go up, they're likely to continue going up, as there's this 'missing the train' aspect of a purchase and higher cost associated with a purchase delay.
beaz2018 wrote: » Are you assuming that every house in Dublin has gone down in value by this amount based on a CSO headline % number? Surely certain areas will improve/fall in price over time quicker/slower than others depending on a number of factors.
voluntary wrote: » The key thing is, nobody should be forced into purchasing a property to live in for life if he's not settled yet in one place for good. The current situation with rents reaching extreme levels is doing just that - forcing people to buy (and get stuck). This can't end up well and many current buyers will lose out on career oportunities and/or relocation options or even personal live choices.
Rex Disgusting Tariff wrote: » Why can't someone who buys a home sell a home ?
Mickiemcfist wrote: » Ok replying in order 1) 40k deposit is under 100 a month on a 400k home spread over the length if you want to add that 2) 30/35 years of paying mortgage vs paying rent until you die 3) True 4) House prices typically fall & rise together, so the house you'd be moving to would also be comparitavely cheaper, so there's little transactional difference 5) Nobody has suggested that, however looking at the last recession I'd much rather have been a homeowner than a tenant, homeowners seem to be immune from eviction Even assuming the same monthly cost to rent vs buy, its a choice between renting forever, or paying a fixed amount over 35 years which eventually finishes, there's very little pro's in the rent forever column.
cruizer101 wrote: » Think you have you calculations a bit off on this one with current interest rates. A 300k mortgage @2.6% will have repayment of 1,200 which in first month is 650 interest and 550 capital by 4 years in you are payment more off the capital than you are in interest. Interest is a big expense alright but its far off paying interest only initially.
lcwill wrote: » Another important factor is that rent is going to tick up with inflation, while your mortgage repayment will not. So in 35 years the mortgage payment will seem pretty small, while rent will continue to eat up a similar percentage of your income forever.
voluntary wrote: » I see you mentioned the inflation. The interest rates are correlated with inflation in a long run.
voluntary wrote: I see you mentioned the inflation. The interest rates are correlated with inflation in a long run.
airportgirl83 wrote: » How many square meters is ideal for 2 people in late 30s, no kids? Is it a crazy idea to be looking at 4 bed houses? We are torn between buying a cheaper 3 bed house 300-350k (mortgage 700pm) and pay it off quicker or 4 bedroom little bit outside of Dublin for around 450k (mortgage 1.1k) with loads of space. We will be looking to work less (4 days) and travel more in the next 10-15 years. We will need extra room for parents to visits. Think our search is getting out of control. I know that we are looking at houses that are possibly way to big for us but we are scared of being stuck in an unsuitable house like many during the recession. In the normal property market, we would go for a smaller house, sell if needed in the future and get sth else but that's not the case here.
Doop wrote: » I would probably say get the biggest and best you can afford/mortgage will allow. Your salary's are likely to increase over time so you will become more comfortable on the repayments as time goes on.... #my2c
Doop wrote: » airportgirl83 wrote: » How many square meters is ideal for 2 people in late 30s, no kids? Is it a crazy idea to be looking at 4 bed houses? We are torn between buying a cheaper 3 bed house 300-350k (mortgage 700pm) and pay it off quicker or 4 bedroom little bit outside of Dublin for around 450k (mortgage 1.1k) with loads of space. We will be looking to work less (4 days) and travel more in the next 10-15 years. We will need extra room for parents to visits. Think our search is getting out of control. I know that we are looking at houses that are possibly way to big for us but we are scared of being stuck in an unsuitable house like many during the recession. In the normal property market, we would go for a smaller house, sell if needed in the future and get sth else but that's not the case here. I wouldnt say its crazy to look at a 4 bed... do you ever plan on having a family? We just bought a small 3 bed my partner and I will not have children, downstairs is open plan and 1 bedroom is already given over to a desk/study with no room for a bed, so effectively we only have one spare room for guests which is fine, but slightly limiting too. That said we moved from a 1bed apt so were happy! I would probably say get the biggest and best you can afford/mortgage will allow. Your salary's are likely to increase over time so you will become more comfortable on the repayments as time goes on.... #my2c
voluntary wrote: » Doop wrote: » I would probably say get the biggest and best you can afford/mortgage will allow. Your salary's are likely to increase over time so you will become more comfortable on the repayments as time goes on.... #my2c I used to live in a large 4/5 bed house for a while, BER C1 so not that bad. The heating bills were killing us thought. It gets expensive to run a large house so unless you're going for an A rated one then think twice. The purchase price is only a start of your spending jurney.
PokeHerKing wrote: » They are correlated but a rise in interest rates tends to cause deflation as people spend less. Low interest rates tend to cause inflation due to people borrowing and spending more.
airportgirl83 wrote: » Yes, looking at new A rated houses with heat to water pump. Gave up a bit on 2nd hand houses at this stage.
Jaster Rogue wrote: » airportgirl83 wrote: » Yes, looking at new A rated houses with heat to water pump. Gave up a bit on 2nd hand houses at this stage. There are disadvantages to new builds you need to consider also. Annual management fees (that can rise any time), minimum 10% social housing in the estate, parking issues, no front gardens, small back gardens, not yet established neighbourhoods (+less proximity to good schools, public transport, parks, facilities, etc), living on a construction site for the first few years. There's additional costs you need to consider also like flooring (can cost 5k for decent flooring on a standard 3 bed semi).
Jaster Rogue wrote: » There are disadvantages to new builds you need to consider also. Annual management fees (that can rise any time), minimum 10% social housing in the estate, parking issues, no front gardens, small back gardens, not yet established neighbourhoods (+less proximity to good schools, public transport, parks, facilities, etc), living on a construction site for the first few years. There's additional costs you need to consider also like flooring (can cost 5k for decent flooring on a standard 3 bed semi).
lcwill wrote: » Another important factor is that rent is going to tick up with inflation, while your mortgage repayment will not.
voluntary wrote: Interest rates trail the inflation, not the vice versa. Interest rates are decided post-factum and take recent inflation into consideration (as well as forcasts). The higher the inflation recorded, the higher the rates are likely to be set. Generally a target inflation is somthing about 3%, so whenever the inflation goes above that level expect interest rates to move sharply up to prevent hiper inflation.
voluntary wrote: I'm not speculating whether or when the inflation will move up or down. Just pointing to the fact, that mortgage monthly repayments will change when this happens.
airportgirl83 wrote: » Thanks for that. We might have one child but I'd say it's unlikely at this stage as we are both in late 30s and more interested in our hobbies and seeing the world tbh I get what you are saying about an office. We both do good bit on our computers so one room will have to be an office with double desk space.
beaz2018 wrote: » airportgirl83 wrote: » How many square meters is ideal for 2 people in late 30s, no kids? Is it a crazy idea to be looking at 4 bed houses? We are torn between buying a cheaper 3 bed house 300-350k (mortgage 700pm) and pay it off quicker or 4 bedroom little bit outside of Dublin for around 450k (mortgage 1.1k) with loads of space. We will be looking to work less (4 days) and travel more in the next 10-15 years. We will need extra room for parents to visits. Think our search is getting out of control. I know that we are looking at houses that are possibly way to big for us but we are scared of being stuck in an unsuitable house like many during the recession. In the normal property market, we would go for a smaller house, sell if needed in the future and get sth else but that's not the case here. If I had no kids and no plan to have them, Id choose a nicer 3 bed over a 4 bed. A better kitchen/living area will be more worth it than an extra bedroom lying empty most of the time.
awec wrote: » Not all new builds have management fees.
Jaster Rogue wrote: » awec wrote: » Not all new builds have management fees. Can you name one development that doesn't? Not doubting you, just not something I've personally seen. Not in Dublin or surrounding counties anyway.
airportgirl83 wrote: » No management fees: Hamilton Park Castleknock
Jaster Rogue wrote: » Can you name one development that doesn't? Not doubting you, just not something I've personally seen. Not in Dublin or surrounding counties anyway.
Samuel T. Cogley wrote: » If you're not in a position to save at a given rent you're not in a position to take a mortgage at that same level,
