What are your thoughts on landlords, the Irish rental market and the Irish property market as a whole? Feel free to share any personal experiences if you wish!
We were considering retiring to Ireland and invest as a landlord. This video made me have serious doubts!!! Since we've been helping abroad and since we've been in foster care, our pension is well below the poverty line. But we do have a property, we can sell and then invest the money. So, now what? We were told, that the Irish people are real nice and we like the climate (yes, we do). We already speak the language. But if Ireland is taxing landlords so high, it's not even possible for us. We've got to live of it, since one of us is too ill to work and the other above 70. ANY ADVICE in where to invest in, which gives us an annual income? Start a small hotel and let apartments indefinitely without people being able to officially live there? But that might be tricky as well? It's our kindness, that makes us have to live of investment now. We are not nasty people at all! Frugal, hard working and caring, but now too ill and too old...
I become landlords because 1) its an easy business to understand 2) i could.use leverage 3) its a pension i can manage 4) limited counterparty risk until the RTB stepped 5) .potential home for one of my kids if they got sruck.....I paid my taxes and put a lot of blood sweat tears into it over the years. I wont sell as my loans are low now but there is no incentive for others to stay with over inflated prices, rising %rates, stealth taxes, disfunctional biased regulator, potential major refurbs down the line for BER conpliance..def coming. God help the people who expect rhe govt, CIF and REITS to provide affordable accomodation. People.will be getting on the boat
Had a call recently from a flat I let to two phd students. One studying nuclear physics the other applied mathematics. They wanted a new vacuumed cleaner , said the newish existing one not working. When I called,the problem was obvious, the plug wasn’t fully inserted into the socket. Well at least I didn’t have to buy a new one.
you dont own a property if youare a) paying property tax b) constrained by govr imposed price caps 3) restricted as to when you can sell or 4) when you can evict.
Another helpful video. I am a landlord charging €1700 a month for a 4 bed in a "Rent Pressure Zone". The tenants are fine and have been there over 10 years, but I still get calls over faulty kettle, fuse in socket, leaky tap etc, I wish I could phone someone every time I have an issue with my own house. The going rate for the area is €2200. I am really concerned about Sinn Fein policy of "tenancies of indefinite duration" as I had planned to use the property myself when I retire or for my children. FFS it is my property and I should be able to do what I want with it. This means Sinn Fein have lost a 8 votes from my clan. Although I think they should need a referendum to take away the right of landlords, which should give me enough time to get out. Rent pressure zone should be scrapped. The elephant in the room is houses are expensive and rents reflect this, the market ( location, quality of property etc ) should drive the price of rent not government policy. Regulation, why do I have to pay the RTB annually? Why can large landlords claim back all expenses but I can't. Totally unfair. I enjoyed reading the other comments also. Great info.
A private landlord does not, in most cases, invest in building new housing stock, rather purchases existing housing stock to remove it from the real estate market and move it into the rental market. This reduction of the supply of housing available to purchase pushes real estate prices upward. Unless the housing supply issue is dealt with, buy to rent landlords are a net negative for the Irish economy. I would argue that the housing supply issue can only really be dealt with by the institution of semi-private not-for-profit housing corporations, whose remit is precisely to provide high-quality affordable housing - this is the model that places like the Netherlands have been implementing for decades with success. Buy-to-let private landlords are not the solution, because very simply their interests are by definition not aligned with the interests of the population at large.
Great video. it explains exactly why landlords or what i would call provider of housing why they are leaving the rental market. The problem is only going to get worse for new tenants looking for a house.
@Paul Messenger It's called FOM . I presume you think Irish people should be able to emigrate as they have done for centuries or should that be halted ?
Thanks Dan for very informative video. I ha x4 units and rents are very low. I have a good relationship with my tenants east European. How ever I find nothing but problems with the Irish ones I ever had. I am leaving now and serving notice to 12 people. Bad gov policy and Sinn Fein promise are the reason these 12 people will be looking for a new accommodation shortly. Good luck to the rental sector and best of luck to the tenants what ever rises from the ashes after this exodous Can you do a video on what where I can put my money once I sell thanks again
“Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.” - Ronald Raegan
We could just spin it to - landlords are people who are in a position to buy multiple houses and do a public service by renting them out rather than leave them sit empty until the land increases in value. People who think it should all be ran by the government seem to forget how "well" the government manage hospitals and everything else they've neglected.
There is a significant flaw in the thoughts in this video. Individual people that participate in the stock market are not comparable to people who buy a single property to become a landlord. Those people are closer to being a business owner. There is the option (in other countries) to chip in on financing estates and owning a share of that, but you won’t have a direct ownership to one house or apartment. If you see landlords as business owner (they run the business of renting a place to others) then some of the points you mention suddenly make sense. If you are working in the office as an accountant and your secondary business is to run the “John doe rental” company, that is a secondary job that will have a higher tax bracket. The smart thing now would be to actually make it a limited and not just running it private. Unfortunately buy to rent out was always marketed more in the way that it was compared to being a shareholder, but who becomes right away a majority shareholder who suddenly has to make business decisions in a company? Definitely not the average joe. And that is a big part of the problem, suddenly they need to take care of things (maintenance another house, handling contracts etc) and they do not have any background in it, worse they also have to meet expectations from the tenants (painting over mole isn’t enough, why does the kitchen has 1970 standards, could you replace the oil heating with something modern…) all of that wasn’t in the nice prospects that promised the easy money… just like on the stock market.
I am very thankful to good landlords I had in the past and I wish them all the best. I am also very unthankful for the pricks that only wanted returns but maintained their properties terribly and made me waste immense amounts of time and effort to solve the most basic and simple problems. I am even angrier because now I live in Europe and here in The Netherlands you can only get anything affordable via "social housing", which means you need to wait 10 years to move if you're stuck in a bad property. That being said. I accept being a tenant as I have no other choice and I also feel that in any tenancy I am on the "good end" of the deal. I'd be terrified with the risks involved on dealing with tenants and I would not want to invest on a property to let out as the risk is too high for people who don't have enough assets to not depend on their rent income (on top of tenants potentially ruining your property).
Great video! I have been renter for many years while working every hour I could and saving money. I’m home owner now and landlord too. I do my best to look after my rental properties so my tenants would be happy there. One of my tenants stopped paying rent for months and eventually left leaving house in a terrible state, broken door etc. Fixed it up spending thousands and rent it out again to so far amazing tenant. Just because I got 1 bad tenant I’m not thinking bad about all tenants but when discussion comes about landlords feels like society think that landlords were born owning properties or got them free and now they charge tenants for nothing and try to make tenants lifes worse in every way possible 🤷♂️ There are bad landlords as there are bad tenants. I would encourage every tenant to work towards owning own property, it’s hard work at first but totally worth it.
Nice video! I think ultimately, like you stated, the lack of supply and increase in demand post financial crisis recovery is the main issue. Blaming landlords, vulture funds, etc, is not very productive. All landlords are profit motivated, which is expected, but there are landlords now charging 600-700 to language students' ton share room with 3 people and a house with 6-10. That is a disgrace to do, and it's a disgrace our country has created a market for it. In terms of rent pressure zones, when you see the increase in rents, you have to accept that it was needed. I know people on 60k to 100k either in single or join income with partner who have remained in the same home in Dublin renting for 5+ years despite increased income because what is available in market range from insane pricing to one bed kitchen/ bed rooms. Short-term, you must protect working and middle-class people, but you also need to fix the issue. The main problem I see is that the current government, in particular FG, left it far too long, hoping the market would fix itself. The likely future government SF is completely concerned with social and affordable housing, and all members of our parliament(Dail) all agree we need to build more but often do not want new developments in their own areas. So I agree that "landlords are not evil," but until we sort out our housing and rental crises, we are going to have shock waves from social "extreme left and now extreme right" and ultimately FDI will diminish as it becomes much more expensive to hire talent due to cost of living than places like Madrid, Lisbon, Paris, Berlin to name a few.
A great analysis and very informative. The government really do have to step up to the plate here and solve the housing crisis even if part of that solution is to give current landlords a tax incentive to stay in the market instead of selling up. It might even be for a limited period of say 5 years until more housing units are constructed. I feel sorry for renters and landlords in the current Irish rental market. There are no winners in this scenario. The RTB are biased which is grossly unfair. It undermines public trust in such bodies and perpetuates the misconception that all landlords are greedy profit-makers.
@@malone_financial Not those who bought pre-pandemic outside of RPZ's and are gouging 2-3X their mortgage let alone the property value being up 30-40%?
Ireland has the worst government in 100 years. Paying 52% tax is absurd. Add on all other costs and it just aint worth it like it previously was back in the day. REITs and vulture funds paying no tax is what really turns my stomach. As a long time Landlord, I am seriously considering selling my 2 properties. Life will be a lot easier.
Cheers for sharing Tom. Regarding REITs/vulture funds, you might be interested in one of my most recent videos about Cuckoo Funds. I explain the rationale behind the taxation regime. It's not as 'stomach turning' as the media makes it out to be.
I’m a landlord and have just listened to you for the first time. You’ve scared me to death . I know nothing of the “market” or secondary investment. I won’t sleep at all tonight worrying
Hit the nail on the head. As a landlord I have nothing to add as you covered everything including things I didn't realise. It seems that the government is trying to ' fix' the problem by dicking around with taxes and incentives when what we needs to happen is to build much more affordable housing and not make it so difficult for people who have a desire to build log cabin kits, Modular housing etc on family owned land. I honestly think that the government has no intention what so ever in solving the housing problem.
I am so glad I am leaving the rental market as a small landlord, which is a funny name to be labeled with, when I only had a 2 bedroom apartment to rent out, but as it was costing me €6,250 a year in negative income due to paying 52% tax on all income off the property, there now one less property available for rent. This I believe is a deliberate ploy by the current government, to tax landlords out of the market and to leave a bigger housing and rental market mess for Sinn féin when they get in government next. But as Sinn Féin seem to have a lower opinion of landlords than even the current government, I believe things can only get worse for the citizens of Ireland.
Well said. Totally dis functional market. If government don’t step in which they won’t, then situation will just get worse. Lots of risk out there. If I ever get an inheritance I always said I’ll buy one or two investment properties but I won’t be to touching it with a barge pole unless some major changes happen. No wonder landlords are all sellling up cash in while they can. Must also remember a lot were in negative equity and maybe just only breaking even after the last financial world collapse in 2008. As you say a reit or other investment carries less risk
When interest rates fall very low people with cash have lost buying power so have bought land and homes. With interest rates climbing asset prices are tested. In New Zealand when the 1st Labour Government used creation of credit (money as debt created by the Reserve Bank of New Zealand) to fund the building of homes to rent to people based on their income. This was done to overcome a shortage of homes. Given private bankers creating money yet Governments do not . As a country you need your own currency, military and laws. As a member of the EU without your own currency the people have a government that can not create money. In the EU your MEPs do not have power of creating money. This is because EU treaties deal with money. So while you have elections you have government that are at receiving end of the private bankers. So a free market when Central bankers set interest rates is not a free market. In the USA The Federal Reserve is a private bank
I have no problems with landlords wanting to make money and yes, maybe they are taxed too much. My issue is with the quality of the rentals. In Dublin even very shabby homes command premium prices. I actually think most people are afraid of confronting their landlord or report issues to the RTB.
@@malone_financial Part of the problem of poor quality rentals stems directly from the issues you've mentioned. If your return is poor and subsequent investment into a property is also not going to have a good return. There is very little consequence for a tenant destroying a property/investment. So why invest more than the minimum? On the other side is that due to the poor returns a lot of "good landlords" have left, increasing the percentage of landlords who don't pay tax or flat out ignore the regulations. "Bad landlords" for want of a better word have less competition. Poor returns don't just decrease the amount of places to rent it also reduces the average quality of rental accommodation. In some respects the general dislike of landlords has become a bit of self fulfilling prophecy.
@@peadarcorbally The idea that landlords will make improvements if their profits are better is a joke You must be joking. Those returns are going to their pockets, no matter what. Landlords would sooner let a child die from black mold than willingly spend money on the property.
Is there an option in Ireland for the landlord to become a mortgage lender to their tenants (if they fully own the house) or do we have rules and tax implications that make that unattractive here?
@@malone_financial It's just something I've seen on American property listings - it seems to be aimed at people who can't get a mortgage from a financial institute so the home owner mortgages the house to the tenants rather than rent it to them. The former owner still has a monthly income from the house but no landlord duties.
The tax treatment of Irish REITs is in line with the tax treatment of REITs in the UK and US. So we're no different to other countries. The tax code just needs to be updated to reflect the current economic importance of landlords and incentivize them accordingly.
@@malone_financial I am trying hard to not put on my conspiracy hat (own nothing, be happy) :) Given the looming pension crisis, I suppose it makes sense to favour small landlords on long-term basis.
As a landlord inherently using my forces of evil to make a villainous profit I did enjoy this video. The secret to affordable rent is to increase supply. It seems the politicians are a little thick on this idea. So, they define small landlords renting to regular Irish families as evil. The result is that they have left the coming rental market to people like me will buy a never rented place, make it grand and rent it at ludicrous rate to the high end transient market. This leaves the rental market to the Irish families nicely in the hands of the corporations who will lobby for all their tax cuts while promising that new construction will be aimed at the "affordable market."
It seems to be, a friend's brother sold some land he owned to the local authority for over a million euros, and all there seems to have been built is one rather large opulent house. Now I'm not a conspiracy theorist but you do have to wonder.....
@@malone_financial Just to put some numbers on things. Historically, (looking back over last thousand years) housing cost versus rental should have a multiple of 12-15 on the annual rent. Recent history has lifted this closer to 15-18 for most major cities with a few outliers hitting 40. At the same time, a person should be able to house their family for 40% of their household income. Politicians have done a nice job recently of raising that to 60%. (They are so good at fixing the problem!) Finally from a historical viewpoint the long term cost of rental versus purchase should be roughly equal. Taking a look at Galway, it is possible to buy and fix up a two bedroom duplex apartment for 300K and rent it for 24K/year. That is a multiple of 12.5 putting the Galway market into what is very affordable from the landlord viewpoint. Provided it has not been rented before. A similar unit in the same building sold around the same time for 60K less, but could only be rented for 12K/ year due RTB rules. That comes in at 20. Not good. Using 45K for a median household income in Galway the first numbers come in just under 60% income and the second under 40%. Except that as a renter that price on new is going to be going up and as a purchaser the affordable price on the old is going to be squeezed by lack of supply. As an investor I note that I can buy a place under RTB low rent rules, demolish, rebuild and double the return. Now some bright light is suggesting making tenancies 'permanent' ! That will stop the demolish and rebuild. It will discourage new investment. One wonders how someone will buy a home for themselves if they can only buy new build since all the old supply are rentals? I guess we will have to wait and see what the actual rules become and how many loopholes are cut through. In my local market the rental rate is now pushing 80% of income and the purchase multiple is sitting at ~36 after having a little drop over the last few months. Galway just seems so much more affordable to me on all measures. In all the markets that I have looked at the problem is a lack of supply. Usually because of resistance to development from politicians. Here politicians have finally started acting in a more sensible fashion. They are gritting their teeth since the results are not politically popular and the best they can hope for is a "soft landing" on house price and rent rates. RTB attempts at "rent control" most resemble the various tin pot dictators attempts to hold their currency pegged at the US dollar. In the end the black market always wins. In all the above I was looking at typical two bedroom prices. I will leave it up to individual judgement as to whether a family of four can fit in a typical two bedroom.
I think most hate landlords in Dublin because they rent out apartments with black mold growing up walls and couldn’t give a shite. I agree with most of what you said, but owning a property in Dublin and the rent most likely covering their mortgage, than investor would make a lot of selling since prices are rising so fast in the market.
Just decrease regulations, taxes and allow people to build tall buildings. Any major city in the world has a lot of tall buildings, there is no other way
Buildings in Ireland are not a good option unless it is owned by the county to be used as affordable housing. In Irish law, the owner of an apartment is who owns the land. if you buy an apartment you are not the owner of the unit. You will pay a leasing that normally has the duration of 100 years. after this period the unit returns to the original owner that is who owns the land
I’m renting in Ireland for 17 years and would disagree on reason of hatred towards landlords. In my personal experience most people dislike landlords because their approach to that as if it’s a small business. Every smallest essential property maintenance expense they account as a lost profit and as every “great businessman” they trying to avoid loses in business, so they refuse or avoiding or delaying when comes to maintenance. Most renting places is absolute disgrace and landlords should not be allowed to let people to live in such conditions. 10:17 In real life when property rental price below market, landlord just saying “I’m going to sell house” gives tenants months’ notice (been done to me personally), then paint few walls and get new tenants in at higher price. Price increase cap is a lot of b***, there is no tools given to new tenants to check that and if you start to as questions about price this property was rented before, there is a queue of people on each viewing, so landlord just won’t call you back and because of that queue most people wont even question price.
Cheers for sharing your perspective Aleksei! As I said, there are going to be instances (like yours) where tenants have negative experiences, like what you explained in relation to maintenance. I certainly don't support tenancies that have poor living conditions. However, I equally don't think that such an experience(s) should be extrapolated onto all landlords universally (or to imply that all landlords treat their tenants and their properties poorly). Also, with respect to 'treating it like a small business' of course they will! The central point to the video is that landlords are going to take steps to protect their total investment returns (like any investor should). This is perfectly acceptable provided it's done legally. Again, with the rent caps in RPZs, that may have been your own personal experience and/or speculation and if true, you can always report to the RTB. But those are the rules.
Sounds like you had a bad experience with your landlord/landlords. Please don’t tar all landlords with the same brush. I’ve had tenants who were far from perfect over the years but you don’t hear me ranting about all tenants being scumbags.
You mentioned you’ve been renting in Ireland for 17 years, so you’d remember when the arse fell out of the rental market in 2008, did anyone feel sorry for landlords when it was a renters market and landlords lost their bollix on what rents had dropped to. No is the answer. What goes around comes around. Stop your moaning. ps Rent a room available in rathmines . €850 all bills incl.
Actually, this was a culture shock for me - attitude toward landlords. My parents grew up in USSR, landlords were illegal. That means nobody was able to move from small villages to cities to make some money so the poor stayed poor. It was like a prison.
oh no you have to pay tax like all other forms of income. If youre still making a profit over the mortgage and other fees you're making a profit. IF you do see being a landlord as a business then have to be subject to regulation like any other business. Plus you can be a landlord just for the increase in the valuation of the property just like non-divided stocks not seeking for any income.
The entire point of this video has completely gone over your head. As I mentioned numerous times, the point is that the total investment returns (capital gains plus rental income) offered by Irish property in Ireland as an asset class are not sufficient enough to justify an investment of capital (as compared to investments in REITs, ETFs or other equity investments). That's before you consider the significant additional workload associated with being a landlord as compared to a stock market investor. You're neglecting the fact that landlords (a.k.a. investors) have options and they should always act in the best interests of their investment returns (otherwise they're bad investors). In summary, yes you're still making a profit if rental income exceeds mortgage costs and other fees. Yes you can invest for the increase in valuation. But the critical point is that if the sum total of those returns are less favourable than what's offered by stocks or other investments, there is no reason why an existing landlord should stay or why a prospective landlord should invest.
Extremely biased, intellectually disingenuous, and generally vapidly condescending video: Repeatedly frames homes as “investments” without any caveat. Housing is a human right first. Housing shouldn’t be ‘protected’ as an investment when the entire market is massively constrained: private investors *can be* incentivised by the state as a useful vehicle to achieve housing goals in *some* market contexts. They are not the only, or the best, path to doing so in many market contexts. I.e it doesn’t matter whether Moire the 3-house-owner who hasn’t worked in 25 years can continue to have a nice little earner; when we can’t find enough builders to build as many homes as are financed and in-demand anyway. ‘Investors’ face risks, and shouldn’t be cushioned from those risks because they think they can hold basic human rights hostage (“because of the… implications”) Also seedy to blankety frame landlords as “providing” homes and “value”. Build-to-rent & buy-to-rent is not remotely comparable as a “Service” in a constrained market with limited supply. And most landlords are buy-to-rent, who’s only service is qualifying for a mortgage and making tenants wait 5 months to fix their heating. Talk to me about incentivising major developers for build-to-rent programs and your might be providing ‘value’. All in all an extremely biased video which does not divulge its stakes in the circumstances and just becomes an angry rant honestly.
@@wordimobi5765 Wow, not only did you fundamentally misunderstand my comment, but you don't even seem to understand the words you used in your own comment. Next level shitpost, 10/10.
They blame landlords for housing crisis 😂😂 landlords are not government!! Landlord don’t build homes! This government is useless!! They’re policies are bad!!
Very informative 👍🏻 I have a pre 63 in Cabra park. Currently rented out. It needs major works done to update the place. ? Is there any way to relocate tenants while work are carried out. ? Is there any government grants for up dating rental accommodation.
There's an huge difference between investors and speculators. And investing on house it's just legalized speculation. Until people try will try to defend those sharks there will never be wellness. How do you call selling or renting cardboard houses for outrageous prices? For me it's speculation you can call it with plenty of fancy names they've taught at university.
Consider Benjamin Graham's definition of investing "an operation which promises safety of principal and an adequate return". He defines speculative operations as any which do not meet the above definition. If we compare property investing to, say, cryptocurrencies (true speculation), the major difference is somewhat predictable cash flow (market rent). From that market rent, you can derive a cap rate for the property and make a valuation assessment (over/undervalued) based on that fact. Yes, you could speculate on short-term price movement, but many of these properties are held for long-term investment. I would argue that property investing isn't nearly as speculative as other asset classes (namely crypto)
The difference between property and stock is that property is a ponzi scheme that contributes nothing to society. If I buy stock in a company. That company can use the money I have paid to expand and sell more goods and services. This causes the stock price to increase in the long run as the value of the company grows. Housing, on the other hand, depends on extracting money from people trapped in a private rental sector by high property prices. Landlords create scarcity by outbidding aspiring homeowners, and then charge a fee to those same people who are now locked out of the market. One investment is parasitic, the other isn’t. It isn’t that hard to understand.
My parents grew up in USSR, landlords were illegal. That means nobody was able to move from small villages to cities to make some money so the poor stayed poor. It was like a prison.
This is the standard red baiting bullshit that you get when you criticise landlords. “You want the Soviet Union, mountains of corpses, Venezuela!” Buy-to-let mortgages didn’t even exist in Ireland until 1996. The private rental sector was tiny at the time. Society didn’t collapse, there were no gulags, it worked fine. Cop on.
It is not only the rent value causing this against landlords. I live in Ireland and I pay rent in Ireland, most precisely Dublin. Problem is 4:40 "Being a landlord is not profitable" - This is an absurd lie!! How can not be profitable if people are renting a single room for €900 up and a shared room for €600 up?? We have hundreds of adds every week for single rooms for rent to couples only for €1200 or for two people that don't mind to share a bed. Or other hundreds of adds for bed in shared rooms where the pictures shows 2 or 3 bunk beds in one room where a bed is being rented for €600. In a house with 3 rooms, 3 bunk beds each room being 600 quid each bed you have the absurd amount of €10.800 per month and these landlords don't pay taxes. You have no real idea, or don't want to show up in your videos, the real conditions about rent in Dublin. So this "being a landlord is not profitable" is the biggest BS ever. Go to facebook and join the groups "Brasileiros in Dublin", "the Ideial Flatmate Dublin" and "Rent Dublin Accommodations" and you will find these adds I just mentioned. There is another issue here. Now the government is giving the Rent Tax Relief, a lot of people are having problems to get the RTB number cause the so called "Accommodations agencies" don't want to give the number cause they are not registering people within the RTB. These agencies rent from someone, so they have their RTB registration number, and they are subletting the property but in a bed system. Piling bunk beds and rent a bed for those €600. These agencies, Leevin being one of them, is sending email to people saying the Rent Tax Relief is for people allowed to work full time in ireland and like most of these people are students, they can only work 20hs a week so they are not illegible to the Rent Tax Relief which is not true. I can also add to this people that are in HAP and renting the entire property while government pay their rent or about landlords evading women from shared rooms cause they get pregnant. The entire rent market in Ireland stinks and is absolutely disgusting. Government here like to get in everything they shouldn't about people lives but what they really have to intervein they don't give a fuck. There is never money to fund affordable housing but they can get out of the topper €100M to fund the stupid cycleway in Dublin town
It's not profitable if compared to other means of truly passive income... If you want to be a passive landlord you have to pay many expenses, management companies, repairs, insurances, taxes, sometimes condo/building related costs. You might think that the profit out of this outperforms the market's, but if you include that such are taxed easily at 40%+(sometimes 48%+ depending on other incomes the person might have), the profit is actually very low. Your safe ETF will pay 8%, 8% of 500k is 40k a year, you pay out the taxes(33% to 40%), and voila you got 2k eur a month after tax, truly passive. I'm brazillian myself, luckily I'm on a very comfortable situation in my life, but I gotta say that I agree with you in all terms in regards to shit practices of your average landlord in Dublin city(I don't want to extrapolate this to elsewhere). Some of the houses are just disguisting, they should be closed for safety risks but we all know it all ends very posively, it ends in pints and gags at the end.... I've though again and again about becoming landlord and I simply can not see the benefit on it, even considering the huge potential increases in house prices, from now on this situation is also unstable and on the verge of a reversal. Stocks are for sales, so investers are all buying bottoms of the market instead of overpriced houses... Many houses are also on a condition where they have to do emergential maintenance(as an example, most of the celtic times buildings), so buying a house might mean you gonna pull another 20-30% just to fix it's nasty state. No advantage whatsoever in being landlord here, only downsides so far. I can't even get myself into building a house for myself honestly.
I know about the disgraceful situation of bunk beds for Non-EU language students . I feel the Irish government needs to stop allowing non-EU language students - we don’t have enough accommodation to House them! It is not good for the students nor for Irish renters. I had a Brazilian guy work in my business part time and I really respect these students but we are in a housing crisis and the language study visas should be stopped!
What are your thoughts on landlords, the Irish rental market and the Irish property market as a whole? Feel free to share any personal experiences if you wish!
We were considering retiring to Ireland and invest as a landlord. This video made me have serious doubts!!! Since we've been helping abroad and since we've been in foster care, our pension is well below the poverty line. But we do have a property, we can sell and then invest the money. So, now what? We were told, that the Irish people are real nice and we like the climate (yes, we do). We already speak the language. But if Ireland is taxing landlords so high, it's not even possible for us. We've got to live of it, since one of us is too ill to work and the other above 70. ANY ADVICE in where to invest in, which gives us an annual income? Start a small hotel and let apartments indefinitely without people being able to officially live there? But that might be tricky as well? It's our kindness, that makes us have to live of investment now. We are not nasty people at all! Frugal, hard working and caring, but now too ill and too old...
I become landlords because 1) its an easy business to understand 2) i could.use leverage 3) its a pension i can manage 4) limited counterparty risk until the RTB stepped 5) .potential home for one of my kids if they got sruck.....I paid my taxes and put a lot of blood sweat tears into it over the years. I wont sell as my loans are low now but there is no incentive for others to stay with over inflated prices, rising %rates, stealth taxes, disfunctional biased regulator, potential major refurbs down the line for BER conpliance..def coming. God help the people who expect rhe govt, CIF and REITS to provide affordable accomodation. People.will be getting on the boat
Had a call recently from a flat I let to two phd students. One studying nuclear physics the other applied mathematics. They wanted a new vacuumed cleaner , said the newish existing one not working. When I called,the problem was obvious, the plug wasn’t fully inserted into the socket. Well at least I didn’t have to buy a new one.
So much for them being educated 😂 I'm curious though. Do you have to supply a vacuum cleaner for the tenants. Can they not buy their own?
you dont own a property if youare a) paying property tax b) constrained by govr imposed price caps 3) restricted as to when you can sell or 4) when you can evict.
Another helpful video. I am a landlord charging €1700 a month for a 4 bed in a "Rent Pressure Zone". The tenants are fine and have been there over 10 years, but I still get calls over faulty kettle, fuse in socket, leaky tap etc, I wish I could phone someone every time I have an issue with my own house. The going rate for the area is €2200.
I am really concerned about Sinn Fein policy of "tenancies of indefinite duration" as I had planned to use the property myself when I retire or for my children. FFS it is my property and I should be able to do what I want with it. This means Sinn Fein have lost a 8 votes from my clan. Although I think they should need a referendum to take away the right of landlords, which should give me enough time to get out.
Rent pressure zone should be scrapped. The elephant in the room is houses are expensive and rents reflect this, the market ( location, quality of property etc ) should drive the price of rent not government policy.
Regulation, why do I have to pay the RTB annually? Why can large landlords claim back all expenses but I can't. Totally unfair.
I enjoyed reading the other comments also. Great info.
Cheers Pat. Appreciate you sharing your perspective as a landlord. It adds great value to the discussion
I am a Landlord & I am in the exact same position with RPZ. I also feel exactly the same about SF
My Apple shares never ring me up at 1am saying the hot water is on the fritz again...
This made me chuckle
A private landlord does not, in most cases, invest in building new housing stock, rather purchases existing housing stock to remove it from the real estate market and move it into the rental market. This reduction of the supply of housing available to purchase pushes real estate prices upward. Unless the housing supply issue is dealt with, buy to rent landlords are a net negative for the Irish economy. I would argue that the housing supply issue can only really be dealt with by the institution of semi-private not-for-profit housing corporations, whose remit is precisely to provide high-quality affordable housing - this is the model that places like the Netherlands have been implementing for decades with success. Buy-to-let private landlords are not the solution, because very simply their interests are by definition not aligned with the interests of the population at large.
Great video. it explains exactly why landlords or what i would call provider of housing why they are leaving the rental market. The problem is only going to get worse for new tenants looking for a house.
Make no mistake about it. The government's open door policy is the main reason why we are in this situation.
Which open door policy are you talking about ?
The European immigration pact
@Paul Messenger It's called FOM . I presume you think Irish people should be able to emigrate as they have done for centuries or should that be halted ?
Thanks Dan for very informative video. I ha x4 units and rents are very low. I have a good relationship with my tenants east European. How ever I find nothing but problems with the Irish ones I ever had. I am leaving now and serving notice to 12 people. Bad gov policy and Sinn Fein promise are the reason these 12 people will be looking for a new accommodation shortly.
Good luck to the rental sector and best of luck to the tenants what ever rises from the ashes after this exodous
Can you do a video on what where I can put my money once I sell thanks again
“Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.” - Ronald Raegan
We could just spin it to - landlords are people who are in a position to buy multiple houses and do a public service by renting them out rather than leave them sit empty until the land increases in value. People who think it should all be ran by the government seem to forget how "well" the government manage hospitals and everything else they've neglected.
Agreed
"public service" that's not a public service
There is a significant flaw in the thoughts in this video. Individual people that participate in the stock market are not comparable to people who buy a single property to become a landlord. Those people are closer to being a business owner.
There is the option (in other countries) to chip in on financing estates and owning a share of that, but you won’t have a direct ownership to one house or apartment.
If you see landlords as business owner (they run the business of renting a place to others) then some of the points you mention suddenly make sense. If you are working in the office as an accountant and your secondary business is to run the “John doe rental” company, that is a secondary job that will have a higher tax bracket. The smart thing now would be to actually make it a limited and not just running it private.
Unfortunately buy to rent out was always marketed more in the way that it was compared to being a shareholder, but who becomes right away a majority shareholder who suddenly has to make business decisions in a company? Definitely not the average joe.
And that is a big part of the problem, suddenly they need to take care of things (maintenance another house, handling contracts etc) and they do not have any background in it, worse they also have to meet expectations from the tenants (painting over mole isn’t enough, why does the kitchen has 1970 standards, could you replace the oil heating with something modern…) all of that wasn’t in the nice prospects that promised the easy money… just like on the stock market.
I am very thankful to good landlords I had in the past and I wish them all the best. I am also very unthankful for the pricks that only wanted returns but maintained their properties terribly and made me waste immense amounts of time and effort to solve the most basic and simple problems. I am even angrier because now I live in Europe and here in The Netherlands you can only get anything affordable via "social housing", which means you need to wait 10 years to move if you're stuck in a bad property.
That being said. I accept being a tenant as I have no other choice and I also feel that in any tenancy I am on the "good end" of the deal. I'd be terrified with the risks involved on dealing with tenants and I would not want to invest on a property to let out as the risk is too high for people who don't have enough assets to not depend on their rent income (on top of tenants potentially ruining your property).
Great video! I have been renter for many years while working every hour I could and saving money. I’m home owner now and landlord too. I do my best to look after my rental properties so my tenants would be happy there. One of my tenants stopped paying rent for months and eventually left leaving house in a terrible state, broken door etc. Fixed it up spending thousands and rent it out again to so far amazing tenant. Just because I got 1 bad tenant I’m not thinking bad about all tenants but when discussion comes about landlords feels like society think that landlords were born owning properties or got them free and now they charge tenants for nothing and try to make tenants lifes worse in every way possible 🤷♂️ There are bad landlords as there are bad tenants.
I would encourage every tenant to work towards owning own property, it’s hard work at first but totally worth it.
Nice video!
I think ultimately, like you stated, the lack of supply and increase in demand post financial crisis recovery is the main issue. Blaming landlords, vulture funds, etc, is not very productive.
All landlords are profit motivated, which is expected, but there are landlords now charging 600-700 to language students' ton share room with 3 people and a house with 6-10. That is a disgrace to do, and it's a disgrace our country has created a market for it.
In terms of rent pressure zones, when you see the increase in rents, you have to accept that it was needed. I know people on 60k to 100k either in single or join income with partner who have remained in the same home in Dublin renting for 5+ years despite increased income because what is available in market range from insane pricing to one bed kitchen/ bed rooms. Short-term, you must protect working and middle-class people, but you also need to fix the issue.
The main problem I see is that the current government, in particular FG, left it far too long, hoping the market would fix itself. The likely future government SF is completely concerned with social and affordable housing, and all members of our parliament(Dail) all agree we need to build more but often do not want new developments in their own areas.
So I agree that "landlords are not evil," but until we sort out our housing and rental crises, we are going to have shock waves from social "extreme left and now extreme right" and ultimately FDI will diminish as it becomes much more expensive to hire talent due to cost of living than places like Madrid, Lisbon, Paris, Berlin to name a few.
Cheers Donal and thanks for providing your perspective
Excellent vid Dan. balanced and on the ball. from a reluctant landlord !
Cheers Eoghan, thanks for watching
Why would any Landlord vote for Sinn Fein
A great analysis and very informative. The government really do have to step up to the plate here and solve the housing crisis even if part of that solution is to give current landlords a tax incentive to stay in the market instead of selling up. It might even be for a limited period of say 5 years until more housing units are constructed. I feel sorry for renters and landlords in the current Irish rental market. There are no winners in this scenario. The RTB are biased which is grossly unfair. It undermines public trust in such bodies and perpetuates the misconception that all landlords are greedy profit-makers.
Thanks Vera. Some great points "there are no winners in this scenario", couldn't agree more.
@@malone_financial Not those who bought pre-pandemic outside of RPZ's and are gouging 2-3X their mortgage let alone the property value being up 30-40%?
Ireland has the worst government in 100 years. Paying 52% tax is absurd. Add on all other costs and it just aint worth it like it previously was back in the day. REITs and vulture funds paying no tax is what really turns my stomach. As a long time Landlord, I am seriously considering selling my 2 properties. Life will be a lot easier.
Cheers for sharing Tom. Regarding REITs/vulture funds, you might be interested in one of my most recent videos about Cuckoo Funds. I explain the rationale behind the taxation regime. It's not as 'stomach turning' as the media makes it out to be.
I’m a landlord and have just listened to you for the first time. You’ve scared me to death . I know nothing of the “market” or secondary investment. I won’t sleep at all tonight worrying
We are together!
Good
Hit the nail on the head. As a landlord I have nothing to add as you covered everything including things I didn't realise.
It seems that the government is trying to ' fix' the problem by dicking around with taxes and incentives when what we needs to happen is to build much more affordable housing and not make it so difficult for people who have a desire to build log cabin kits, Modular housing etc on family owned land.
I honestly think that the government has no intention what so ever in solving the housing problem.
Cheers John. Here's hoping we see a significant uptick in affordable housing in the years to come
I am so glad I am leaving the rental market as a small landlord, which is a funny name to be labeled with, when I only had a 2 bedroom apartment to rent out, but as it was costing me €6,250 a year in negative income due to paying 52% tax on all income off the property, there now one less property available for rent.
This I believe is a deliberate ploy by the current government, to tax landlords out of the market and to leave a bigger housing and rental market mess for Sinn féin when they get in government next.
But as Sinn Féin seem to have a lower opinion of landlords than even the current government, I believe things can only get worse for the citizens of Ireland.
Thanks for sharing your perspective Marc!
Well said. Totally dis functional market. If government don’t step in which they won’t, then situation will just get worse. Lots of risk out there. If I ever get an inheritance I always said I’ll buy one or two investment properties but I won’t be to touching it with a barge pole unless some major changes happen. No wonder landlords are all sellling up cash in while they can. Must also remember a lot were in negative equity and maybe just only breaking even after the last financial world collapse in 2008. As you say a reit or other investment carries less risk
Cheers Niall!
I'm actually happy there are people who think current government regulations are inadequate.We need more private landlords!
No we bloody don't
@@Fi88442 then you probably don't need housing? Or you want more properties owned by corporations?
@@andreybabushkin4689 how very wrong you are
@@Fi88442 sure I am :)
@@andreybabushkin4689 yes sure
Great vid! Could you please do a vid on Airbnb arbitrage in Ireland?
Cheers Arthur, I will add your suggestion to the list
Australia, New Zealand also too costly for renting homes....
For sure, Australia having a rough time with inflation
Love your videos man. So helpful
Hey Malone. I have had as a landlord the longest RTB Tribunal in Ireland. Six separate days. Scary experience
When interest rates fall very low people with cash have lost buying power so have bought land and homes. With interest rates climbing asset prices are tested. In New Zealand when the 1st Labour Government used creation of credit (money as debt created by the Reserve Bank of New Zealand) to fund the building of homes to rent to people based on their income. This was done to overcome a shortage of homes. Given private bankers creating money yet Governments do not . As a country you need your own currency, military and laws. As a member of the EU without your own currency the people have a government that can not create money. In the EU your MEPs do not have power of creating money. This is because EU treaties deal with money. So while you have elections you have government that are at receiving end of the private bankers. So a free market when Central bankers set interest rates is not a free market. In the USA The Federal Reserve is a private bank
Cheers for sharing your perspective on interest rates Peter
I have no problems with landlords wanting to make money and yes, maybe they are taxed too much. My issue is with the quality of the rentals. In Dublin even very shabby homes command premium prices. I actually think most people are afraid of confronting their landlord or report issues to the RTB.
Thanks for sharing Barbara
@@malone_financial Part of the problem of poor quality rentals stems directly from the issues you've mentioned. If your return is poor and subsequent investment into a property is also not going to have a good return.
There is very little consequence for a tenant destroying a property/investment. So why invest more than the minimum?
On the other side is that due to the poor returns a lot of "good landlords" have left, increasing the percentage of landlords who don't pay tax or flat out ignore the regulations. "Bad landlords" for want of a better word have less competition.
Poor returns don't just decrease the amount of places to rent it also reduces the average quality of rental accommodation. In some respects the general dislike of landlords has become a bit of self fulfilling prophecy.
@@peadarcorbally Interesting take, thanks for sharing
@@peadarcorbally The idea that landlords will make improvements if their profits are better is a joke
You must be joking. Those returns are going to their pockets, no matter what. Landlords would sooner let a child die from black mold than willingly spend money on the property.
Is there an option in Ireland for the landlord to become a mortgage lender to their tenants (if they fully own the house) or do we have rules and tax implications that make that unattractive here?
As in for the landlord to give the tenant a full loan to buy a property? He/she would have to be authorized to do so by the central bank
@@malone_financial It's just something I've seen on American property listings - it seems to be aimed at people who can't get a mortgage from a financial institute so the home owner mortgages the house to the tenants rather than rent it to them. The former owner still has a monthly income from the house but no landlord duties.
Do they offer any justification for favouring REITs over small landlords?
The tax treatment of Irish REITs is in line with the tax treatment of REITs in the UK and US. So we're no different to other countries. The tax code just needs to be updated to reflect the current economic importance of landlords and incentivize them accordingly.
@@malone_financial I am trying hard to not put on my conspiracy hat (own nothing, be happy) :) Given the looming pension crisis, I suppose it makes sense to favour small landlords on long-term basis.
@@6511497115104 Don't get me started on the pension crisis! I'll be covering it again in an upcoming video
Adam Smith the founder of modern of capitalism was anti-landlord
This is a brave video king, but a good one
Namaste 🙏
As a landlord inherently using my forces of evil to make a villainous profit I did enjoy this video. The secret to affordable rent is to increase supply. It seems the politicians are a little thick on this idea. So, they define small landlords renting to regular Irish families as evil. The result is that they have left the coming rental market to people like me will buy a never rented place, make it grand and rent it at ludicrous rate to the high end transient market. This leaves the rental market to the Irish families nicely in the hands of the corporations who will lobby for all their tax cuts while promising that new construction will be aimed at the "affordable market."
It seems to be, a friend's brother sold some land he owned to the local authority for over a million euros, and all there seems to have been built is one rather large opulent house. Now I'm not a conspiracy theorist but you do have to wonder.....
Not the villainous profit! Cheers for sharing your perspective, supply is badly needed
@@malone_financial Just to put some numbers on things. Historically, (looking back over last thousand years) housing cost versus rental should have a multiple of 12-15 on the annual rent. Recent history has lifted this closer to 15-18 for most major cities with a few outliers hitting 40. At the same time, a person should be able to house their family for 40% of their household income. Politicians have done a nice job recently of raising that to 60%. (They are so good at fixing the problem!) Finally from a historical viewpoint the long term cost of rental versus purchase should be roughly equal.
Taking a look at Galway, it is possible to buy and fix up a two bedroom duplex apartment for 300K and rent it for 24K/year. That is a multiple of 12.5 putting the Galway market into what is very affordable from the landlord viewpoint. Provided it has not been rented before. A similar unit in the same building sold around the same time for 60K less, but could only be rented for 12K/ year due RTB rules. That comes in at 20. Not good.
Using 45K for a median household income in Galway the first numbers come in just under 60% income and the second under 40%. Except that as a renter that price on new is going to be going up and as a purchaser the affordable price on the old is going to be squeezed by lack of supply.
As an investor I note that I can buy a place under RTB low rent rules, demolish, rebuild and double the return.
Now some bright light is suggesting making tenancies 'permanent' ! That will stop the demolish and rebuild. It will discourage new investment. One wonders how someone will buy a home for themselves if they can only buy new build since all the old supply are rentals? I guess we will have to wait and see what the actual rules become and how many loopholes are cut through.
In my local market the rental rate is now pushing 80% of income and the purchase multiple is sitting at ~36 after having a little drop over the last few months. Galway just seems so much more affordable to me on all measures.
In all the markets that I have looked at the problem is a lack of supply. Usually because of resistance to development from politicians. Here politicians have finally started acting in a more sensible fashion. They are gritting their teeth since the results are not politically popular and the best they can hope for is a "soft landing" on house price and rent rates.
RTB attempts at "rent control" most resemble the various tin pot dictators attempts to hold their currency pegged at the US dollar. In the end the black market always wins.
In all the above I was looking at typical two bedroom prices. I will leave it up to individual judgement as to whether a family of four can fit in a typical two bedroom.
@@Spondre Some great analysis here, cheers for sharing - super interesting
How you calculate 80% increase
I think most hate landlords in Dublin because they rent out apartments with black mold growing up walls and couldn’t give a shite. I agree with most of what you said, but owning a property in Dublin and the rent most likely covering their mortgage, than investor would make a lot of selling since prices are rising so fast in the market.
Just decrease regulations, taxes and allow people to build tall buildings. Any major city in the world has a lot of tall buildings, there is no other way
Buildings in Ireland are not a good option unless it is owned by the county to be used as affordable housing. In Irish law, the owner of an apartment is who owns the land. if you buy an apartment you are not the owner of the unit. You will pay a leasing that normally has the duration of 100 years. after this period the unit returns to the original owner that is who owns the land
@Cleber Assis Therefore, it's better to have a shortage of homes . Idiot
I’m renting in Ireland for 17 years and would disagree on reason of hatred towards landlords. In my personal experience most people dislike landlords because their approach to that as if it’s a small business. Every smallest essential property maintenance expense they account as a lost profit and as every “great businessman” they trying to avoid loses in business, so they refuse or avoiding or delaying when comes to maintenance. Most renting places is absolute disgrace and landlords should not be allowed to let people to live in such conditions.
10:17 In real life when property rental price below market, landlord just saying “I’m going to sell house” gives tenants months’ notice (been done to me personally), then paint few walls and get new tenants in at higher price. Price increase cap is a lot of b***, there is no tools given to new tenants to check that and if you start to as questions about price this property was rented before, there is a queue of people on each viewing, so landlord just won’t call you back and because of that queue most people wont even question price.
Cheers for sharing your perspective Aleksei! As I said, there are going to be instances (like yours) where tenants have negative experiences, like what you explained in relation to maintenance. I certainly don't support tenancies that have poor living conditions. However, I equally don't think that such an experience(s) should be extrapolated onto all landlords universally (or to imply that all landlords treat their tenants and their properties poorly).
Also, with respect to 'treating it like a small business' of course they will! The central point to the video is that landlords are going to take steps to protect their total investment returns (like any investor should). This is perfectly acceptable provided it's done legally.
Again, with the rent caps in RPZs, that may have been your own personal experience and/or speculation and if true, you can always report to the RTB. But those are the rules.
Sounds like you had a bad experience with your landlord/landlords. Please don’t tar all landlords with the same brush. I’ve had tenants who were far from perfect over the years but you don’t hear me ranting about all tenants being scumbags.
You mentioned you’ve been renting in Ireland for 17 years, so you’d remember when the arse fell out of the rental market in 2008, did anyone feel sorry for landlords when it was a renters market and landlords lost their bollix on what rents had dropped to. No is the answer. What goes around comes around. Stop your moaning. ps Rent a room available in rathmines . €850 all bills incl.
and why do you think that rental is not small business?
Actually, this was a culture shock for me - attitude toward landlords. My parents grew up in USSR, landlords were illegal. That means nobody was able to move from small villages to cities to make some money so the poor stayed poor. It was like a prison.
This is what Sinn féin the next Irish government want, so we are all equal.
Hi Dan, do you offer personal advice?we have a house we dont know if we are renting or selling, thanks🙂
Not currently!
Great video Dan. I've heard it was bad in Ireland, but this video gave a very balanced view on it.
Cheers Jubair
Excellent video agree in full
Cheers!
Good man Dan
Cheers Frenk
oh no you have to pay tax like all other forms of income. If youre still making a profit over the mortgage and other fees you're making a profit. IF you do see being a landlord as a business then have to be subject to regulation like any other business. Plus you can be a landlord just for the increase in the valuation of the property just like non-divided stocks not seeking for any income.
The entire point of this video has completely gone over your head. As I mentioned numerous times, the point is that the total investment returns (capital gains plus rental income) offered by Irish property in Ireland as an asset class are not sufficient enough to justify an investment of capital (as compared to investments in REITs, ETFs or other equity investments). That's before you consider the significant additional workload associated with being a landlord as compared to a stock market investor. You're neglecting the fact that landlords (a.k.a. investors) have options and they should always act in the best interests of their investment returns (otherwise they're bad investors).
In summary, yes you're still making a profit if rental income exceeds mortgage costs and other fees. Yes you can invest for the increase in valuation. But the critical point is that if the sum total of those returns are less favourable than what's offered by stocks or other investments, there is no reason why an existing landlord should stay or why a prospective landlord should invest.
Extremely biased, intellectually disingenuous, and generally vapidly condescending video:
Repeatedly frames homes as “investments” without any caveat. Housing is a human right first. Housing shouldn’t be ‘protected’ as an investment when the entire market is massively constrained: private investors *can be* incentivised by the state as a useful vehicle to achieve housing goals in *some* market contexts. They are not the only, or the best, path to doing so in many market contexts. I.e it doesn’t matter whether Moire the 3-house-owner who hasn’t worked in 25 years can continue to have a nice little earner; when we can’t find enough builders to build as many homes as are financed and in-demand anyway.
‘Investors’ face risks, and shouldn’t be cushioned from those risks because they think they can hold basic human rights hostage (“because of the… implications”)
Also seedy to blankety frame landlords as “providing” homes and “value”. Build-to-rent & buy-to-rent is not remotely comparable as a “Service” in a constrained market with limited supply. And most landlords are buy-to-rent, who’s only service is qualifying for a mortgage and making tenants wait 5 months to fix their heating.
Talk to me about incentivising major developers for build-to-rent programs and your might be providing ‘value’.
All in all an extremely biased video which does not divulge its stakes in the circumstances and just becomes an angry rant honestly.
Not everyone shares your desire for a communist state Paul, calm down.
@@wordimobi5765 Wow, not only did you fundamentally misunderstand my comment, but you don't even seem to understand the words you used in your own comment. Next level shitpost, 10/10.
Landlord is the tax man they take the biggest %
Brilliant Video
Thank you!
They blame landlords for housing crisis 😂😂 landlords are not government!! Landlord don’t build homes!
This government is useless!! They’re policies are bad!!
Has anyone here tryed to contact Dan Malone ??
Hey Nate, what's up? Did you DM me on Instagram
@@malone_financial I did yeah
But do you have one page or more ??
@20:10 These must be DB people or people who are waiting until they are 66 to get the 13K from the Government....hmm...
Ljudi ne bi trebali živjeti sa još pet ,šest nepoznatih ljudi u istoj kuči tj stambenoj jedinici ,ljudi.nisu životinje da žive u istoj štali .
An mhaith!
Very informative 👍🏻
I have a pre 63 in Cabra park.
Currently rented out.
It needs major works done to update the place.
? Is there any way to relocate tenants while work are carried out.
? Is there any government grants for up dating rental accommodation.
Cheers Ivan!
There's an huge difference between investors and speculators. And investing on house it's just legalized speculation. Until people try will try to defend those sharks there will never be wellness. How do you call selling or renting cardboard houses for outrageous prices? For me it's speculation you can call it with plenty of fancy names they've taught at university.
Consider Benjamin Graham's definition of investing "an operation which promises safety of principal and an adequate return". He defines speculative operations as any which do not meet the above definition.
If we compare property investing to, say, cryptocurrencies (true speculation), the major difference is somewhat predictable cash flow (market rent). From that market rent, you can derive a cap rate for the property and make a valuation assessment (over/undervalued) based on that fact. Yes, you could speculate on short-term price movement, but many of these properties are held for long-term investment.
I would argue that property investing isn't nearly as speculative as other asset classes (namely crypto)
and why do you call speculation as something negative?
@@how-to-live-right because speculation is nothing else then stilling
Tha fault is being a member of the EU and not having your own currency or laws. Animal Farm, 1984 live now?
Ireland was so much better in 1964 .
The difference between property and stock is that property is a ponzi scheme that contributes nothing to society. If I buy stock in a company. That company can use the money I have paid to expand and sell more goods and services. This causes the stock price to increase in the long run as the value of the company grows. Housing, on the other hand, depends on extracting money from people trapped in a private rental sector by high property prices. Landlords create scarcity by outbidding aspiring homeowners, and then charge a fee to those same people who are now locked out of the market. One investment is parasitic, the other isn’t. It isn’t that hard to understand.
My parents grew up in USSR, landlords were illegal. That means nobody was able to move from small villages to cities to make some money so the poor stayed poor. It was like a prison.
This is the standard red baiting bullshit that you get when you criticise landlords. “You want the Soviet Union, mountains of corpses, Venezuela!”
Buy-to-let mortgages didn’t even exist in Ireland until 1996. The private rental sector was tiny at the time. Society didn’t collapse, there were no gulags, it worked fine.
Cop on.
It is not only the rent value causing this against landlords. I live in Ireland and I pay rent in Ireland, most precisely Dublin. Problem is 4:40 "Being a landlord is not profitable" - This is an absurd lie!! How can not be profitable if people are renting a single room for €900 up and a shared room for €600 up?? We have hundreds of adds every week for single rooms for rent to couples only for €1200 or for two people that don't mind to share a bed. Or other hundreds of adds for bed in shared rooms where the pictures shows 2 or 3 bunk beds in one room where a bed is being rented for €600. In a house with 3 rooms, 3 bunk beds each room being 600 quid each bed you have the absurd amount of €10.800 per month and these landlords don't pay taxes. You have no real idea, or don't want to show up in your videos, the real conditions about rent in Dublin. So this "being a landlord is not profitable" is the biggest BS ever. Go to facebook and join the groups "Brasileiros in Dublin", "the Ideial Flatmate Dublin" and "Rent Dublin Accommodations" and you will find these adds I just mentioned.
There is another issue here. Now the government is giving the Rent Tax Relief, a lot of people are having problems to get the RTB number cause the so called "Accommodations agencies" don't want to give the number cause they are not registering people within the RTB. These agencies rent from someone, so they have their RTB registration number, and they are subletting the property but in a bed system. Piling bunk beds and rent a bed for those €600. These agencies, Leevin being one of them, is sending email to people saying the Rent Tax Relief is for people allowed to work full time in ireland and like most of these people are students, they can only work 20hs a week so they are not illegible to the Rent Tax Relief which is not true.
I can also add to this people that are in HAP and renting the entire property while government pay their rent or about landlords evading women from shared rooms cause they get pregnant.
The entire rent market in Ireland stinks and is absolutely disgusting. Government here like to get in everything they shouldn't about people lives but what they really have to intervein they don't give a fuck. There is never money to fund affordable housing but they can get out of the topper €100M to fund the stupid cycleway in Dublin town
It's not profitable if compared to other means of truly passive income...
If you want to be a passive landlord you have to pay many expenses, management companies, repairs, insurances, taxes, sometimes condo/building related costs. You might think that the profit out of this outperforms the market's, but if you include that such are taxed easily at 40%+(sometimes 48%+ depending on other incomes the person might have), the profit is actually very low.
Your safe ETF will pay 8%, 8% of 500k is 40k a year, you pay out the taxes(33% to 40%), and voila you got 2k eur a month after tax, truly passive.
I'm brazillian myself, luckily I'm on a very comfortable situation in my life, but I gotta say that I agree with you in all terms in regards to shit practices of your average landlord in Dublin city(I don't want to extrapolate this to elsewhere). Some of the houses are just disguisting, they should be closed for safety risks but we all know it all ends very posively, it ends in pints and gags at the end....
I've though again and again about becoming landlord and I simply can not see the benefit on it, even considering the huge potential increases in house prices, from now on this situation is also unstable and on the verge of a reversal. Stocks are for sales, so investers are all buying bottoms of the market instead of overpriced houses... Many houses are also on a condition where they have to do emergential maintenance(as an example, most of the celtic times buildings), so buying a house might mean you gonna pull another 20-30% just to fix it's nasty state.
No advantage whatsoever in being landlord here, only downsides so far. I can't even get myself into building a house for myself honestly.
Thanks for sharing your perspective Cleber.
@@heltondanilo6092 Cheers Helton for sharing this. Some good discussions!
You should buy a house and rent it out for less . You will have happy tenants a d you will be making a great profit. It's a winning solution
I know about the disgraceful situation of bunk beds for Non-EU language students . I feel the Irish government needs to stop allowing non-EU language students - we don’t have enough accommodation to House them! It is not good for the students nor for Irish renters. I had a Brazilian guy work in my business part time and I really respect these students but we are in a housing crisis and the language study visas should be stopped!
Brilliant video
Cheers Dean