zander1983
Registered User
- Messages
- 17
Hi
Newbie question here - completely new to investing in property.
Im in the trying to buy a house in Dublin. I have savings of 165k. The house is costing 400k. I plan to put 40k down and get a mortgage for 360k. Im an IT contractor earning 95k per year (I get paid 425 euro per day). I setup a company a few years ago for the contracting with me as the sole employee. The 95k goes into the company and I pay myself roughly 65k. I put some of the rest of the money into a pension, and I put some money into a side business (which hasn't paid off yet but I hope will). I also inherited a farm and house worth about 1 million euro. The farm profit is low, roughly 10k per year (been investing money back into buildings and its mainly a hobby farm). I spoke to a broker and he said I would only qualify for a mortgage of 250k - roughly calculated on the salary I pay myself (65k), and not the gross earnings. The first question I have is can I get this calculated on my gross pay ie the 95k? I've earned between 400 and 450 euro a day for 10 years straight. Theres also the farm and its small profit. I believe I should be able to get 360k - is this realistic?
Second question I have is, assuming I can get the larger mortgage and buy the home, how can I after that go about acquiring an investment property? e.g. say I have 120k left over, could I buy a 1 bed for 300k, putting down 100k, and using the first home as leverage to acquire the 2nd home? A 1 bed in Dublin would rent at 1600, and mortgage repayments would be 800. In the UK and the US, this is a common thing for people to do - using their 1st house (or 2nd or 3rd) as leverage to acquire another property. Is this strategy possible in Ireland?
Thanks
Newbie question here - completely new to investing in property.
Im in the trying to buy a house in Dublin. I have savings of 165k. The house is costing 400k. I plan to put 40k down and get a mortgage for 360k. Im an IT contractor earning 95k per year (I get paid 425 euro per day). I setup a company a few years ago for the contracting with me as the sole employee. The 95k goes into the company and I pay myself roughly 65k. I put some of the rest of the money into a pension, and I put some money into a side business (which hasn't paid off yet but I hope will). I also inherited a farm and house worth about 1 million euro. The farm profit is low, roughly 10k per year (been investing money back into buildings and its mainly a hobby farm). I spoke to a broker and he said I would only qualify for a mortgage of 250k - roughly calculated on the salary I pay myself (65k), and not the gross earnings. The first question I have is can I get this calculated on my gross pay ie the 95k? I've earned between 400 and 450 euro a day for 10 years straight. Theres also the farm and its small profit. I believe I should be able to get 360k - is this realistic?
Second question I have is, assuming I can get the larger mortgage and buy the home, how can I after that go about acquiring an investment property? e.g. say I have 120k left over, could I buy a 1 bed for 300k, putting down 100k, and using the first home as leverage to acquire the 2nd home? A 1 bed in Dublin would rent at 1600, and mortgage repayments would be 800. In the UK and the US, this is a common thing for people to do - using their 1st house (or 2nd or 3rd) as leverage to acquire another property. Is this strategy possible in Ireland?
Thanks