# Can I afford to buy in Dublin?



## comet (30 May 2008)

Age: *28*
Spouse’s/Partner's age: N/A

Annual gross income from employment or profession: *40,000*
Annual gross income of spouse: N/A

Type of employment: *Civil Servant*
In general are you spending more than you earn or are you saving? *Spending what I earn mostly (2,500 in current account).*

Rough estimate of value of home: *235,000*
Amount outstanding on your mortgage: *128,000*
*What interest rate are you paying? 5.69% (permanent tsb variable)*

Other borrowings – car loans/personal loans etc 
*Credit union loan balance 4,000*
*(Repayments of 280 p.m.)*

Do you pay off your full credit card balance each month? *Yes **
If not, what is the balance on your credit card? 
** Have cleared 4,500 off credit card in the last 6 months. Balance is now zero.*

Savings and investments: *0 *

Do you have a pension scheme? *Yes (civil service)*

Do you own any investment or other property? *No*

Ages of children: *N/A*

Current monthly outgoings:
Mortgage: 655
Credit union loan: 280
Food: 280
Transport: 125
House insurance: 20
Utilities: 85
Mobile: 25
VHI: 48
Discretionary: 280
*Monthly outgoings: 1800*


*What specific question do you have or what issues are of concern to you?* 

I have decentralised through the civil service scheme but am very unhappy in my current job. I would ideally like to return to Dublin (to be closer to family/friends and to return to a job that I loved).

I fully accept that I will have to downsize in order to move back to Dublin and take on a bigger mortgage. My aim would be to buy in Dublin, perhaps this time next year (allowing enough time to sell my current home in a slowing market and save as much money as I possibly can). 

My question is "What kind or price range can I afford to look at in terms of houses/apartments in Dublin?" 
and "How can I put myself in the best possible financial position to do this?"

Any advice would be really appreciated.


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## Gus2008 (30 May 2008)

Hi Comet

How long have you been living down the country? If it hasn't been for long, maybe you are being a bit hasty? 

It'll be a lot of hassle to sell your current place and buy in Dublin at the same time. Would you consider renting in Dublin until you've had a chance to sell your current home and decide on a longterm plan? Otherwise, you can get a 2 bed apartment from between €250,000 - €350,000 depending on where you want to live.


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## comet (30 May 2008)

Hi Gus 2008,

I've been living down the country for almost 3 years now. I commuted to Dublin for 2 of those years (almost a five hour commute each day). 

I decentralised 8 months ago, and have been miserable since. I understand that it takes time to settle into a new organisation etc, but work is really getting me down. To be honest, I was nearly considering going back to commuting but it is such a waste of valuable time and is really draining.

Renting is definitely an option, as is moving back in with my parents (on a short-term basis!!). I do, however, want to have some idea of what my options are, in terms of buying a place in Dublin, before I make any decisions.


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## triplex (30 May 2008)

how do you know you can get back to dublin on a permanent basis?


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## phileasfogg (5 Jun 2008)

I think if you managed to pay off your credit card in 6 months, you will have a very good chance of clearing your credit union loan off very soon too.  It might be a good idea to sell your house first to see what amount you can get for it.  If you come out with 100,000 euro and have no other laons you would be in a very good position to get a mortgage, especially if you have a permanent job as a civil servant. 
I think you might be looking at the region of 300,000 for a 2 bed apartment, or you could get a small house for about 330,000 if you move a bit outside the city, (if you can manage a 5 hour commute, this should be no problem for you!!), Best of luck, its no good being miserable if you have the means to change your circumstances.


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## Rocy1 (6 Jun 2008)

Comet,
Assuming you can land a job in Dublin, I would suggest you sell and rent in Dublin. 
Best guess is that you'll get a better house/ apt/ area for your money in 12 - 24 months.
Certainly the chances of prices falling are higher than them rising. 
What's the rush to buy in Dublin.  Sell (if you can get a decent price, put the proceeds on deposit and rent for a while.


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