Looking to buy 2018/19

[zamo]

20 hours ago, jwrag said:

Yes was used as the office for the architect who built the Grand Designs house behind this one. Haven'y noticed any occupation of this for 3 or 4 years. Super evasive estate agent (wouldn't admit to being an EA, yet was handing out property brochures and showing prospective buyers around) told me the house was likely to have been sold at auction due to bankruptcy. 

Architect got into "tax difficulties". House went to auction. Sold for between 235-255. Developer/flipper spent £500 on a lick of paint and is now trying to sell for 100k profit. It went SSTC 6 months ago at 360k and fell through. Supposedly due to mortgage issues i.e surveyor found too many faults to justify price.

[zamo]

Kills me to say it.

I think I'm going to put an offer in on Friday.

Brexit uncertainty has been on my mind. If we get a fudge and 2 more years uncertainty i may as well jump now. Ive been waiting 2 years.

If we get a no-deal, God knows what happens interest rates/ Credit availability. 

I can currently get 2.18% on a 5 year fix. 350k borrowing = £1514 per month

If Sterling plummets interest rates may go up quickly as a reaction (unlikely I know). 4.18% would be £1882 a month.

At 4.18%, paying back £1500 a month would allow a 280k mortgage.

So prices could drop 70k and i would be paying the same amount.

I've found a forever house thats listed at below 2005 lpsni valuation.

Will keep you updated.

 

 

[2buyornot2buy]

28 minutes ago, zamo said:

Kills me to say it.

I think I'm going to put an offer in on Friday.

Brexit uncertainty has been on my mind. If we get a fudge and 2 more years uncertainty i may as well jump now. Ive been waiting 2 years.

If we get a no-deal, God knows what happens interest rates/ Credit availability. 

I can currently get 2.18% on a 5 year fix. 350k borrowing = £1514 per month

If Sterling plummets interest rates may go up quickly as a reaction (unlikely I know). 4.18% would be £1882 a month.

At 4.18%, paying back £1500 a month would allow a 280k mortgage.

So prices could drop 70k and i would be paying the same amount.

I've found a forever house thats listed at below 2005 lpsni valuation.

Will keep you updated.

 

 

Good luck. 

[BelfastVI]

One think that has shocked me recently is approaches from the Build to Rent funds. they are factoring in rents of £1,400 pm. I can't get my head around this. is it possible people will pay that.

[stingray192]

 

6 minutes ago, BelfastVI said:

One think that has shocked me recently is approaches from the Build to Rent funds. they are factoring in rents of £1,400 pm. I can't get my head around this. is it possible people will pay that.

Is that for a two bed apartment? If so it’s almost double the current rental in most areas

 

[2buyornot2buy]

33 minutes ago, BelfastVI said:

One think that has shocked me recently is approaches from the Build to Rent funds. they are factoring in rents of £1,400 pm. I can't get my head around this. is it possible people will pay that.

Hope it's not Aviva or my pension model is going to be way out. 

[BelfastVI]

2 hours ago, stingray192 said:

 

Is that for a two bed apartment? If so it’s almost double the current rental in most areas

 

not sure on the size. they were wanting to talk to me about bringing housing into the model. i just heard them referring to the rental figure they were working on for these apartments. I understand it may include heating and electric etc but it was higher than I expected. Perhaps this should be a topic on its own but do you think the market is shifting towards that, These people appear to be putting their money (or as 2buyornot2buy says your money) where their mouth is.

[stingray192]

Personally I am all for ownership rather than rental. When your mortgage is cleared your home is your own, when renting your costs go up each year, it’s ideal for people working short term somewhere or who want to maybe live in Belfast for a few years for social life and buy at a later time more a family home, the big thing for me owning my own home is I can pretty much do what I want to it when I want. Ie extending, new windows, kitchens bathrooms, decor etc 

[2buyornot2buy]

1 hour ago, stingray192 said:

Personally I am all for ownership rather than rental. When your mortgage is cleared your home is your own, when renting your costs go up each year, it’s ideal for people working short term somewhere or who want to maybe live in Belfast for a few years for social life and buy at a later time more a family home, the big thing for me owning my own home is I can pretty much do what I want to it when I want. Ie extending, new windows, kitchens bathrooms, decor etc 

 

1 hour ago, BelfastVI said:

not sure on the size. they were wanting to talk to me about bringing housing into the model. i just heard them referring to the rental figure they were working on for these apartments. I understand it may include heating and electric etc but it was higher than I expected. Perhaps this should be a topic on its own but do you think the market is shifting towards that, These people appear to be putting their money (or as 2buyornot2buy says your money) where their mouth is.

It seems to work for Germany with their higher GDP, productivity and life expectancy. The current "amateur" BTL model isn't the same as build to rent. Johnny renting a house out for his pension and crapping it if the boiler breaks isn't how legal and general or Aviva will operate. It's about longer term investment and returns. It's johnnys nemesis. So while I can see the current rental model unattractive, I see the German model being something we should replicate. 

In saying that, I think there's possible a missommunication. I can't see a pension fund getting the figures wrong to that extent. At current growth levels you'd be looking at decades in the future to achieve 1400 per month.

Rental prices have been stagnant for about 15 years. They haven't even kept pace with inflation. 

Or their building to rent 4 bed detached in BT9. 

[BelfastVI]

On 28/09/2018 at 18:36, 2buyornot2buy said:

 

It seems to work for Germany with their higher GDP, productivity and life expectancy. The current "amateur" BTL model isn't the same as build to rent. Johnny renting a house out for his pension and crapping it if the boiler breaks isn't how legal and general or Aviva will operate. It's about longer term investment and returns. It's johnnys nemesis. So while I can see the current rental model unattractive, I see the German model being something we should replicate. 

In saying that, I think there's possible a missommunication. I can't see a pension fund getting the figures wrong to that extent. At current growth levels you'd be looking at decades in the future to achieve 1400 per month.

Rental prices have been stagnant for about 15 years. They haven't even kept pace with inflation. 

Or their building to rent 4 bed detached in BT9. 

This build to rent proposal is coming from the funds that, as you say do this in other areas. I'm not talking about the Buy to Let boys.

I understood rents have been going up but average rent is something around £600 to £700 per month. However averages, as we know are misleading and it includes all the hovels as well.

The German model, which I understand is only in a number of cities is state subsidized housing for rent. Its not means tested and the theory is if they control enough of the market they can control the overall market and for quite a while that has worked.

[2buyornot2buy]

2 hours ago, BelfastVI said:

This build to rent proposal is coming from the funds that, as you say do this in other areas. I'm not talking about the Buy to Let boys.

I understood rents have been going up but average rent is something around £600 to £700 per month. However averages, as we know are misleading and it includes all the hovels as well.

The German model, which I understand is only in a number of cities is state subsidized housing for rent. Its not means tested and the theory is if they control enough of the market they can control the overall market and for quite a while that has worked.

I know you're talking about funds. Legal and general have about 10 other BTR developments in the UK. My understanding is they are about 10-20% more expensive that average. They are looking a 3-5% yield. 

50th percentile rent in Belfast last year was £650a month. 75th percentile was £750. 

£1400 a month is probably 99th+ percentile. I can't imagine a fund targeting such a tiny market in a regional small city. They are looking for low long-term yield. 

It's also worth mentioning that Belfast has the highest rent to household income ration. 44% of average income spent on average rent. That's what keeps rental levels down.  It's not like house prices where you can borrow to the max. It's not elastic. It tracks earnings. 

 

[BelfastVI]

19 hours ago, 2buyornot2buy said:

I know you're talking about funds. Legal and general have about 10 other BTR developments in the UK. My understanding is they are about 10-20% more expensive that average. They are looking a 3-5% yield. 

50th percentile rent in Belfast last year was £650a month. 75th percentile was £750. 

£1400 a month is probably 99th+ percentile. I can't imagine a fund targeting such a tiny market in a regional small city. They are looking for low long-term yield. 

It's also worth mentioning that Belfast has the highest rent to household income ration. 44% of average income spent on average rent. That's what keeps rental levels down.  It's not like house prices where you can borrow to the max. It's not elastic. It tracks earnings. 

 

The figures you mentioned £600 to £750 were my thinking too. As I say I have been approached about it but can't see it working here.

[2buyornot2buy]

50 minutes ago, BelfastVI said:

The figures you mentioned £600 to £750 were my thinking too. As I say I have been approached about it but can't see it working here.

Can't see it myself. Not on those figures. £1400 is about £350 more than the average South East of England rent. 

Like I said previously, the plan could be for 4 beds in BT9. 

[bear.getting.old]

Hi all this is my first post on the NI forum relating to houses. I 've read this whole thread and the houses being discussed here afre very expensive like £300K.

I've sold my house in England and am now staying with friends in NI looking for work in Eniskillen. There doesn't seem to be much...I have worked in electronics all my life but don't mind changing.

As a NI virgin I'm not very knowledgeable about the pros and cons of living in secretarian areas as an Englishman. What I have observed is there seem to be more jobs in Belfast, but are houses more money?

Where would you live in NI if you were me? I am looking at Enniskillen to be closer to other friends in the south that's why I was targeting that.

Other question is of course with Brexit I see some of you are putting buying off, but the feeling I get is that Brexit doom and gloom is all hot air from remainers still trying to stop brexit and it will make no difference to things here when we leave the EU... Agree?

[darkmarket]

1 hour ago, bear.getting.old said:

Hi all this is my first post on the NI forum relating to houses. I 've read this whole thread and the houses being discussed here afre very expensive like £300K.

I've sold my house in England and am now staying with friends in NI looking for work in Eniskillen. There doesn't seem to be much...I have worked in electronics all my life but don't mind changing.

As a NI virgin I'm not very knowledgeable about the pros and cons of living in secretarian areas as an Englishman. What I have observed is there seem to be more jobs in Belfast, but are houses more money?

Where would you live in NI if you were me? I am looking at Enniskillen to be closer to other friends in the south that's why I was targeting that.

Other question is of course with Brexit I see some of you are putting buying off, but the feeling I get is that Brexit doom and gloom is all hot air from remainers still trying to stop brexit and it will make no difference to things here when we leave the EU... Agree?

Most of your work opportunities will be in Belfast, but you can reach out to headhunters from where you are and then set up a few meetings for a single day. Salaries are much higher in the South, and since you mentioned having friends there, you could also get in touch with headhunters there.

If you don't have a car already, that's a priority. Don't make any plans with public transport as a dependency. Drive your potential commutes a few times at rush hour. The UU House Price Index and the ONS figures will give you an idea of price variations across NI.

You might find Newry makes for an easier compromise between Belfast and the South, but like a lot of places closer to the border even now I wouldn't be sure you'd get a very warm welcome from everyone.

The UK leaving the EU will have serious consequences, up to constitutional change, in NI. There's a possibility of greater North-South union and an accompanying increase in loyalist paramilitary activity, or a hard border and an increase in republican paramilitary activity.

Overall, I'd suggest you reconsider the idea completely.

[simvastatin]

8 minutes ago, darkmarket said:

Most of your work opportunities will be in Belfast, but you can reach out to headhunters from where you are and then set up a few meetings for a single day. Salaries are much higher in the South, and since you mentioned having friends there, you could also get in touch with headhunters there.

If you don't have a car already, that's a priority. Don't make any plans with public transport as a dependency. Drive your potential commutes a few times at rush hour. The UU House Price Index and the ONS figures will give you an idea of price variations across NI.

You might find Newry makes for an easier compromise between Belfast and the South, but like a lot of places closer to the border even now I wouldn't be sure you'd get a very warm welcome from everyone.

The UK leaving the EU will have serious consequences, up to constitutional change, in NI. There's a possibility of greater North-South union and an accompanying increase in loyalist paramilitary activity, or a hard border and an increase in republican paramilitary activity.

Overall, I'd suggest you reconsider the idea completely.

Do you really think Brexit is going to have a very negative impact on the economic relationship between the South and NI

[darkmarket]

12 minutes ago, prozac said:

Do you really think Brexit is going to have a very negative impact on the economic relationship between the South and NI

I didn't say that at all.

[simvastatin]

8 hours ago, darkmarket said:

I didn't say that at all.

I asked you a question, I am not putting words in your mouth 

[bear.getting.old]

14 hours ago, darkmarket said:

Most of your work opportunities will be in Belfast, but you can reach out to headhunters from where you are and then set up a few meetings for a single day. Salaries are much higher in the South, and since you mentioned having friends there, you could also get in touch with headhunters there.

If you don't have a car already, that's a priority. Don't make any plans with public transport as a dependency. Drive your potential commutes a few times at rush hour. The UU House Price Index and the ONS figures will give you an idea of price variations across NI.

You might find Newry makes for an easier compromise between Belfast and the South, but like a lot of places closer to the border even now I wouldn't be sure you'd get a very warm welcome from everyone.

The UK leaving the EU will have serious consequences, up to constitutional change, in NI. There's a possibility of greater North-South union and an accompanying increase in loyalist paramilitary activity, or a hard border and an increase in republican paramilitary activity.

Overall, I'd suggest you reconsider the idea completely.

Are salaries higher in £ terms in the south? The cost of living seems to be higher in the south on anything not made in Ireland, food and goods. Just look at Argos NI prices compared with Argos RoI.

In tax terms since I have UK savings wouldn't the south tax you on the interest as income if resident there, whereas the UK would keep it as your tax free interest allowance? Can you be resident in the south but tax resident in NI? It's all very complicated.

As for reconsidering the idea, which part? I'm here now so need to settle somewhere, north or south. It just seemed a sensible next step to replace my old England UK house with a NI UK house as its all familar, well more than a strange revenue and currency system in RoI anyway.

Why would people be less welcoming to an Englishman in border areas?  I would have thought people were used to them there whereas Belfast not so much? There seem to be a lot of English people in Enniskillen...

As for changes to the border, well all sides involved in the arguements all have one thing they agree on - they don't want a hard border. They are all just trying to hijack brexit to use as means for their own aims.

Edited November 4, 2018 by bear.getting.old

[darkmarket]

5 hours ago, bear.getting.old said:

Are salaries higher in £ terms in the south? The cost of living seems to be higher in the south on anything not made in Ireland, food and goods. Just look at Argos NI prices compared with Argos RoI.

Yes, they are higher in £ terms, as for purchasing power and quality of life it depends on your lifestyle really, easily researched.

5 hours ago, bear.getting.old said:

In tax terms since I have UK savings wouldn't the south tax you on the interest as income if resident there, whereas the UK would keep it as your tax free interest allowance? Can you be resident in the south but tax resident in NI?

You can only be tax resident in one or the other, I suppose you'd have to consider the tax/welfare regimes in the round. My main point was to expect limited employment options in NI, and a lower salary for the same work compared with England.

5 hours ago, bear.getting.old said:

I'm here now so need to settle somewhere, north or south. It just seemed a sensible next step to replace my old England UK house with a NI UK house as its all familar, well more than a strange revenue and currency system in RoI anyway.

Yes it seemed like your questions were about things you'd have thought about before arriving, and could influence the entire decision.

5 hours ago, bear.getting.old said:

Why would people be less welcoming to an Englishman in border areas?  I would have thought people were used to them there whereas Belfast not so much? There seem to be a lot of English people in Enniskillen...

I'm sure you can take a guess, go on.

5 hours ago, bear.getting.old said:

As for changes to the border, well all sides involved in the arguements all have one thing they agree on - they don't want a hard border.

The DUP presumably wouldn't be too upset about a hard border as before and they seem to have a certain leverage at the moment, and some signs are pointing to a sea border between NI and GB, so I think it's fair to say things are still up in the air.