The address:Apt 43, 52 Mountjoy Square, Dublin 1.
The property:one-bedroom apartment for €119,500. The third floor south-facing apartment has 30sq m (323sq ft) of space and a private balcony. It is in a well-maintained scheme and the annual service charge is €1,843. There is no car-parking space
The agent:Gunne.
The landscape:a short walk to the IFSC, O'Connell Street and Croke Park, Mountjoy Square improved greatly during the boom years. There is good access to public transport, and a good selection of retail and leisure facilities nearby.
How much for an owner-occupier?The maximum loan AIB would consider is 92 per cent of the price, or €109,940, leaving an equity requirement of at least €9,560. To qualify, a single first-time buyer would require a salary of €29,500 or two individuals would require minimum incomes of €16,000 each. At a one-year fixed rate of 3.59 per cent (APR 3.33 per cent), monthly repayments work out at €642 over 20 years and €555 over 25 years. At a variable rate of 3.49 per cent (APR 3.54 per cent) repayments work out at €637 a month over 20 years and €550 over 25 years.
How much for an investor?The maximum loan AIB would consider on an investment property is typically 75 per cent of the value, or €89,625, leaving an equity requirement of at least €29,875. The maximum term is 25 years. At a variable rate of 4.2 per cent (APR 4.27 per cent), the monthly repayments on this mortgage would be €552 over 20 years and €482 over 25 years.
Potential?The apartment would rent for around €750 a month.
Verdict:more or less washes its face financially so it suits an investor.
- Calculations by AIB
– Justin Comiskey
