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What would you do with €130K in savings as a 30 year old?

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    #32
    Atlas_IRL
    Registered Users Posts: 1,857 ✭✭✭Atlas_IRL


    property & pension


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    #33
    2012paddy2012
    Registered Users Posts: 2,880 ✭✭✭2012paddy2012


    facehugger99 wrote: »
    Go to Vegas and put it all on black (or maybe red).

    Win or lose, you'll have a great dinner party anecdote for years to come.

    Silly reply to a genuine question


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    #34
    billyhead
    Registered Users Posts: 9,672 ✭✭✭billyhead


    Why don't you invest in An Post State Saving products. Although the interest rate has decreased they still have the best returns if you leave the investment in long term.


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    #35
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    Evan White Car wrote: »
    I worked in personal insolvency and bankruptcy. The amount of people who made investments and stupid decisions unquestioningly because they just blindly followed the advice of people who were "qualified" or "experts" (and I'm not talking about Eddie Hobbs!) who must know best even if they personally didn't think it sounded great was staggering (and sad).

    My parents nearing retirement in the mid-2000's were advised by a certain "money doctor" to draw down 40k mortgage top-up. My parents asked, why, and he gave some vague reason to "have fun, buy a nice car, travel a bit and enjoy life" as they were getting older. He also encouraged them to invest in some properties in foreign countries that they had barely even heard of let along visited.

    The went away and thought about it and they realised they were quite content with the existing mid-market car and the usual mid-market holidays. A few months later the market went belly up. I am really glad I have parents who question the received wisdom from supposed "experts".


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    #36
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    facehugger99 wrote: »
    Go to Vegas and put it all on black (or maybe red).

    Win or lose, you'll have a great dinner party anecdote for years to come.

    Will it be a great anecdote? Or will it be a brief amusement, and the main takeaway people will have is "what a gobsh1te that guy must be"?


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    #37
    Jimbobjoeyman
    Registered Users Posts: 807 ✭✭✭Jimbobjoeyman


    Deleted User wrote: »
    My parents nearing retirement in the mid-2000's were advised by a certain "money doctor" to draw down 40k mortgage top-up. My parents asked, why, and he gave some vague reason to "have fun, buy a nice car, travel a bit and enjoy life" as they were getting older. He also encouraged them to invest in some properties in foreign countries that they had barely even heard of let along visited.

    The went away and thought about it and they realised they were quite content with the existing mid-market car and the usual mid-market holidays. A few months later the market went belly up. I am really glad I have parents who question the received wisdom from supposed "experts".

    One of my neighbours sold his farm a the height of the celtic tiger and was advised to invest the whole lot in anglo by his adviser.
    Great investment :rolleyes:

    Granted nobody could have known what was going on in anglo at the time.
    But ffs surely a professional adviser should have been aware of the concept of diversification.


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    #38
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    Jimbobjoeyman wrote: »
    One of my neighbours sold his farm a the height of the celtic tiger and was advised to invest the whole lot in anglo by his adviser.
    Great investment :rolleyes:

    Granted nobody could have known what was going on in anglo at the time.
    But ffs surely a professional adviser should have been aware of the concept of diversification.

    I think they should study the human behaviour over those years they same way they modelled the behaviour of the German population during WW2.

    I remember it in the Celtic Tiger years, the uniformity of thought, the belief that house prices would always rise. It was crazy how the dissenting voices were in such an overwhelming minority.


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    #39
    shakedown
    Registered Users Posts: 203 ✭✭shakedown


    Whatever industry you’re in, I’m sure you recognise that there are some people in the profession that are top class, and others that you wonder how they got the job in the first place.

    Financial advisors are no different, and a good one would educate you on all the different risk/reward options and let you make the choice. A bad one would recommend one specific option.


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    #40
    2012paddy2012
    Registered Users Posts: 2,880 ✭✭✭2012paddy2012


    [Deleted User] wrote: »
    My parents nearing retirement in the mid-2000's were advised by a certain "money doctor" to draw down 40k mortgage top-up. My parents asked, why, and he gave some vague reason to "have fun, buy a nice car, travel a bit and enjoy life" as they were getting older. He also encouraged them to invest in some properties in foreign countries that they had barely even heard of let along visited.

    The went away and thought about it and they realised they were quite content with the existing mid-market car and the usual mid-market holidays. A few months later the market went belly up. I am really glad I have parents who question the received wisdom from supposed "experts".

    I got similar advice from a similar type money doctor - all was available on the net - biggest waste of a fee for me -


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    #41
    Fred Cryton
    Registered Users Posts: 977 ✭✭✭Fred Cryton


    HillCloudHop wrote: »
    I I can't take out a mortgage at the moment as my line of work means it will be at least 5 more years before I'll know where I'm living long-term.

    What would you do?


    I don't understand this. You can still get a mortgage, right? You're just choosing not to. So what if you need to move in 5 years, can't you sell the house?



    Or alternatively you could buy an investment property now with this, rent it out to cover the mortgage, then save up another 100k plus and use that in 5 years to buy another home. Rinse and repeat about 3 more times and retire at 45.


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    #42
    HillCloudHop
    Registered Users Posts: 105 ✭✭HillCloudHop


    Fred Cryton wrote: »
    I don't understand this. You can still get a mortgage, right? You're just choosing not to. So what if you need to move in 5 years, can't you sell the house?



    Or alternatively you could buy an investment property now with this, rent it out to cover the mortgage, then save up another 100k plus and use that in 5 years to buy another home. Rinse and repeat about 3 more times and retire at 45.

    Sorry, I phrased this poorly. I have to move across the country and likely abroad every year for the next 5 years to progress in my career. Would it be a lot of hassle renting a property out and dealing with tenants in this case?


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    #43
    KyussB
    Registered Users Posts: 2,314 ✭✭✭KyussB


    If it's just 5 years OP, it's not going to lose much so don't risk the money, just keep it spread across enough accounts/institutions so that you don't get burned by the deposit guarantee limits, if the banks go tits up - then put it into a home when you settle down.

    Prize bonds is probably the best/safest suggestion.


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    #44
    Timmaay
    Registered Users Posts: 11,394 ✭✭✭✭Timmaay


    HillCloudHop wrote: »
    Sorry, I phrased this poorly. I have to move across the country and likely abroad every year for the next 5 years to progress in my career. Would it be a lot of hassle renting a property out and dealing with tenants in this case?

    Your best bet in this case would be to let an agent fully manage the property for you. Obviously they will take a set fee from you, a months rent, or around 7% if I remember correctly. Personally I don't think I'd be comfortable with lobbing my full savings into the one single illiquid asset however, especially when you usually won't get much more than an 8% return at best, which the stockmarket has roughly averaged the last 20yrs or so.


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    #45
    The J Stands for Jay
    Registered Users Posts: 5,693 ✭✭✭The J Stands for Jay


    Jimbobjoeyman wrote: »
    Plus as mentioned above it's handy enough to pick up with minimum effort so other than for regulatory purposes its hardly worth the paper it's written on.

    The QFA cert is on pretty fancy paper. So it's worth less than the paper it's written on.


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    #46
    Low Energy Eng
    Registered Users Posts: 297 ✭✭Low Energy Eng


    OP do you see the housing market going up or down within the 5 years in the area you want to live?

    I was in a similar position and decided to buy a few years ago so we now "rentvest".

    Glad we did it as the market has risen.


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    #47
    patsy_mccabe
    Registered Users Posts: 10,716 ✭✭✭✭patsy_mccabe


    OP, whatever you do, stay away from cryptocurrencies. Its frightening the amount of people that don't realise they're worthless.

    'When I was a boy we were serfs, slave minded. Anyone who came along and lifted us out of that belittling, I looked on them as Gods.' - Dan Breen



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    #48
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    patsy_mccabe wrote: »
    OP, whatever you do, stay away from cryptocurrencies. Its frightening the amount of people that don't realise they're worthless.


    Well, if you somehow get a bitcoin I'd give you $35k for it.


    Don't be a luddite snob.


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    #49
    patsy_mccabe
    Registered Users Posts: 10,716 ✭✭✭✭patsy_mccabe


    Deleted User wrote: »
    Well, if you somehow get a bitcoin I'd give you $35k for it.


    Don't be a luddite snob.

    Its amazing how offended people get when you criticise crypto? Do you know there are 6000 different cryptocurrencies?

    'When I was a boy we were serfs, slave minded. Anyone who came along and lifted us out of that belittling, I looked on them as Gods.' - Dan Breen



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    #50
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    patsy_mccabe wrote: »
    Its amazing how offended people get when you criticise crypto? Do you know there are 6000 different cryptocurrencies?


    And I have zero and highly unlikely to buy one, but to say they have zero value is clearly wrong.


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    #51
    I see sheep
    Registered Users Posts: 1,681 ✭✭✭I see sheep


    In some ways fair play accumulating that much money at a young age.
    But...

    I hope you haven't wasted your 20s accumulating money rather than enjoying life.
    If you have done, then start enjoying life now while you're still young.
    Leave half the money in the bank and quit your job and travel the world for a few years with the rest.
    When you come back (if you want to come back) you'll get another job.

    There's more to life than a little bit of money, you know. Don'tcha know that?


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    #52
    Jim2007
    Moderators, Business & Finance Moderators Posts: 10,080 Mod ✭✭✭✭Jim2007


    I see sheep wrote: »
    In some ways fair play accumulating that much money at a young age.
    But...

    I hope you haven't wasted your 20s accumulating money rather than enjoying life.
    If you have done, then start enjoying life now while you're still young.
    Leave half the money in the bank and quit your job and travel the world for a few years with the rest.
    When you come back (if you want to come back) you'll get another job.

    There's more to life than a little bit of money, you know. Don'tcha know that?


    Oh dear..... someone who associates enjoying life with blowing their savings...



    Most people who accumulate savings tend to joy life just fine. They travel, see the world etc.... they just don't spend money on the crap the rest of us do.


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    #53
    Davauer
    Banned (with Prison Access) Posts: 27 ✭Davauer


    Buy a house after the prices crash this year
    Also the stock market should crash when government stop pumping money into economy keeping prices high


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    #54
    Timmaay
    Registered Users Posts: 11,394 ✭✭✭✭Timmaay


    Jim2007 wrote: »
    Oh dear..... someone who associates enjoying life with blowing their savings...



    Most people who accumulate savings tend to joy life just fine. They travel, see the world etc.... they just don't spend money on the crap the rest of us do.

    +1 to this. If your a driven person who is happily succeeding in life and making nice money and especially if your also making a valuable contribution to the world, why the hell would you stop.


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    #55
    Mongfinder General
    Registered Users Posts: 1,992 ✭✭✭Mongfinder General


    €130k at 30 years of age. Just keep doing what you’re doing.


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    #56
    markpb
    Registered Users Posts: 9,262 ✭✭✭markpb


    Fred Cryton wrote: »
    I don't understand this. You can still get a mortgage, right? You're just choosing not to. So what if you need to move in 5 years, can't you sell the house?

    You’re ignoring the cost of buying and selling a house, the possibility that house prices will drop in five years so the OP won’t be able to sell when they need to, the flexibility that renting gives them in the short term, the fact that they’ll need a 20% deposit for the second mortgage.
    Or alternatively you could buy an investment property now with this, rent it out to cover the mortgage, then save up another 100k plus and use that in 5 years to buy another home. Rinse and repeat about 3 more times and retire at 45.

    If you’re buying a house to rent, you can’t get a normal residential mortgage, you’ll need a more expensive BTR mortgage. You’ll need to pay RTB fees, agent fees (unless you want to manage it yourself), tax rates (income and PRSI) will be quite high and none of the pre-letting expenses like furniture are tax deductible. If you’re buying a house for cash or mostly for cash, you’re removing one of the few tax deductibles available to you. You need to commit funds to pay for normal wear & tear, emergency repairs, damage done by tenants and be able to pay a rental mortgage even if the tenant stops paying for several months.

    The more houses you rent, the more exposes you are to a recession.

    That’s not too say either of those are bad ideas but you need to be aware of the pros and cons of them.


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    #57
    I see sheep
    Registered Users Posts: 1,681 ✭✭✭I see sheep


    Jim2007 wrote: »
    Oh dear..... someone who associates enjoying life with blowing their savings...



    Most people who accumulate savings tend to joy life just fine. They travel, see the world etc.... they just don't spend money on the crap the rest of us do.

    The op said he lived frugally and spent time living at home which implies he's been saving a huge amount of his salary.

    If he has enjoyed himself & travelled etc. great but I doubt it going by what his post said.

    What's the point in saving money just for the sake of it?


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    #58
    kravmaga
    Registered Users Posts: 1,945 ✭✭✭kravmaga


    Yyhhuuu wrote: »

    Ulster Bank pay 0.85 per year and you can pay 3,500 per month. But they may pull out of ROI.

    I would not advise the OP to put any money into Ulster Bank, Nat West their parent bank in the UK are looking at options to pull out of ROI completely.

    They already have outsourced all ROI private/ business accounts to a call centre in Scotland. Terrible customer service, plus they are going to sell off all non- performing loans.


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    #59
    [Deleted User]
    Posts: 18,749 ✭✭✭✭ [Deleted User]


    I see sheep wrote: »
    The op said he lived frugally and spent time living at home which implies he's been saving a huge amount of his salary.

    If he has enjoyed himself & travelled etc. great but I doubt it going by what his post said.

    What's the point in saving money just for the sake of it?

    He said he lived rent free, he didn't say at home.


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    #60
    HamSarris
    Registered Users Posts: 109 ✭✭HamSarris


    €30,000 Stocks (weighted value versus growth and includes emerging markets)
    €25,000 deposit for rental property or buy own house and use rent a room scheme
    €25,000 Gold
    €15,000 Silver, Copper, Uranium & Oil
    €10,000 Silver, Copper, Uranium & Oil miners/producers
    €15,000 TLT Bonds
    €10,000 Short High Yield Corporate Bonds


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    #61
    garbanzo
    Registered Users Posts: 742 ✭✭✭garbanzo


    Champagne and strippers....at you age I’d set aside a small bit for that. 😃😃😃


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