Tell me your stories about buying alone.

Loveache · 14-09-2018 8:37pm #1

Just that really. I'm going into a permanent job soon. I am sick to absolute f of renting ****holes. I'd like to buy. (In Dublin). I have done the sums and I think in three years I could save 18-20k. I'm single atm and I'm not counting on meeting anyone. Obv depending on a bit of a bubble-burst too. Is this really unrealistic? I have no possibility of handouts either. Very worried. If I'm still forced to rent a dog box at 800+ in three years time I'm looking at leaving Ireland. Mid thirties and these are the years!

GingerLily · 14-09-2018 8:42pm

What's your salary?

Loveache · 14-09-2018 8:46pm

GingerLily wrote: »

What's your salary?

It'll be low to start (24) but I work on the side creatively. And the job has increments. Obviously looking for central bank exception too. However I'm fit and healthy and I don't want kids and the job is solid.

LirW · 14-09-2018 8:55pm

Are you aware of the amount you could borrow? If you're on 30k in 3 years, you can borrow 105k plus whatever you have as deposit. Might be difficult to find something reasonable for that money in Dublin.

Just to put it into perspective, there's a reason why people are severely unhappy with how the market is, low earners can either rent, commute or both.

TheBully · 14-09-2018 8:58pm

In 3 years time your looking to leave Ireland but in 3 years time you hope to have 18k saved? What exactly is your plan as I don’t understand

Loveache · 14-09-2018 9:03pm

LirW wrote: »

Are you aware of the amount you could borrow? If you're on 30k in 3 years, you can borrow 105k plus whatever you have as deposit. Might be difficult to find something reasonable for that money in Dublin.

Just to put it into perspective, there's a reason why people are severely unhappy with how the market is, low earners can either rent, commute or both.

Yes: I'd be hoping for a Central Bank loan to value exception. There are a lot of variables. But the way I see it, I will be paying more than the would-be repayments on rent now for years. And saving. If I don't meet a partner that I'd want to buy with I don't see why it should be off-limits for someone alone.

Loveache · 14-09-2018 9:05pm

TheBully wrote: »

In 3 years time your looking to leave Ireland but in 3 years time you hope to have 18k saved? What exactly is your plan as I don’t understand

If buying is still inaccessible (for a person alone without a handout) in three years time, even though I will have that amount saved, I'd be taking it and me elsewhere.

foxatron · 14-09-2018 9:06pm

TheBully wrote:

In 3 years time your looking to leave Ireland but in 3 years time you hope to have 18k saved? What exactly is your plan as I donâ€™t understand

They'll have 18k deposit in 3 years time to put towards buying a house. If they can't buy a house then they'll leave Ireland. Straight forward enough really.

Humour Me · 14-09-2018 9:08pm

Had a meeting with a mortgage advisor last month to discuss this. Also looking to buy solo in Dublin. Key points were:
Max loan 3.5 times salary, exemption is possible up to 4.5 but need to make a good case - permanent employment, secure role, good deposit
Will only lend 75% of value for a one bed, up to 90% for a two bed

Based on my salary and current savings I would be able to get a property at around the €200k mark. Take a look at daft and see how few options are available at that level. An exemption @ 4.5 times salary would get €250k, but again any reasonably good property will involve a long commute.

Definitely start saving regularly and set yourself some targets, but your probably looking a 5 years or more before you will be in a position to buy (in Dublin at least).

TheBully · 14-09-2018 9:10pm

Not being funny but why are you living in Dublin paying almost 10k a year in rent when you only take home less than 24k from your day job?
Surely you could get a job anywhere in the country that pays more than that without the Dublin overheads

GingerLily · 14-09-2018 9:11pm

Loveache wrote: »

Yes: I'd be hoping for a Central Bank loan to value exception. There are a lot of variables. But the way I see it, I will be paying more than the would-be repayments on rent now for years. And saving. If I don't meet a partner that I'd want to buy with I don't see why it should be off-limits for someone alone.

You're unlikely to get an exemption at such a low wage considering the repayments and your take home pay.

A property in Dublin CC for anyone on 30k as a single applicant is scraping the barrel.

You'll need to work on your income or change location.

Loveache · 14-09-2018 9:23pm

TheBully wrote: »

Not being funny but why are you living in Dublin paying almost 10k a year in rent when you only take home less than 24k from your day job?
Surely you could get a job anywhere in the country that pays more than that without the Dublin overheads

That's the conundrum- the job is dublin. I've been here 16 years and my life is here now too, I wouldn't be precious about commuting but 'proper' relocating isn't a real option.

Loveache · 14-09-2018 9:23pm

Loveache wrote: »

That's the conundrum- the job is dublin. I've been here 16 years and my life is here now too, I wouldn't be precious about commuting but 'proper' relocating isn't a real option.

A big commute is also really expensive fwiw.

Loveache · 14-09-2018 9:27pm

Humour Me wrote: »

Had a meeting with a mortgage advisor last month to discuss this. Also looking to buy solo in Dublin. Key points were:
Max loan 3.5 times salary, exemption is possible up to 4.5 but need to make a good case - permanent employment, secure role, good deposit
Will only lend 75% of value for a one bed, up to 90% for a two bed

Based on my salary and current savings I would be able to get a property at around the €200k mark. Take a look at daft and see how few options are available at that level. An exemption @ 4.5 times salary would get €250k, but again any reasonably good property will involve a long commute.

Definitely start saving regularly and set yourself some targets, but your probably looking a 5 years or more before you will be in a position to buy (in Dublin at least).

That's actually really helpful that you can get a better deal for a two bed than a one bed. I didn't know that. I suppose the possibility of renting out a room is a factor in that.

Loveache · 14-09-2018 9:32pm

GingerLily wrote: »

You're unlikely to get an exemption at such a low wage considering the repayments and your take home pay.

A property in Dublin CC for anyone on 30k as a single applicant is scraping the barrel.

You'll need to work on your income or change location.

Even on a flat? ðŸ˜

gl0Rob · 14-09-2018 9:40pm

Firstly, I hope things work out for the best. It’s nice to own in Ireland due to the nature of our rental market not really allowing for the establishment of a home.

Again like another said, I know it’s hard to consider another city but don’t totally rule it out . I’m living in Limerick and I would not be able to replicate what I have here if I was to move to Dublin without doubling my salarly. I simple could not afford it live in Dublin. I’m working in IT in my late 20’s and was fortunate enough to be able to buy 4 bed house a couple of years ago in what I consider one of the best areas of the city . My commute is 15 minutes to the city centre and people may knock it but Limerick is really booming due to its low cost with many in IT moving down from Dublin. (I’ll be the first to admit it does not match the social variety of a capital city - it the one thing I miss from my time in Dublin)

I hope you do not become another victim of a lost generation.

GarIT · 14-09-2018 9:41pm

Loveache wrote: »

Even on a flat? ðŸ˜

You'd need to be on €50k with your deposit or have a €110k deposit with your income.

GingerLily · 14-09-2018 9:58pm

There's a housing crisis and you are on much lower than the average wage, of course you'll struggle to buy a property in the capital as a single applicant

power pants · 14-09-2018 10:16pm

I have mortgage approval with rebuild Ireland, lone parent and single

18 months ago I got mortgage approval with a bank but wasn’t enough to quite afford anywhere in Dublin

It will be a worry taking on a mortgage especially when paying over the odds at the moment but that’s the only real choice I have. Can’t really continue to afford paying rent on a 2 bedroom and childcare for my child on my salary

MayoSalmon · 14-09-2018 10:48pm

Application denied or live in Leitrim..that's usually the two choices

riclad · 14-09-2018 10:57pm

You might get a 1 bed apartment in dublin,
your choice will be very limited .
eg https://www.daft.ie/dublin/apartments-for-sale/balbriggan/6-barons-hall-lodge-balbriggan-dublin-1882035/

Thats assuming prices do not rise in the next 2 years,
maybe you could team up with a friend ,
And buy a 2bed house.The problem i see is say you save 10k a year,
prices might rise by 15k plus each year.

https://www.daft.ie/dublin/apartments-for-sale/ballymun/67-the-plaza-ballymun-dublin-1889842/
Apartments have a yearly service charge .
https://www.daft.ie/dublin/houses-for-sale/rush/moss-cottage-sandy-road-rush-dublin-1663934/

Look on daft, myhome.ie county dublin.
You might find a small house under 150k.
If a house is advertised for 120k, it might sell for 140k.
Houses are alot cheaper, say 40- 60 minutes commute from dublin.
in meath or other area,s .

Mrs OBumble · 15-09-2018 12:02am

gl0Rob wrote: »

Firstly, I hope things work out for the best. It’s nice to own in Ireland due to the nature of our rental market not really allowing for the establishment of a home.

Again like another said, I know it’s hard to consider another city but don’t totally rule it out . I’m living in Limerick and I would not be able to replicate what I have here if I was to move to Dublin without doubling my salarly. I simple could not afford it live in Dublin. I’m working in IT in my late 20’s and was fortunate enough to be able to buy 4 bed house a couple of years ago in what I consider one of the best areas of the city . My commute is 15 minutes to the city centre and people may knock it but Limerick is really booming due to its low cost with many in IT moving down from Dublin. (I’ll be the first to admit it does not match the social variety of a capital city - it the one thing I miss from my time in Dublin)

I hope you do not become another victim of a lost generation.

And what happens when the work i Limerick dries up?

OP save hard. Focus on getting promoted (from the salary I'm guessing its entry level civil or public service) so doable.

Be disciplined about your side income and make sure it's tax compliant ( preliminary tax is painful the first year you have to pay it unless its planned for).

madwidow · 15-09-2018 12:28am

I thought OP wanted to hear other peoples stories?
Bought alone 6 years ago. Just as the properies started climbing back up and right befor my company was started 1st redundancy round.
Saved for 5 years prior. Initially planned and got accepted for affordable housing scheme but new builds pipes burst during the last bad winter and the builders were slow at the snag list. Ended up buying privately and asking same bank to increase the AIP by 10 grand no problem.. only figured i was lended 5.5 times my salary but my bank account got 7 year check with explanations for every large withdrawal for money laundering contrary to current 6 -12 proof of regular savings nowadays
.
Its quite scary now in the property market and rentals. A house share 550 per month by 2 people is history now.. lucky to have a single room for that price

Save hard definately. Either way a deposit for a house or funds for moving

limnam · 15-09-2018 9:15am

Mrs OBumble wrote: »

And what happens when the work i Limerick dries up?

Why would it be drying up?

Fol20 · 15-09-2018 11:11am

Loveache wrote: »

That's the conundrum- the job is dublin. I've been here 16 years and my life is here now too, I wouldn't be precious about commuting but 'proper' relocating isn't a real option.

As others have pointed out, you really don’t stand much of a chance at being able to afford bottom of the barrel type properties either. It’s a sad truth but an honest one and you need to realistic with your finances. The only thing you could look into in the help to buy scheme and even then, I don’t know if you you could get something.

You say if it’s the same in. 3 years, your going to leave the country yet your not willing to try and move elsewhere in Ireland. Do you not think that is a little extreme considering you would be closer to family. You would also struggle to buy in cork or galway with your current ability to pay also. The grass isn’t always greener as well and most metropolitan areas are also extremely expensive and would be out of your reach also.

bigroad · 15-09-2018 11:26am

I think another possibility is to get mortgage approval for what ever you can get .
Then buy a property as close to Dublin as you can get which will be a county or two out
And rent it out.
In a few years the value f the property should rise a bit with some of the mortgage paid off.
Then in a few years you can decide if you want to sell and trade up or leave the country.

Addle · 15-09-2018 11:28am

It's tough. I think there should be different rules for single income applicants than double.
I did it. Have my house a few years now.
It was great being able to do everything to my own taste, but then you've no one to split costs and bills with.
I don't live alone anymore and stresses are caused by having to make joint decisions rather than how we'll pay for things now.
There's huge sacrifices to be made, but huge satisfaction to be had also.
Best of luck.

Addle · 15-09-2018 11:29am

And maybe add your name to local authority 'affordable housing' lists.

Caranica · 15-09-2018 11:30am

Rebuilding Ireland looks like your best option. There is a lot of "affordable housing" being developed at the moment so don't give up hope op

Flex · 15-09-2018 1:58pm

In terms of my experience having bought 2-3 years or so ago.

I had went to four banks (Bank of Ireland, Ulster Bank, AIB and KBC),
three offered to loan more than the 3.5 time limit,
however none would/could budge on the deposit requirement,
do not underestimate the costs of solicitor fees, site surveyor/valuation and all of the other little fees and charges, trust me theyll take a noticeable bite out of that €18-20k...

I ended up going with Bank of Ireland, borrowed approx 4.25 times my salary in the end, no issues at all when I was drawing down (think it was KBC who wouldnt offer more than 3.5 times my salary). I was pretty comfortable doing so as I expected my salary was going to raise in the coming years and had no dependants.

The entire process was quite straightforward and stress free tbh; got the first house my bid was accepted on and went grand. Worst or most awkward part of it was dealing with AIB, really poor customer service

This is obviously a no brainer and easier said than done, but do everything to get your salary and deposit up even if you need to change jobs, great opportunities at the moment, just make sure your permanent/with your employer at least 12 months when you apply for your mortgage loan.

Very best of luck with it, hope it works out for you

mvt · 15-09-2018 2:04pm

Not to be negative but good luck with trying to move to another country in your mid-thirties & ending up in a good situation. Don't think thats possible given your present salary.
Whatever it is that you would like to do try not to imagine outcomes that probably won't happen.

bleary · 15-09-2018 2:19pm

To be honest in your mid 30s earning 24 k is not a great financial position to be in. If you're a clerical officer that only goes up to 40k which would be hard enough to live on in Dublin. I would try to get added to the housing list and you really need to up your income or m9ve somewhere cheaper if you ever want to buy yourself.
You sound a little immature annd unrealistic saying you will leave in 3 years if you can't buy somewhere. What have you been doing employment and savings wise for the last ten years?
I earned more for the last 20 years and saved hard for 5 years plus. It still wasn't easy to buy on one income somewhere as one income has to be above average to compete with two

messy tessy · 15-09-2018 8:43pm

bigroad wrote: »

I think another possibility is to get mortgage approval for what ever you can get .
Then buy a property as close to Dublin as you can get which will be a county or two out
And rent it out.
In a few years the value f the property should rise a bit with some of the mortgage paid off.
Then in a few years you can decide if you want to sell and trade up or leave the country.

This is mad advice. Do not even consider this.

mariaalice · 15-09-2018 9:08pm

https://www.myhome.ie/residential/brochure/134-the-orchard-greenwood-drive-ayrfield-dublin-13/4279288

It is possible to get something at an alright price it's not the worst area and has very good public transport links and its a 2 bed.

Mrs OBumble · 15-09-2018 9:14pm

limnam wrote: »

Why would it be drying up?

At all my jobs in Galway for the last five+ years, I've worked with people who travel up here every day from Limerick and surrounding areas. They do this because they cannot get work closer to home.

I hope things work out differently for you - but could be concerned about the trend.

catrionanic · 15-09-2018 9:53pm

mariaalice wrote: »

https://www.myhome.ie/residential/brochure/134-the-orchard-greenwood-drive-ayrfield-dublin-13/4279288

It is possible to get something at an alright price it's not the worst area and has very good public transport links and its a 2 bed.

Yes but if OP is earning 24k and has savings of approx 20k, the max he/she will be able to afford is 104k. Which is well short of the mark here. Even with a sizeable salary increase, that sort of property is still well out of reach. And that's without considering the fact that almost all Dublin properties have asking prices set considerably lower than what the agent and buyer are expecting to achieve, in order to attract interest.

OP: I'm sorry, but your chances of buying anything at all in Dublin are slim to none. The banks do give out exceptions, but generally only for single applicants earning an absolute minimum of 50k and with a sizeable deposit, and in reality, probably more.

As somebody else said, you also need to consider the costs involved in buying a property. Solicitor fees (average around 2k), stamp duty (1% of property purchase price), surveyor (€500), valuer (€150), furnishing property, etc. It wouldn't be long eating up 25-40% of your savings.

Your options are to relocate and buy elsewhere, change careers, or meet someone and apply as a couple.

I would be looking at getting on the social housing list too.

mariaalice · 15-09-2018 10:15pm

https://www.myhome.ie/residential/brochure/5-mcneill-hall-balbriggan-county-dublin/4124926

County Dublin as opposed to Dublin city one bed for less than 100k but for someone on an income like the op even if they purchased things like services charges could be a struggle.

riclad · 15-09-2018 10:19pm

Get on the list for low cost housing,
The government has announced its gonna pick area,s and sites to build 1000,s of houses for people on lower incomes .
i Would not expect those to be built before 2021 .
We are now close to the point where most single young people will not be able
to buy a house in dublin.Unless its one of the houses built for people on a low income.
Better to pay 1,100 on service charges than paying rent every month .

Treepole · 15-09-2018 10:24pm

Loveache wrote: »

That's the conundrum- the job is dublin. I've been here 16 years and my life is here now too, I wouldn't be precious about commuting but 'proper' relocating isn't a real option.

Proper relocation isn't an option, but you plan on leaving Dublin if you can't buy a house

Sleeper12 · 15-09-2018 10:37pm

You would qualify for affordable housing. Problem is that the affordable housing so far announced aren't in areas most people would want to live

alwald · 16-09-2018 10:00am

mariaalice wrote: »

https://www.myhome.ie/residential/brochure/5-mcneill-hall-balbriggan-county-dublin/4124926

County Dublin as opposed to Dublin city one bed for less than 100k but for someone on an income like the op even if they purchased things like services charges could be a struggle.

This 1 bed flat has been advertised for a long time and still unsold - The building looks in an awful state and a BER G isn't appealing - I wonder why first time buyers with small deposits won't buy such property instead of paying 800 plus on a small room to rent in the city center.

Creamy Goodness · 16-09-2018 10:37am

alwald wrote: »

This 1 bed flat has been advertised for a long time and still unsold - The building looks in an awful state and a BER G isn't appealing - I wonder why first time buyers with small deposits won't buy such property instead of paying 800 plus on a small room to rent in the city center.

Because it’s in Balbriggan, it’s a “cant build them fast enough” remnant of the Celtic tiger. Might be good as a museum to warn people off but a home? I’ll pass.

Corb_lund · 16-09-2018 10:47am

I bought a 3 bedroom myself in Dublin recently, mid-late 20s on single income which isn't insanely high. Took me 2 years of serious savings but was doable.

Thargor · 16-09-2018 11:10am

madwidow wrote: »

I thought OP wanted to hear other peoples stories?
Bought alone 6 years ago. Just as the properies started climbing back up and right befor my company was started 1st redundancy round.
Saved for 5 years prior. Initially planned and got accepted for affordable housing scheme but new builds pipes burst during the last bad winter and the builders were slow at the snag list. Ended up buying privately and asking same bank to increase the AIP by 10 grand no problem.. only figured i was lended 5.5 times my salary but my bank account got 7 year check with explanations for every large withdrawal for money laundering contrary to current 6 -12 proof of regular savings nowadays
.
Its quite scary now in the property market and rentals. A house share 550 per month by 2 people is history now.. lucky to have a single room for that price

Save hard definately. Either way a deposit for a house or funds for moving

Sorry are you saying you asked for and were given five times your salary but seven times showed up in the account? How did that work? If I could get to 4.5 I could buy a house now...

Deviso · 16-09-2018 12:49pm

Corb_lund wrote: »

I bought a 3 bedroom myself in Dublin recently, mid-late 20s on single income which isn't insanely high. Took me 2 years of serious savings but was doable.

Where abouts? I'm 22, and the only places in Dublin I'll be able to afford in a couple of years that I want to live in are Baldoyle, Clongriffin or Swords.

the_syco · 16-09-2018 10:12pm

Sleeper12 wrote: »

You would qualify for affordable housing. Problem is that the affordable housing so far announced aren't in areas most people would want to live

In other words, "problem is that the affordable housing so far announced are in areas" where the houses are cheap for a reason.

But IMO if they're good enough for people who work and have to pay the full whack, they're good enough for those who want them cheaply.

Loveache · 16-09-2018 10:23pm

Cheers for the replies. I'm now working on a four/five year plan with a few promotions. Not above living in Finglas (few there at 130k!) but still hoping for the property bubble to burst. Also if 'the one' shows up they'd be more than welcome right now but you do have to plan for your own self. It's going to be some tough saving with the ridiculous rents right now but I'm keeping faith.

Loveache · 16-09-2018 10:31pm

Treepole wrote: »

Loveache wrote: »

That's the conundrum- the job is dublin. I've been here 16 years and my life is here now too, I wouldn't be precious about commuting but 'proper' relocating isn't a real option.

Proper relocation isn't an option, but you plan on leaving Dublin if you can't buy a house

I get that's unclear. What I mean is, I'm not going to live in say Leitrim and try to commute to and from Dublin every day for work. And have that be my life. Work, bus/car, sleep, repeat.
I'd probably get a new job in say Belfast where there are houses on a decent bus route to it for 85k sterling. Kiss goodbye to my social/romantic life though doing that.

Loveache · 16-09-2018 10:40pm

I don't know a great deal about social housing (yet) except that the max net for a single person to earn is 35k. Net. So it's high enough. I think given current circumstances I'd be low priority- fit,healthy, no dependants or intention of such, permanent job and 'ability to pay' a ****bag greedy landlord. I'm definitely going to put my name down though. It ain't right. If I were a couple we'd be good to go in two years, I think it's discriminatory to force people like me who can make repayments (proved by renting AND saving pattern) still rent because one income isn't enough. All that money wasted lining someone else's pockets is making me sick

Sleeper12 · 16-09-2018 10:54pm

the_syco wrote:

But IMO if they're good enough for people who work and have to pay the full whack, they're good enough for those who want them cheaply.

I totally agree.

I'm in the Dublin 5 area. Many people want big developments in the area, like the one beside St Anne's park that was just refused. They actually think that they will get social or affordable housing in these new developments. What they don't realise is that the developers have to provide 10 percent social housing but they don't have to provide it in the same estate. If they have to provide 50 homes in a 500 home development in Raheny /Clontarf they will buy 50 homes in coolock, darndale, Ballymun etc. The council won't be getting a single unit in the original development

Sleeper12 · 16-09-2018 11:00pm

Loveache wrote:

I don't know a great deal about social housing (yet) except that the max net for a single person to earn is 35k. Net. So it's high enough. I think given current circumstances I'd be low priority- fit,healthy, no dependants or intention of such, permanent job and 'ability to pay' a ****bag greedy landlord. I'm definitely going to put my name down though. It ain't right. If I were a couple we'd be good to go in two years, I think it's discriminatory to force people like me who can make repayments (proved by renting AND saving pattern) still rent because one income isn't enough. All that money wasted lining someone else's pockets is making me sick

You can earn up to 50k for a single person & qualify for affordable housing. This might suit your needs. It's not social housing. The house is sold to you at a reduced price but you still have to have a mortgage. You can lose your house if you don't pay. You can't sell it for a number of years. I think 7 years. If you sell before this I think you have to pay the extra you should have paid if it wasn't affordable housing

Tell me your stories about buying alone.

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