The address:55 York Road, Dún Laoghaire, Co Dublin.
The property: two-storey over basement Victorian house asking €1.55 million.
The agent:Lisney.
The landscape: York Road is in walking distance of Dún Laoghaire main street and a short stroll from the Dart.
The features: laid out over 251sq m (2,700sq ft), number 55 is divided into three self-contained pre '63 units. The property has been well maintained and retains lots of period detail, including ceiling coving, original timber floorboards and fireplaces.
At hall level there is a two-bed unit with sittingroom, kitchenette and shower room. On the first floor there is another two-bed unit with livingroom, kitchenette and bathroom. At basement level there is a unit with two bedrooms, a kitchenette and bathroom and its own gravelled garden. The house could be converted back to a family home, kept as three separate units or a home with a basement unit.
How much for an investor?Stamp duty will be €99,750 for investors or people trading up, bringing the total acquisition cost to €1,649,750. An investor could raise €1,240,000, which represents 80 per cent of the purchase price. On a full-payment basis this would work out as €7,266 per month over 30 years and €5,983 per month on an interest-only basis. These figures are based on a variable rate of 5.79 per cent with IIB Homeloans.
How much for an owner-occupier?A first-time buyer or a person trading up could secure a mortgage of 92 per cent (€1.426 million) at a rate of 5.95 per cent on a three-year fixed rate with First Active over 35 years. This would mean a repayment of €8,071 per month.
While there are better rates than this available, none of the other banks were able to confirm the exact loan-to-value rates they would be prepared to offer (the range was from 75-85 per cent of the purchase price).
Potential: rental income would be in the region of €1,300 to €1,400 per month for the self-contained basement or, if the property was kept as three units, around €4,000, according to the letting agent. The house also has full planning permission for off-street car-parking to the front.
Verdict: with a rent of €4,000 per month for the entire property (roughly represent a 3 per cent yield) Number 55 does not work as an investment property. It could, however, be attractive to an owner-occupier looking for a home with a basement flat, which could help pay the bills.
• Calculations by Simply Mortgages
