Folks,
Hope ye have some advice, i currently own half a share in an apt in dublin. Am buying a house in the country and put in mortgage application on the basis that i would be bought out of the apt. Awaiting approval.
Situation has changed slightly and am looking into the possibility of not selling apt and instead going into the investment game. Earn €44500 approx and am on salary scale going up to about €55000 in 8 years. to keep things equal in apt might be better if i could use my share of apt as collaterial against house purchase, borrow at or above the price of the house (need install kitchen fireplace, investor stamp duty etc etc) and maintain apt mortgage at current rate, with increase mortgage on house payable by me. Would be getting tennant into apt. Does this sound do-able at all. there is about €100k equity in the apt, half of which is mine. would banks be willing to lend above market price (245k) of house in this case, considering that once kitchen, floors etc go into house, would raise value anyway! plus they would have the added advantage of having both my house and part of my apt in case of a default. might go for interest only mortgage for a year or so to keep a bit aside in case need to pay for months rent or other emergency! am i nieve to think that this would make for an easier run for my co-owner as would be maintaining same payment in apt and 50 50 split, would just need to get her to agree to use of apt as colaterial! would this mean she would have some share of new house?
Other option to maintain my interest in the apt would be to release equity in it as i need some money for kitchen etc but then how do you determine the proportion of ownership? also would mean increased mortgage on apt and wouldn't seem fair for co-owner to have to bear the brunt of increased cost! if increased cost applicable, would prefere to be paying in on the house i own 100% in!
Am i correct in assuming that as she will remain living in apt, investor stamp duty would only be payable on my portion of the market value?
Intend on gettong professional advice, but thought maybe somebody might give initial assessment to see if i am off my rocker, or talking sense?! any insights gladly received
Hope ye have some advice, i currently own half a share in an apt in dublin. Am buying a house in the country and put in mortgage application on the basis that i would be bought out of the apt. Awaiting approval.
Situation has changed slightly and am looking into the possibility of not selling apt and instead going into the investment game. Earn €44500 approx and am on salary scale going up to about €55000 in 8 years. to keep things equal in apt might be better if i could use my share of apt as collaterial against house purchase, borrow at or above the price of the house (need install kitchen fireplace, investor stamp duty etc etc) and maintain apt mortgage at current rate, with increase mortgage on house payable by me. Would be getting tennant into apt. Does this sound do-able at all. there is about €100k equity in the apt, half of which is mine. would banks be willing to lend above market price (245k) of house in this case, considering that once kitchen, floors etc go into house, would raise value anyway! plus they would have the added advantage of having both my house and part of my apt in case of a default. might go for interest only mortgage for a year or so to keep a bit aside in case need to pay for months rent or other emergency! am i nieve to think that this would make for an easier run for my co-owner as would be maintaining same payment in apt and 50 50 split, would just need to get her to agree to use of apt as colaterial! would this mean she would have some share of new house?
Other option to maintain my interest in the apt would be to release equity in it as i need some money for kitchen etc but then how do you determine the proportion of ownership? also would mean increased mortgage on apt and wouldn't seem fair for co-owner to have to bear the brunt of increased cost! if increased cost applicable, would prefere to be paying in on the house i own 100% in!
Am i correct in assuming that as she will remain living in apt, investor stamp duty would only be payable on my portion of the market value?
Intend on gettong professional advice, but thought maybe somebody might give initial assessment to see if i am off my rocker, or talking sense?! any insights gladly received
