The address:40 Main Street, Chapelizod, Dublin 20.
The agent:Smith Curley.
The property:Five-unit apartment scheme in a refurbished stone-fronted townhouse with an asking price of €1.8 million.
The landscape:In the heart of Chapelizod, number 40 is close to shops, schools and pubs in this pretty suburban village.
The features:The scheme comprises four two-bed units with around 66-72sq m (711-775sq ft) and one one-bed unit with 52sq m (560sq ft) of space. A good job has been done on the refurb with semi solid wooden floors throughout and stylish kitchens. There is a communal garden with rear pedestrian entrance. Parking is on-street.
How much for an investor to buy?At Bank of Ireland's investment mortgage rate of 4.8 per cent APR, the monthly repayments will start out at €9,218 over 25 years, based on the maximum loan of 90 per cent of the asking price. On an interest-only basis, the maximum loan will be 85 per cent of the price, giving a monthly repayment of €6,059 in the first seven years under the bank's investment tracker.
Potential:The two-bed apartments should earn rental income of €1,650 a month and the one-bed €1,500, according to the agent. If you were looking to sell them on you could expect to make €450,000 each for the two-bed units and €410,000 for the one-bed unit. The stamp duty bill for the whole scheme for an investor will be €162,000.
Verdict:In a prime location in the desirable village of Chapelizod these apartments should rent well. Going on the predicted rental income above, without taking costs into account, an investor would get €8,100 a month for the five units, well above the interest-only mortgage repayments but just over €1,000 shy of the investor tracker repayments.
Calculations by Bank of Ireland
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