Help, do i wade back into property market?

Am I totally nuts to buy a house now . .

I recently sold my house and am back living with the folks (ouch). Have €150k in hand and mortgage approved letter for €250k. Am looking at places in and around the €350k mark and have spotted a gem, but its so unique i’ve nothing to compare it to in order to check the value.
There was a €300k bid, so i bid €310. Now a third bidder has come in at €315, so I’m thinking of wading in with 320/325.

Would I be right in saying that the property appears to be reasonably fairly priced, on the basis that 3 bidders (myself included) are willing to bid.

or am I totally bonkers even considering throwing away my €150k at the moment?

Go for it.

Rent is dead money.

Time to get on the ladder.

Women will love you and men will want to be you.

Houses will never be this cheap again.

You’d be a fool not to.

Yes. 100%. Nothing surer.

YES!

You are having a laugh, right? Seriously?

Bonkers Bonkers Bonkers.

Even the VI’s are starting to give in to the fact that we will see at least another 16% drop this year and we will most likely end up with a total drop of 60% from peak.

I myself, think we will see closer to 75% or 80% from peak on the grounds that the country is completely & utterly shagged. I fear we may also see the full nationalisation of AIB before the end of the month on top of it.

But then again, it’s your call at the end of the day. Best of luck with whatever path you take…

[P_USDPrice%20>=%20300000%20and%20P_USDPrice%20<=%20350000]

you decide

More info needed on the property. What yield would it give?

You’re probably nuts.

Offer the 350k that will scare the bejaysus out of the other bidders…

Don’t listen to the doom and gloom merchants. A stopped clock is right twice a day.

Bid 340 and blow the other guy out of the water. You could stay at home for another few years and rend this house out. In 5 years the house will be worth 500-550K and you will be effectively mortgage free.

From **yesterdays **Indo,seriously just do yourself a favour and give up even looking at houses on DAFT for 12 months,the only way prices are going is south.

Wasn’t that advice actually given in a newspaper recently… ‘Offer as much as you can afford to discourage a bidding war.’? :laughing:

It’s simple. You’re completely mad!

How do you know there are ANY other bidders on this property?

OK, I get it, prices are still heading south. But I need to live somewhere. I’m a bit long in the tooth to stay with the folks.
If I rented for 2 years at €1.5k/month that works out at 11.25% of €320k.
So will prices fall by much more than 11.25% in the next 2 years?

And to answer the questions . . .
If you were renting it out, would the rent cover the mortgage? At current interest rate yes.

What percentage of your total income would go towards paying the mortgage? Is it 25% or less?About 30% of my income, 20% if I add in my wifes income.
Can you afford it with a mortgage of 25 years or less? Yes, I have the offer based on a 20 year term already.
Would you be able to afford the mortgage if interest rates went up 3%? Would certainly struggle, but I’ve stress tested up to 5% rate
Will you be happy to live there for 10 years or more? Think so, If I had another 2 kids I’d need to move though!

And how do I know if theres other bidders?
How do you ever know, you don’t.

Sorry, it just struck me how the word “recovery” is used in relation to house prices rising again.

I would analogize falling house prices to a recovery like an obese person recovering from their dis-order.

Great I’ve found another thing to piss me off :unamused:

If you have only “recently” sold your house, you’d be completely off yer feckin’ trolley mate to wade back in again so soon AND especially now.

Rent for a year, minimum. You might have to do this sooner rather than later before your folks drive you completely out of your box.

If you don’t like that, treat yourself to a year off. Blow €20k-30k just fuckin’ about… take a trip to jaysus knows where. When you come back in 12 months time, you’ll have €120k+ under your matress and it’ll go a helluva lot further.

Failing that… give your €150k to me to look after… I’ll invest it wisely*.

*Woo-hoo! Drinks are on me!

What’s the house worth to you? Or are you willing to outdo any other (alleged) bid by 10K until you’ve reached the limit of what you can borrow?

That wouldn’t be enough evidence in itself. Besides, you haven’t said what price is being asked.

That completely depends on what you can get the house for. For example if you can get it for the €150k without having to borrow any more, it could be a great buy.

Only up your bid by 1,000 Euro at a time . Its very expensive going up by 5 or 10 grand .

the fact that you yourself call it "throwing away " your 150K tells yourself all you really need to know?

be VERY sceptical about the other bids.

If you MUST make an offer, offer LESS than the phantom bids. If the house sells to someone else dont worry there will always be another house (“unique” or not). There will NOT always be another 150K.

If you get it for 250K after all then you da man - and you can STILL say you dont want it before you sign!