Setforlife
Registered User
- Messages
- 139
Personal details
Age: 46
Spouse’s/Partner's age:43
Number and age of children: 2 under 6
Income and expenditure
Annual gross income from employment or profession: 110k
Annual gross income of spouse: 55k
Monthly take-home pay
Type of employment: private sector and public sector
In general are you:
(a) spending more than you earn, or
(b) saving?
breaking even.
Summary of Assets and Liabilities
Family home worth €950k with a €360k mortgage
Cash of €0k
Defined Contribution pension fund: €450k plus partner DB scheme
Company shares : €0k
rental Property worth €340k with mortgage of €190k
rental property worth €300k with mortgage of €160k
Family home mortgage information
Lender BOI
Interest rate 2.9 fixed until June 2024
Remaining term: 16
Monthly repayment: 2380€
Other borrowings – car loans/personal loans etc
1 car loan 6% 15k remaining
2nd car loan 0% 17k remaining.
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Buy to let properties
Value: 340k
Rental income per year: 21k
Rough annual cost : 22k including interest and taxes
Lender aib
Interest rate ecb +1.1
If fixed, what is the term remaining of the fixed rate?
Value: 300k
Rental income per year: 17500
Rough annual cost : 19k including interest and taxes
Lender end
Interest rate ecb +1.0
If fixed, what is the term remaining of the fixed rate?
Other savings and investments:
Do you have a pension scheme? 450k DB scheme, major losses last year.
Do you own any investment or other property? No.
——-
Hope that above is decent information, we are double accidental landlords. We managed to buy an extremely run down largish
house in Dublin 7 years ago, but had to keep two negative equity apartments. In the intervening time, luck and hard work has
us in a reasonable position. Fully refurbished house, both apartments well out of negative equity and just coming out of the expensive early childhood years
. Children both out of large crèche fees just started school. We let agent manage both apartments, repair everything as it breaks
via them etc. We hoped to be in a better place cash flow wise this year but obviously interest rates have killed us on trackers, we
are close to 1k a month worse off. had considered riding this out But it will be difficult come next June when main home fixed rate runs out.
on the other hand, this year was the hardest, paying 2022 tax with 2023 income. And prepaying 2023 tax based on 2022.
We’ve always had a difference of opinion around having the rentals once there was any option to sell.
however tenants in one apartment have given notice to leave in the new year. So there is a good chance to exit one apartment, reduce
exposure to property. Not ideal time to sell, market flat and possibly waiting 6 months/a year would put us in better position. Getting 2x agents
opinion on that in January. We don’t really have the option to not rent it back out to do that though, which is risky enough as we‘ve been lucky to
always have ok tenants.
Leaning to selling, and just taking what we get after a couple of months. should give us 100k worst case, 140k expected, 170k best case after costs and small capital gains.
both apartments approaching 20 years old, so soon will need new kitchens etc.
140k would give us the money to pay off both car loans and put 100k off our mortgage which would knock about 5 years off the term,
speaking to friends with more money than me and no one sees 100k as enough money to do anything else useful with.
so pay off the loans and the mortage, look at increasing AVCs for both pensions and start rainy day savings and be able to afford foreign holidays
are there any other better options, or even 60/40 Ideas?
Age: 46
Spouse’s/Partner's age:43
Number and age of children: 2 under 6
Income and expenditure
Annual gross income from employment or profession: 110k
Annual gross income of spouse: 55k
Monthly take-home pay
Type of employment: private sector and public sector
In general are you:
(a) spending more than you earn, or
(b) saving?
breaking even.
Summary of Assets and Liabilities
Family home worth €950k with a €360k mortgage
Cash of €0k
Defined Contribution pension fund: €450k plus partner DB scheme
Company shares : €0k
rental Property worth €340k with mortgage of €190k
rental property worth €300k with mortgage of €160k
Family home mortgage information
Lender BOI
Interest rate 2.9 fixed until June 2024
Remaining term: 16
Monthly repayment: 2380€
Other borrowings – car loans/personal loans etc
1 car loan 6% 15k remaining
2nd car loan 0% 17k remaining.
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Buy to let properties
Value: 340k
Rental income per year: 21k
Rough annual cost : 22k including interest and taxes
Lender aib
Interest rate ecb +1.1
If fixed, what is the term remaining of the fixed rate?
Value: 300k
Rental income per year: 17500
Rough annual cost : 19k including interest and taxes
Lender end
Interest rate ecb +1.0
If fixed, what is the term remaining of the fixed rate?
Other savings and investments:
Do you have a pension scheme? 450k DB scheme, major losses last year.
Do you own any investment or other property? No.
——-
Hope that above is decent information, we are double accidental landlords. We managed to buy an extremely run down largish
house in Dublin 7 years ago, but had to keep two negative equity apartments. In the intervening time, luck and hard work has
us in a reasonable position. Fully refurbished house, both apartments well out of negative equity and just coming out of the expensive early childhood years
. Children both out of large crèche fees just started school. We let agent manage both apartments, repair everything as it breaks
via them etc. We hoped to be in a better place cash flow wise this year but obviously interest rates have killed us on trackers, we
are close to 1k a month worse off. had considered riding this out But it will be difficult come next June when main home fixed rate runs out.
on the other hand, this year was the hardest, paying 2022 tax with 2023 income. And prepaying 2023 tax based on 2022.
We’ve always had a difference of opinion around having the rentals once there was any option to sell.
however tenants in one apartment have given notice to leave in the new year. So there is a good chance to exit one apartment, reduce
exposure to property. Not ideal time to sell, market flat and possibly waiting 6 months/a year would put us in better position. Getting 2x agents
opinion on that in January. We don’t really have the option to not rent it back out to do that though, which is risky enough as we‘ve been lucky to
always have ok tenants.
Leaning to selling, and just taking what we get after a couple of months. should give us 100k worst case, 140k expected, 170k best case after costs and small capital gains.
both apartments approaching 20 years old, so soon will need new kitchens etc.
140k would give us the money to pay off both car loans and put 100k off our mortgage which would knock about 5 years off the term,
speaking to friends with more money than me and no one sees 100k as enough money to do anything else useful with.
so pay off the loans and the mortage, look at increasing AVCs for both pensions and start rainy day savings and be able to afford foreign holidays
are there any other better options, or even 60/40 Ideas?