Ballymun apartment as an investment?

Hi folks,

I was thinking of buying an apartment as an investment at Ballymun in the Pierce Homes development at Santry Cross. The entry prices are relatively low compared to other adjacent parts of the city but I realize this is a reflection on the area at the moment.

However I feel there is scope for appreciation if the area develops as planned by the Ballymun regeneration company. Also it is near to town, the M50 and close to the Airport, DCU and a number of Hospitals which should provide a good rental market.

I was wondering if anyone has any views on whether this would be a sound investment or not. I'd appreciate your comments.

What net yield are you looking at?

What is the entry price ? It is up and coming but you would be looking at a 5 year stretch until it fully develops. The biggest issue is the re housing of the current residents, they will be re housed within the same location.



I feel it will become a mix of student, health board and transient residents so only looking at it as a rental prospect opposed to your household.



I have been told that there is a further development across from Santry Stadium apartments which are currently private but there is a green field site there owned by the council hint hint, these apartments are currently a concrete jungle.



Bought a two bed 2 years ago and lucky to get it sold due to the clientele moving into the complex. Drop in there for a comparison it is in the same complex as the Crown Plaza Hotel, lots for sale or rent.

Thanks for the reply. The apartment is a 2 bed and costs €240K. I'd be looking at this as a long term investment and it would be for rental only. My mortgage repayments would be €800 per month and I would hope to achieve a rental income of €900-100 per month.

Midland Muck I calculate that you will achieve a net initial yield of 3.75% on this investment, based on your figures and allowing for one months void and service charge etc. You will require continued capital growth to ensure the success of this investment given the low yield.

Personally don't think that €240k is that much of a bargain. You could probably get an apt around Kilmainham/Christchurch for slightly more and you would get more in rent for that area (approx €1100). Would you cover your mortgage with the rental income in Ballymun?? I wouldn't be too sure. Have a look at daft.ie to see what the rents are in better locations.

for 240k or much less youd get a good 3/4 bed house in a much posher area down the country without the hassles of maintenance charges or worries about what is happening in ballymun.

I think its a good idea as you wont get any posher place in Dublin at cheaper prices and as far as buying in the country instead would you realy want the expenses of traveling back and forth checking up on your property.Ballymun is coming on leaps and bounds and it is a wise decision to buy now at these prices.As far as the worry of whats going on in Ballymun its as safe as the next place.

Metro up the main street too LT cant be bad.

Sure 10 years from now ( its happeining already ) blow ins from down the country, abroad and younger dubs wont know anything of Ballymun.

In fairness its "rep" is 10 odd years old now as is......

Just checked on daft 2 bed apt in Santry €1200 per month plus at 240k thats a 6% yeild. Does it have an en-suith better for renting. Its quite a while since i have seen a 2 bed in Dublin at this price. I would go for it

Please note the price of €240,000 pertains to the year 2005. This is an old thread.

Marion

Thanks. My mistake

lopin10 said:

Just checked on daft 2 bed apt in Santry €1200 per month plus at 240k thats a 6% yeild. Does it have an en-suith better for renting. Its quite a while since i have seen a 2 bed in Dublin at this price. I would go for it

Click to expand...

There's old Santry and there's parts of Ballymun that have been renamed Santry.

When the Ballymun Flats were built about 40 years ago a huge corporation estate called Ballymun was created. Santry was an older private housing estate beside it.

Going right through the middle of the Ballymun Flats was a dual carriageway called the Ballymun Road.

Some time ago someone decided that it would be a good idea to call one side of the dual carriageway Santry and the other side was left at Ballymun.

New apartments in Miliner Square on Shanowen Road would be in (old) Santry while apartments in Shangan for example would be called Santry by estate agents, or people trying to sell or rent them, but they are in fact in old Ballymun.

There is no doubt as to where you would achieve a higher rent for an apartment or pay a higher price when buying.

Murt

Hi all, just noticed the few replies to my old post. Can't believe it's 2 yrs ago already!
I did actually go ahead and buy the apartment in the end for €235k. I'm getting a rent of €1100 per month. I could maybe get more but the apartment has been rented to the same two tennants from day one.
I've been very lucky and have absolutely no problems with them, so I'm not interested in pushing for more rent.

The apartment does have an ensuite, a decent size balcony and one car space and I did go the extra yard in kitting it out with good quality furnishings.

There were some teething problems in the first couple of months with people tresspasing on the development grounds and breaking into cars etc. but this has since stopped. A hotel opened next door which probably helped from a security point of view as there are more people coming and going.

Overall I'm satisfied with my decision as I look on it as a long term investment of 10 to 15 years. The decision to run the metro line up Ballymun road is a positive development, if and when it happens.