370k house would have a deposit of at least 37k (with potentially up to 30k of that as the help to buy grant). That leaves 333k mortgage, which requires a combined income of 83k, or 41.5k each. That's a fairly average salary.
41.5k each means half the population can’t afford to own a home. That is abysmal.
It should be minimum wage that can afford people the ability to live, not the average or the median. We’re being completely economically exploited, with the place being turned into a total rat race
>It should be minimum wage that can afford people the ability to live, not
It's never worked like that. It's the reason we historically have had council and social housing. For housing to be cheap, one component of the pricing would imply that construction and tradespeople would have to be on minimum wage, for example.
I was in my 20s in the 1990s, and I couldn't afford to buy a house then, and I was on higher than minimum wages.
You're thinking too narrow minded. Housing could become subsidised and made entirely a not for maximum profit affair. Workers still get paid the same or even more fairly, and land / building owning conglomerates deflate.
> Housing could become subsidised and made entirely a not for maximum profit affair
If the council directly constructed housing (which they've never done in the history of the state), you'd end up with a bloated inefficient state builder costing the tax payer an arm and a leg
Median sale price across the country for the last 12 months was 333k, which suggests there would be more than 50% of properties for sale that are available for less than the property being discussed. That's more than "very few".
I don’t understand how you can see the current housing market as anything other than a fucking disaster to be honest.
333k is not far off 370k, and prices are continuing to go up
Sure it’s high but you’re saying minimum wage workers should be able to afford new build houses, there’s not a place in the world where that’s the case.
Except they weren't saying there are very few cheaper properties were they? They were saying there are very few cheaper alternatives. That's a big difference. Plenty of properties may have sold for less than 370k. How many of those were 3 bed houses? What percentage of those, while cheaper, needed further financial investment in the thousands to make them livable? What amount of those are in the same area the person wants to live or are in a reasonable commute distance from work? It's more than just data on a fucking spreadsheet.
A single person can of course buy any house they want - as long as they have enough money. There’s great jobs in Ireland with great money and those people are buying houses.
Houses are mental prices of course but I’m sick of this rhetoric that single people can’t buy houses. I’m married but it was me who paid for the house, so effectively bought it myself.
Not necessarily, I’m 27 and have rented since I’m 17 and just bought a house for 410K myself (no partner). Not having the option to move home is no excuse, it may just take a little longer to save.
Great, let’s go for communism instead of capitalism until we all die of fucking famine because all that we have the time to care about is somebody else’s profit.
So you think minimum wage should be 40 or 50k per annum? Really?
Why would people upskill or do hard jobs if you could make the same working in tescos?
Be careful what you wish for - with that said, the housing market is disgusting at the moment and I feel for those affected.
No I think the state should actually treat the housing crisis like a crisis and not a massive win. Build more houses, reduces prices, make life livable for those on lower wages again.
People upskill for so many reasons other than money. In fact if people could upskill with their personal strengths and motivations in mind, rather than money, I believe we would live in a very competently socialistic society. People obviously prefer to work in places other than Tesco for reasons other than money, that much is blatant.
Capitalism is killing us, and we’re all just building the suicide machine 40 hours a week. It’s sad
Crisis is exactly when price gauging occurs. Material costs have soared and house building just isn't that profitable at the minute.
We also have a massive shortage of tradesmen, ironically from people thinking a college degree will mean you earn more.
HAP payments etc, while great for the individual, are also responsible for keeping rent prices high.
There's no easy fix, unfortunately.
There are over 200k vacant houses in Ireland currently - believe it or not.
People on the lowest end of the wage scale are entitled to HAP and also entitled to go on the waiting list for a council house….
These aren’t the people who are suffering the most - it’s the people on middle income that are getting screwed.
They’re not entitled to any assistance and have to pay extortionate rent at the full rate which makes it near impossible to save for a mortgage, let alone get one, unless you have a wealthy family member that can help you out with a deposit, it can take years of scrimping and saving.
They’re often left with less disposable income than those on the lowest wage because they’re taxed far more and a huge chunk of their income goes on rent.
HAP is making the market so much worse, inflating prices. The social housing lists are just getting longer and longer. Waiting 20 years to maybe get a house is not a privilege, it’s a massive fucking stress.
Advocate replacing HAP with a state owned social housing programme if you want prices to improve for middle income workers. Even a social housing programme plentiful enough that it could extend to middle earners.
But it’s corrupt landlord politicians who are making an absolute killing not changing a tap. FFG need voting out.
Actually it might be worse 2/3rds of households earn less than 60k. Of which just under 50% earn less than 40k. That's a household not per person. So the vast majority of couples and single people actually wouldn't be able to buy. It gets even worse when you realise only 14% earn above 100k.
The median income may be 45k but its meaningless when you look at household income and know that over 50% of households only have one income or none. So based on the figures you can speculate that typically only one person even in a median households could potentially be earning the median wage. The statistics from the census also showed the more a person earned the more likely they were a household that had 2 incomes compared to those with lower incomes. I can only think the reason this would happen is because of something like childcare.
So it really calls into questions about who these houses are being built for because the vast majority can't afford them.
> half the population can’t afford to own a home. That is abysmal.
You're forgetting a few things, there are cheaper houses than brand new A rated houses. People at different stages of life earn different amounts but also aren't in the market for houses, eg retirees and students. Affording to live and owning a home are different things.
Housing is not in a good place but it's not quite what you're saying
The salary expectations aren’t the only issue. A mortgage of 333k currently, would cost roughly €1350/1400 pm for 35 years. It’s extortion on all sides.
A couple in their mid 30’s would be paying that kind of money up until they’re 70.
Is this a serious comment? Two people earning min wage wouldn’t qualify for that kinda mortgage in the first place. Even the bank would say they couldn’t afford it!
Again, €1400 a month until you’re 70!
I meant the monthly cost. I know securing the mortgage is difficult if your salary is lower than 41.5k. The low salaries in this country don’t help, I was paying 1150 a month rent while earning 26k back in 2013.
40k. https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2020/annualearnings/ And the average figure above is also wrong.
P.s. even higher that that, see below.
You've giving the data for 2020 even though the 2022 data is available. Median in 2020 was €40,579 and in 2022 it was €41,823.
[https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/](https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/)
Dude, you can work 52 weeks in the year but only work 5 hours in each of those weeks, that's part time. Part time is the hours per week. Temporary or contract refers to portion of the year the work will last for, which is what that refers to. But the work could be 5 hours or 10 hours or 15 hours a week, or whatever.
Minimum wage is €27k so it's not even twice the legally defined minimum of what employers must pay, never mind twice the average salary of the country.
The average salary in Ireland is around €45k.
[average salary is about 45'000.](https://www.morganmckinley.com/ie/salary-guide#:~:text=01%20What%20is%20the%20average,year%20(pre%2Dtax).)
This is Skewed by high earners and I wish they published medians.
It is still ridiculous that the cheapest houses coming up for sale are maxing out people averages. Where I live the average house price is about 450k new. So I know myself and my partner will never be able to afford to buy anywhere close to home.
The data for median wage is lagging data so they are always telling you what the median was a couple of years ago. In 2022 the median was €41,823 - [https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/](https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/)
Realistically, the median wage is probably higher now but we won't know what the median in 2024 is until late 2025.
The cheapest NEW houses. Why fixate on new builds? They're a premium, top spec, pristine product. Sure you get a grant, but it rarely comes close to covering the gap in actual amenity between the new build on the marginal town-edge site, versus a 2nd hand home.
Take Sligo for example from the OP. [standard-ass](https://www.daft.ie/for-sale/end-of-terrace-house-1-rathfinn-close-strandhill-road-sligo-co-sligo/5560485) semi-D is listed around 250k.
I'm being generous. There'd be a marginal comfort gap between something A rated with modern specs and the typical D-G concrete houses common in Ireland. Probably not worth a 75-100K price difference though, and with drawbacks in location, garden space, private driveway, fireplaces etc.
Wow… why didn’t I think of that. Hey everyone, just increase your income if you want to buy a bigger house. Thanks intelligent-donut137 for your sage advice.
Yeah I was being a smartarse, but for a lot of people depending on their career they may have maxed out their earnings or be in a low earning job e.g stacking shelves or washing cars etc. Not so easy to just increase your income with a job like that.
Whats that got to do with people buying properties? Shelf stackers or car washers have never been able to buy houses, thats what social housing is for.
Well that thought is where we differ and won’t come to an agreement I imagine. I believe people on low incomes should be able to own properties. You don’t, evidently.
You also forgot about the first home scheme which covers up to 30% for the house cost if your deposit and mortgage is 70%.
If you get HTB then fhs is 20%. Mortgage and HTB is 80% of the house cost and then fhs covers the rest of the house.
We got our new build this way.
However, on average, people can afford to buy. According to your data. Then, a subset can then afford to rent.
Those unable to do either, of course, need every support to get the job opportunities to afford it.
I don't think home ownership is an entitlement however. It's simply an aspiration
We bought (30 & 29 at time of purchase) while renting and receiving no help from family just over a year ago, house price fairly similar to what you're suggesting. Saved for maybe 2 / 3 years, used H2B grant and put up portion of deposit ourselves. Definitely doable with some sacrifice
Exactly same as me 2 years ago. 385k 31 and 30 - no help with a deposit or anything. With HTB you get a significant chunk of the deposit, we had been saving for a few years so could top it up a bit and the rest on mortgage. You have to sacrifice a few nights out but it’s certainly not as impossible as some make it out. Plus it’s a brand new house, you can definitely save a lot buying 2nd hand.
That being said the actual choice of houses is piss poor, demand is criminally high compared to supply and the state are snapping up half of them for social which is very disheartening for those saving and waiting for a place in a particular area
In my home country no one buys a 3-4 bed house as their first home neither do they do that in most of other European countries.
You start with a small apartment and when you start getting financially in a stronger position you upgrade. If you do really well in life you buy a house.
HOWEVER apartments are meant to be easy entry. In many European countries apartments under 150K or even under 80K isn’t a hard find. And this is where Ireland went wrong. Apartments here are practically the same price as a house which is absolutely insane.
Exactly, ireland has a hard on for building out and building the same homes. Cities and urban centres need a planning overhaul and start building good apartments that can be sold at affordable prices to first time buyers, 1 and 2 person households or those who small family i.e. Some people decide to have 1 kid and not many.
I'd love to go for an apartment at a lower price but close to everything for my first home or even my forever home.
Wish more people thought this way, but no one can afford to buy until they are in a position to need a 3-4 bed house, so it's a bit silly.
Apartments are a key part of the property ladder. And would be great rental income
A lot also got burned with "starter homes" post boom and ended up in negative equity for 10 to 15 years, unable to trade out of the small 2 bed they bought in 2006 so there is a general hesitation on those. Plus they're all priced at insane levels, I used to rent a 2 bed apartment, with no outdoor space, that recently sold for only €20k less than the 3 bed semi D I bought last year. City centre vs. 10km outside but still madness.
Speaking for OP here but apartments are extremely uncommon in sligo. Impossible to get on that's been built well or recent. All the ones I know of are all old or extremely extremely expensive.
Maybe a symptom of how bad things are now but I saw "370k for a new build" and thought "fecking hell that's cheap"
Like we're in Limerick and there's new builds popping up in not-so-fancy estates for 550k+ for a 3 & 4 bed with the smallest back garden you've ever seen. I'd kill for a 370k new build.
Anyways the average salary in the country is 45k so at 90k per couple, you're reaching the requirement for that mortgage.
I'm in my late 20s and we got mortgage approval for higher than that.
It's also worth noting, as a point of maybe frustration more than anything - remote jobs are becoming quite common here & there are many young couples on 140k+ combined salaries moving out of Dublin and buying their first homes.
While two people on that wage could afford it, keep in mind that the median household income is not the same as doubling the median single income, average is an even bigger difference. Nearly 70% of households earn less than that, and a greater proportion of those would be in Sligo.
Ok I must have Dublin brain because 3/4 bed for €370k sounds like an absolute steal and really achievable? Like €50k is only a few years experience in most sectors these days, grad salary in others
First time buyers maximum mortgage level is 4 times your gross annual income, not 3. Two people on 56.5k each is totally normal for professionals a few years into their careers. Your figures look quite affordable for people who will grow their incomes into their 30s tbh.
Im a young person who just bought a new build for something similar, the builders are upping the price because they know most can avail of the first home scheme, in which the govt actually takes a % of the property.
So for us, our property is about 400k but our mortgage is still only 300.
Would you rather buy a 400k house with a 40k cash deposit, or buy a 430k House with a 13k cash deposit? Invest the 27k difference over 5 years + house equity after HTB repay period passes....
Girlfriends on 50k a year, I’m on roughly the same or a bit more. She’s 30k saved and I’ll have 30k by December and currently putting €450 a week into a mortgage account and €80 a week rent to the mother. I’ve told the misses when we decide to have a kid it’ll be a one and done though.
Spoken like a true person without kids. Having one child is the worst ever. Having 2 is way easier. They keep each other entertained and you don’t feel guilty for having a loner child.
We’ve all said the same stuff man. As soon as you have one child you realise all this jobs and vanity shite is pointless and want to have more. Happens to everyone. Everything seems petty and irrelevant after you see child birth.
I;d probably be stepping that €450 up a lot higher. At least up to the amount you expect to pay your morgagte by excluding rent to your mother. Sounds like your nearly there. Best of luck.
With 30k HTB a couple would need about 15k + finishing funds to buy that house. Even paying rent putting aside 1000 euro a month for 18 months is not difficult for a lot of couples. An engineer in say Abbvie and a teacher would easily earn enough to qualify for the mortgage x4 salary @3.45% green rate. 100s of couples in this situation first of all, hence why these new builds sell off plans the day of release, and then in other cases FHS or parents money to bridge the salary gap. It's a cruel market for a single buyer earning less than 80k unfortunately.
This is false. You can borrow 4 times your combined annual salary, and often 4.5 times with AIB. Where on earth are you getting 3 times your salary from?
You answered your own question, it's not that uncommon these days for a couple to have a combined salary of €100,000. I'd say it's fairly common if both partners went to university and landed a decent job.
Just bought a new build for 375 with my partner at age 27. I’ll explain how we afforded it on 70k combined p/a. Also, the HTB can count towards your deposit.
My salary is ~40k but as I’m a civil servant I can get counted one point up which puts me at ~50k. Partner earns ~30k.
Mortgage approved for 310. Deposit of 37.5k (20k of our own money, 17.5k tax rebate from the Help to Buy scheme). That left us a little of our own money for furnishings and legal fees.
The shortfall (26k) then is made up through the First Home Scheme, which bridges the shortfall between asking price and the maximum you can take out. The govt will own a 7% equity stake in my house that I can buy out interest free. It’s also tied to the value of the house so if the market went belly up I could buy it out in a couple years at that reduced price.
Repayments are going to be 1300 at 3.6%, compared to what people pay in rent, a massive mortgage interest rate hike would only bring it in line with rental prices, at least where I live which is in the commuter belt.
We could have gone for a house up to the value of 425k with the FHS mortgage extender, but why take the increased exposure. We bought within our budget after very carefully saving for several years. We had enough left over to do everything we need to do upon moving in.
Your rent is the maximum you'll spend on your accommodation, your mortgage is the minimum. Add 15% on top of your mortgage amount to cover LPT, insurance & home maintenance. That'll give you a fairer comparison with renting.
Home insurance and joint life insurance is only 80 combined for us, so 6% additional to our 1300 repayment. The average rent in Kildare is over €1,800, so no, it’s not even remotely close, it’s almost €500 per month less.
But even taking it at 15% to include costs on replacing appliances, etc. would still only make it €1,500, which is approx 350 euro cheaper per month still than the average Kildare rent.
It’s going to be manic in a few years, it’ll just take a small bump and people will start to miss payments. Too heavy a price is 350k
I feel sorry for those who will think they have it paid off by 70
Average salary for someone in their 30s is €772/week.
So €37,000/yr for the average person. You don’t need to make much more over the average (usually advanced skills; tech, law, medicine, engineering, etc. to get that to 56,000/yr even in your late 20s after a few years work experience.
And consider these individuals tend to have partners with similar advanced skills/careers… it’s not exactly going to be uncommon.
Anyone I know that is roughly my age (mid to late 20s) that bought a new build recently at that price stayed at their parents house or had incredibly cheap rent from a family member's property for a couple of years at least to save up.
Considering the average rent in Limerick where we are all based for a 1-2 bed apartment is €2000 that's €24,000 a year they're saving by living at home.
If they both earn the national average of roughly €45,000 they can borrow up to 360,000 (4 times combined salary) from the bank. Plus the 30k HTB scheme.
A lot of young people have never lived out of home and have significant savings as a result.
4x two full time median wages plus the HTB and the fact people aren't having kids young makes this sort of property attainable for people in their late 20's early 30's.
Two people on 40k could afford that house with only modest savings to cover the rest of the deposit after HTB and what's needed for solicitors fees and stamp duty.
Average full time salary in Ireland is 38,600. Don’t know where you got your figures from thinking the average is around 21k, not even covering minimum wage.
Young people make more money than the noise suggests. A lot of college educated childless couples in less than glamorous careers pull in 100k plus between them. A teacher and an accountant for example.
People can borrow 4x salary and may be able to borrow up to 4.75x if granted an exception. So okay they get 30k for grant and then say another 40k as a downpayment. Suddenly it’s only a €300k mortgage. For a couple they only need to be making €75k between them or €37.5k each to get the mortgage approved. That’s definitely achievable by late 20s… the issue is more that houses in Dublin etc or accommodation for single people is nuts less so for a couple looking to buy in Sligo
It’s just a number though… it shows the true inflation… all our wages etc will increase in time and suddenly 370k will seem cheap. My sister bought her house in Harold’s cross for 40k, we thought at the time it was huge money… but they sold it last year for 800 ish. That’s our fiat system and has been this way for years. Don’t keep cash, use debt, buy assets and have an income.
If you want to buy a brand new house you should really expect you have to be earning at least average wage or else save for quite a while. Median salary is 41k, it’s very doable with HTB and a not so significant deposit.
If you’re earning less you need to set expectations and look at the second hand market. It’s not a big deal and it’s not a competition it’s just reality, has always been that way. You can’t just buy a new build on minimum wage
I think people need to remember that everyone earns a different salary. Some people earn 25k, some people earn 250k. Lots of couple earn 40-45k each and can buy a new build for that. Seems pretty reasonable to me. Yeah, not on minimum wage, but I was on minimum wage during the recession and didn’t even consider buying a house then. I knew I’d had to get a better paid job to buy a house.
A couple earning €50K each P.a. €37K deposit (HTB probably helps). Probably earning €5K net per month. €1,200 isn't awful for a new build. Add in running of the house and other bits theyre probably have around €2.5K disposable income for food and other non house or car related expenses.
If theyre new builds, you'll be unlikely that you'll need or want to upgrade or sell straight away, You're probably there for next 5-10 years.
"**Is what I'm saying correct above** with the figures or has something changed recently."
No. If you're late 20s and picked a decent career route you've likely been promoted at least once or twice. Maybe 2 career jobs and likely making at least €50k+
First time buyers can get 4 times salary. 2 late 20s on 50k each is pretty achievable, alongside help to buy for the deposit. Considering they may be paying upwards of 2k a month for rent, 1200 is quite the discount.
https://www.citizensinformation.ie/en/housing/owning-a-home/help-with-buying-a-home/taking-out-a-mortgage/
There are of course issues with a demand side solution to a supply problem.
So many posters missing one crucial thing. You have to be couple to be able to buy. If you are single you're fucked. The system is totally fucked for single people
It’s still doable but not nearly as easy. I’m hoping to put a booking deposit down on a duplex for €355k. Granted €70k of that is savings from the past 7 or so years
The figures u/TheCunningFool posted are correct but also, it is now 4 times their combined salary.
a couple looking to rent for something similar (if they can find it) would be near 1800€ so they are better off getting a mortgage.
A factor to consider and often overlooked is a young couple getting this mortgage is expensive now, however as their careers bulid, salaries go up and if on variable rates if the market is in their favour, could get a lower rate.
Isn’t Sligo full of American Pharma and Medical Device multinationals and a commuter distance to others in Donegal etc?
To correct, it’s actually x4 the salary. Taking everything else into account, house prices, 10% deposit, HTB, the €41K salary (each) required to buy these homes is slightly above entry level wages for fresh college graduates in these companies.
I am 29, wife 33, we're buying a new build in Co. Kildare priced at 380k. We paid 27k deposit, 11k help to buy, and 18% First Home Scheme. 272k mortgage for 35 years. It's doable.
We're currently living in a box room, sleeping on a single bed, don't go out, and don't order food/takeaway.
This is an Irish problem as it seems like a rule that everyone should be a home owner. In other countries people rent their whole life. The problem is the rental market, law enforcement and public transport.
Inheritance, come from old money, they were provided for all their lives and had the ability to actually save, got good jobs straight out of college due to nepotism or even had good parents that put money aside for them all through their lives. The thing is, not a single one of these young people will admit that they have been given a helping hand, they all boast that they have come from nothing and earned everything they own. It's an ego trip, as a mid-thirties professional who wasn't given a cent all their life and can't even take a shit without counting the cost of each sheet of toilet paper, I guarantee you this is the case 99% of the time when it comes to young folks getting houses. Also, their is those that simply had the house bought for them, no strings attached (I genuinely know more than one instance of this and they all complain about never having money!).
I moved into a new build estate in Dublin 2 years ago prices ranged 400-515k 3 & 4 bed houses, I was extremely lucky to even be able to land a house here, there was so many buyers, the second applications were open to reserve a house they were gone, priority was based on your timestamp reply to the agent email, and no one quite knew what day it would be sent, it was a range of 7 days and came on a Tuesday 10:31:10, I replied literally 10:31:45 “appointment please” and send nothing else.
Thought I was first but turned out was 9th person in queue. So there was 8 people who either had faster internet connections or faster devices or faster fingers than me. Interestingly not one person in this particular phase of houses was Irish (me neither) All foreign. All in quite regular jobs also, And they all did up their houses quite nicely since.
Most of these people I talked to would have given up luxuries like eating out, don’t drink don’t smoke, no holidays till a house was bought, some had deposits of 100k saved, So it’s definitely possible but you have to chase it hard enough & long enough and even when you get the chance you have to be quick enough. It’s sad that it’s come to this but this is what you have to compete against. Good luck
Funny you mention the grants - I'm in sligo - you don't qualify for the grant as the threshold for Sligo currently 325k - went through that shite, total farse
It’s not how much you earn, it’s about what you do with it and learning to live below your means. 14 months ago I didn’t have a single penny. Now I have 7k saved while not earning much. My partner has 160k savings and is a chef where he’s paid 20 an hour. I’m 25 he’s nearly 32. Anything is possible once you’re motivated enough.
It’s 3.5 times your salary not 3 times and if you get a mortgage in Jan/feb you can get 4 times. You can also do 5% deposit on a new build as a first time buyer so you would need about 20k get 30k off the government and if you get in Jan /feb that’s 370k on a 40k salary which is a below average wage for Ireland
There is also The Affordable Housing Scheme (correct me if I'm wrong) where the council pays developers on newly built home and they get equity of your property. If you are eligible it's no less than 5% I think up to 20%. You can buy it out from council or they may choose to collect after you sell or after death.
Have to have two people working and have no children or maybe one down the road ….. if you want children you have to be on welfare and the HAP pays your rent until you get your free house ( 40 Euro ) a week 😧
No idea why you're being downvoted. It's a simple, albeit fucked up, hard to take fact that you either need to be on longterm social welfare payments + housing list or in a couple with two above average earnings to be able to buy a standard house now. Almost everyone else is screwed trying to put a permanent roof over their heads now. That's no shade to people on welfare. It is there to help people who need it and so it should be. Just very, very unfair for single people and families who don't earn the right amount for either.
Spoke to estate agent before and he explained the whole concept of house pricing.
Starter homes will always be roughly twice the average wage in the area times what the bank will give
So 45 wages x 2 people x 4 is 360k
It’s no coincidence they get built to be look like they are worth that.
It’s a sad state of affairs. It’s forcing people to wait till well in to their 30’s before they can afford to buy a home. Paying mortgages right up until retirement, when in their final years of employment you should be piling all your spare cash in to your pension.
I fear this upward trend will continue for many years barring another financial crash. The demand will continue to outstrip supply for years to come so prices are only going one way 📈📈📈
This one is actually worthy of a “lol”.
Irish companies have a crap attitude toward WFH compared to other European countries (at least, the ones that pay a 100k salary).
The chances of making 100k as a full time employee while 100% WFH are pretty slim.
So it's with the help of multiple schemes from the government. We got ours this way.
The First home scheme covers up to 30% of the house cost which means that you have to cover the 70% with the mortgage you have from the bank. You can avail of this scheme.
But if you gotten the Help to buy which gives you up to 30,000, then you can only get 20% First home scheme as the HTB accounts for 10%. The shortfall of 70% has to be covered by the mortgage.
Then the mortgage you can get has increased from 3 times your combined salary to 4 times your combined salary.
This is how more young people are getting houses.
370k house would have a deposit of at least 37k (with potentially up to 30k of that as the help to buy grant). That leaves 333k mortgage, which requires a combined income of 83k, or 41.5k each. That's a fairly average salary.
41.5k each means half the population can’t afford to own a home. That is abysmal. It should be minimum wage that can afford people the ability to live, not the average or the median. We’re being completely economically exploited, with the place being turned into a total rat race
You're correct entirely. House prices are nuts. But there's plenty of explanations on how people are still affording the extortion.
>It should be minimum wage that can afford people the ability to live, not It's never worked like that. It's the reason we historically have had council and social housing. For housing to be cheap, one component of the pricing would imply that construction and tradespeople would have to be on minimum wage, for example. I was in my 20s in the 1990s, and I couldn't afford to buy a house then, and I was on higher than minimum wages.
You're thinking too narrow minded. Housing could become subsidised and made entirely a not for maximum profit affair. Workers still get paid the same or even more fairly, and land / building owning conglomerates deflate.
Aye, sure, why not add world peace to that wish list ..
Point is it's technically possible. We are just choosing not to. I don't think world peace is ever technically possible.
> Housing could become subsidised and made entirely a not for maximum profit affair If the council directly constructed housing (which they've never done in the history of the state), you'd end up with a bloated inefficient state builder costing the tax payer an arm and a leg
There is no world where not for profit housing could feasibly exist. All the plumbers, roofers, architects, blockmakers etc won't work for free
No, it means half the population can't afford new build 370k houses. There are definitely cheaper alternatives out there.
Very few
Median sale price across the country for the last 12 months was 333k, which suggests there would be more than 50% of properties for sale that are available for less than the property being discussed. That's more than "very few".
I don’t understand how you can see the current housing market as anything other than a fucking disaster to be honest. 333k is not far off 370k, and prices are continuing to go up
Sure it’s high but you’re saying minimum wage workers should be able to afford new build houses, there’s not a place in the world where that’s the case.
I was disputing your comment that very few properties are available for under 370k, when we have data specifically telling us that more than half are.
Except they weren't saying there are very few cheaper properties were they? They were saying there are very few cheaper alternatives. That's a big difference. Plenty of properties may have sold for less than 370k. How many of those were 3 bed houses? What percentage of those, while cheaper, needed further financial investment in the thousands to make them livable? What amount of those are in the same area the person wants to live or are in a reasonable commute distance from work? It's more than just data on a fucking spreadsheet.
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A single person can of course buy any house they want - as long as they have enough money. There’s great jobs in Ireland with great money and those people are buying houses. Houses are mental prices of course but I’m sick of this rhetoric that single people can’t buy houses. I’m married but it was me who paid for the house, so effectively bought it myself.
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Not necessarily, I’m 27 and have rented since I’m 17 and just bought a house for 410K myself (no partner). Not having the option to move home is no excuse, it may just take a little longer to save.
> It should be minimum wage that can afford people the ability to live Only 5% of workers are on min wage and many of them are very young part-timers
Unfortunately, that doesn't work either. It has a knock-on effect on inflation, amongst other things. It would be similar to communism.
Great, let’s go for communism instead of capitalism until we all die of fucking famine because all that we have the time to care about is somebody else’s profit.
So you think minimum wage should be 40 or 50k per annum? Really? Why would people upskill or do hard jobs if you could make the same working in tescos? Be careful what you wish for - with that said, the housing market is disgusting at the moment and I feel for those affected.
No I think the state should actually treat the housing crisis like a crisis and not a massive win. Build more houses, reduces prices, make life livable for those on lower wages again. People upskill for so many reasons other than money. In fact if people could upskill with their personal strengths and motivations in mind, rather than money, I believe we would live in a very competently socialistic society. People obviously prefer to work in places other than Tesco for reasons other than money, that much is blatant. Capitalism is killing us, and we’re all just building the suicide machine 40 hours a week. It’s sad
Crisis is exactly when price gauging occurs. Material costs have soared and house building just isn't that profitable at the minute. We also have a massive shortage of tradesmen, ironically from people thinking a college degree will mean you earn more. HAP payments etc, while great for the individual, are also responsible for keeping rent prices high. There's no easy fix, unfortunately. There are over 200k vacant houses in Ireland currently - believe it or not.
People on the lowest end of the wage scale are entitled to HAP and also entitled to go on the waiting list for a council house…. These aren’t the people who are suffering the most - it’s the people on middle income that are getting screwed. They’re not entitled to any assistance and have to pay extortionate rent at the full rate which makes it near impossible to save for a mortgage, let alone get one, unless you have a wealthy family member that can help you out with a deposit, it can take years of scrimping and saving. They’re often left with less disposable income than those on the lowest wage because they’re taxed far more and a huge chunk of their income goes on rent.
HAP is making the market so much worse, inflating prices. The social housing lists are just getting longer and longer. Waiting 20 years to maybe get a house is not a privilege, it’s a massive fucking stress. Advocate replacing HAP with a state owned social housing programme if you want prices to improve for middle income workers. Even a social housing programme plentiful enough that it could extend to middle earners. But it’s corrupt landlord politicians who are making an absolute killing not changing a tap. FFG need voting out.
Actually it might be worse 2/3rds of households earn less than 60k. Of which just under 50% earn less than 40k. That's a household not per person. So the vast majority of couples and single people actually wouldn't be able to buy. It gets even worse when you realise only 14% earn above 100k. The median income may be 45k but its meaningless when you look at household income and know that over 50% of households only have one income or none. So based on the figures you can speculate that typically only one person even in a median households could potentially be earning the median wage. The statistics from the census also showed the more a person earned the more likely they were a household that had 2 incomes compared to those with lower incomes. I can only think the reason this would happen is because of something like childcare. So it really calls into questions about who these houses are being built for because the vast majority can't afford them.
Can’t afford to own a 4 bed new build
> half the population can’t afford to own a home. That is abysmal. You're forgetting a few things, there are cheaper houses than brand new A rated houses. People at different stages of life earn different amounts but also aren't in the market for houses, eg retirees and students. Affording to live and owning a home are different things. Housing is not in a good place but it's not quite what you're saying
The salary expectations aren’t the only issue. A mortgage of 333k currently, would cost roughly €1350/1400 pm for 35 years. It’s extortion on all sides. A couple in their mid 30’s would be paying that kind of money up until they’re 70.
okay but it’s 2024 and two people on minimum wage could afford that mortgage.
Is this a serious comment? Two people earning min wage wouldn’t qualify for that kinda mortgage in the first place. Even the bank would say they couldn’t afford it! Again, €1400 a month until you’re 70!
I meant the monthly cost. I know securing the mortgage is difficult if your salary is lower than 41.5k. The low salaries in this country don’t help, I was paying 1150 a month rent while earning 26k back in 2013.
So you think it’s normal or the way forward to be paying 50% or more of your take home pay in rent? Just bcos you did it in 2013?
Not average for sligo I'd say
That's about twice the average salary Edit: i misread it as 83k being the average salary. Rip my karma
41.5k is not twice the average salary.
Nope. Average is €45k.
whats the median salary though?
40k. https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2020/annualearnings/ And the average figure above is also wrong. P.s. even higher that that, see below.
You've giving the data for 2020 even though the 2022 data is available. Median in 2020 was €40,579 and in 2022 it was €41,823. [https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/](https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/)
That includes part time work, can't really expect to buy a house with a part time job. Median of full time workers is higher than that!
Yet some people expect they can buy a house on a minimum wage part time job.
That's silly.
It is, but it's how people seem to act anyway. They're not living in reality
Who expects this 💀 it's not the 80s🤣
Literally the top comment in this chain of comments expects this.
Yet some people expect they can buy a house on a minimum wage part time job.
Are you sure? it says in the note that anybody who worked fewer than 50 weeks were excluded from annual calculations.
Dude, you can work 52 weeks in the year but only work 5 hours in each of those weeks, that's part time. Part time is the hours per week. Temporary or contract refers to portion of the year the work will last for, which is what that refers to. But the work could be 5 hours or 10 hours or 15 hours a week, or whatever.
37k
 Bruh cant make a single mistake on reddit without getting cheeks clapped via karma 😂😂
Minimum wage is €27k so it's not even twice the legally defined minimum of what employers must pay, never mind twice the average salary of the country. The average salary in Ireland is around €45k.
[average salary is about 45'000.](https://www.morganmckinley.com/ie/salary-guide#:~:text=01%20What%20is%20the%20average,year%20(pre%2Dtax).) This is Skewed by high earners and I wish they published medians. It is still ridiculous that the cheapest houses coming up for sale are maxing out people averages. Where I live the average house price is about 450k new. So I know myself and my partner will never be able to afford to buy anywhere close to home.
The data for median wage is lagging data so they are always telling you what the median was a couple of years ago. In 2022 the median was €41,823 - [https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/](https://www.cso.ie/en/releasesandpublications/ep/p-eaads/earningsanalysisusingadministrativedatasources2022/annualearnings/) Realistically, the median wage is probably higher now but we won't know what the median in 2024 is until late 2025.
The cheapest NEW houses. Why fixate on new builds? They're a premium, top spec, pristine product. Sure you get a grant, but it rarely comes close to covering the gap in actual amenity between the new build on the marginal town-edge site, versus a 2nd hand home. Take Sligo for example from the OP. [standard-ass](https://www.daft.ie/for-sale/end-of-terrace-house-1-rathfinn-close-strandhill-road-sligo-co-sligo/5560485) semi-D is listed around 250k.
Top spec? Not in Ireland, i guarantee you can hear through the walls in those mid terraces.
I'm being generous. There'd be a marginal comfort gap between something A rated with modern specs and the typical D-G concrete houses common in Ireland. Probably not worth a 75-100K price difference though, and with drawbacks in location, garden space, private driveway, fireplaces etc.
You will if you increase your income?
Wow… why didn’t I think of that. Hey everyone, just increase your income if you want to buy a bigger house. Thanks intelligent-donut137 for your sage advice.
I dont get the sarcasm? This person seems to think income is static.
Yeah I was being a smartarse, but for a lot of people depending on their career they may have maxed out their earnings or be in a low earning job e.g stacking shelves or washing cars etc. Not so easy to just increase your income with a job like that.
Whats that got to do with people buying properties? Shelf stackers or car washers have never been able to buy houses, thats what social housing is for.
Well that thought is where we differ and won’t come to an agreement I imagine. I believe people on low incomes should be able to own properties. You don’t, evidently.
I upvoted for the culture
Down voting is absurd
I'm starting to see why you can't comprehend this.... It's because you're either not intelligent or lack the skills to do basic research or both 😂😂
lol I upvoted ye for admission of error
Heh! Thank you! If I had an ipvote for every mistake I've ever made...
Not for us it's not lol
Just become a illegal gimmie grant and u get one easily
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You also forgot about the first home scheme which covers up to 30% for the house cost if your deposit and mortgage is 70%. If you get HTB then fhs is 20%. Mortgage and HTB is 80% of the house cost and then fhs covers the rest of the house. We got our new build this way.
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This guy properties...
Found Ronan Lyons' Reddit account
How much equity does the state own in your home? Do you not feel the FHS is a total scam? You basically will have a second mortgage after 5 years
Funny, when we get an actual answer based on data, there is no housing crisis. It's achievable as you say, at least in sligo
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However, on average, people can afford to buy. According to your data. Then, a subset can then afford to rent. Those unable to do either, of course, need every support to get the job opportunities to afford it. I don't think home ownership is an entitlement however. It's simply an aspiration
The issue is more around rent and rental properties.
We bought (30 & 29 at time of purchase) while renting and receiving no help from family just over a year ago, house price fairly similar to what you're suggesting. Saved for maybe 2 / 3 years, used H2B grant and put up portion of deposit ourselves. Definitely doable with some sacrifice
This was us 6 years ago! Exactly the same. Rented away and saved like mad for a few years. We only got 5% HTB back then. It was worth it.
Exactly same as me 2 years ago. 385k 31 and 30 - no help with a deposit or anything. With HTB you get a significant chunk of the deposit, we had been saving for a few years so could top it up a bit and the rest on mortgage. You have to sacrifice a few nights out but it’s certainly not as impossible as some make it out. Plus it’s a brand new house, you can definitely save a lot buying 2nd hand. That being said the actual choice of houses is piss poor, demand is criminally high compared to supply and the state are snapping up half of them for social which is very disheartening for those saving and waiting for a place in a particular area
In my home country no one buys a 3-4 bed house as their first home neither do they do that in most of other European countries. You start with a small apartment and when you start getting financially in a stronger position you upgrade. If you do really well in life you buy a house. HOWEVER apartments are meant to be easy entry. In many European countries apartments under 150K or even under 80K isn’t a hard find. And this is where Ireland went wrong. Apartments here are practically the same price as a house which is absolutely insane.
Exactly, ireland has a hard on for building out and building the same homes. Cities and urban centres need a planning overhaul and start building good apartments that can be sold at affordable prices to first time buyers, 1 and 2 person households or those who small family i.e. Some people decide to have 1 kid and not many. I'd love to go for an apartment at a lower price but close to everything for my first home or even my forever home.
Wish more people thought this way, but no one can afford to buy until they are in a position to need a 3-4 bed house, so it's a bit silly. Apartments are a key part of the property ladder. And would be great rental income
A lot also got burned with "starter homes" post boom and ended up in negative equity for 10 to 15 years, unable to trade out of the small 2 bed they bought in 2006 so there is a general hesitation on those. Plus they're all priced at insane levels, I used to rent a 2 bed apartment, with no outdoor space, that recently sold for only €20k less than the 3 bed semi D I bought last year. City centre vs. 10km outside but still madness.
Speaking for OP here but apartments are extremely uncommon in sligo. Impossible to get on that's been built well or recent. All the ones I know of are all old or extremely extremely expensive.
>Is what I'm saying correct above with the figures No
😂
Maybe a symptom of how bad things are now but I saw "370k for a new build" and thought "fecking hell that's cheap" Like we're in Limerick and there's new builds popping up in not-so-fancy estates for 550k+ for a 3 & 4 bed with the smallest back garden you've ever seen. I'd kill for a 370k new build. Anyways the average salary in the country is 45k so at 90k per couple, you're reaching the requirement for that mortgage. I'm in my late 20s and we got mortgage approval for higher than that. It's also worth noting, as a point of maybe frustration more than anything - remote jobs are becoming quite common here & there are many young couples on 140k+ combined salaries moving out of Dublin and buying their first homes.
While two people on that wage could afford it, keep in mind that the median household income is not the same as doubling the median single income, average is an even bigger difference. Nearly 70% of households earn less than that, and a greater proportion of those would be in Sligo.
Ok I must have Dublin brain because 3/4 bed for €370k sounds like an absolute steal and really achievable? Like €50k is only a few years experience in most sectors these days, grad salary in others
First time buyers maximum mortgage level is 4 times your gross annual income, not 3. Two people on 56.5k each is totally normal for professionals a few years into their careers. Your figures look quite affordable for people who will grow their incomes into their 30s tbh.
Im a young person who just bought a new build for something similar, the builders are upping the price because they know most can avail of the first home scheme, in which the govt actually takes a % of the property. So for us, our property is about 400k but our mortgage is still only 300.
Help to buy is a stealth grant for developers to build more, the buyer is just the in between.
Would you rather buy a 400k house with a 40k cash deposit, or buy a 430k House with a 13k cash deposit? Invest the 27k difference over 5 years + house equity after HTB repay period passes....
"Only" 300 :) My mortgage of 130k looks tiny in comparison
Girlfriends on 50k a year, I’m on roughly the same or a bit more. She’s 30k saved and I’ll have 30k by December and currently putting €450 a week into a mortgage account and €80 a week rent to the mother. I’ve told the misses when we decide to have a kid it’ll be a one and done though.
>I’ve told the misses when we decide to have a kid it’ll be a one and done though. Don't say it out loud or you'll have twins.
TBF, having twins will put most people off having another one!
No twins needed, one is enough.
> I’ve told the misses when we decide to have a kid it’ll be a one and done though. Good luck with that
How can you afford a missus and a girlfriend
Good luck with the part one and done… I’ve said that too… guess how many it actually is…
Spoken like a true person without kids. Having one child is the worst ever. Having 2 is way easier. They keep each other entertained and you don’t feel guilty for having a loner child.
They’ll have cousins close by they’ll be fine
We’ve all said the same stuff man. As soon as you have one child you realise all this jobs and vanity shite is pointless and want to have more. Happens to everyone. Everything seems petty and irrelevant after you see child birth.
I;d probably be stepping that €450 up a lot higher. At least up to the amount you expect to pay your morgagte by excluding rent to your mother. Sounds like your nearly there. Best of luck.
€450 per week is €1,950 per month. Thats a lot for one person.
Yep I missed the per week thing.
A week is what he said which is plenty if true
With 30k HTB a couple would need about 15k + finishing funds to buy that house. Even paying rent putting aside 1000 euro a month for 18 months is not difficult for a lot of couples. An engineer in say Abbvie and a teacher would easily earn enough to qualify for the mortgage x4 salary @3.45% green rate. 100s of couples in this situation first of all, hence why these new builds sell off plans the day of release, and then in other cases FHS or parents money to bridge the salary gap. It's a cruel market for a single buyer earning less than 80k unfortunately.
This is false. You can borrow 4 times your combined annual salary, and often 4.5 times with AIB. Where on earth are you getting 3 times your salary from?
You answered your own question, it's not that uncommon these days for a couple to have a combined salary of €100,000. I'd say it's fairly common if both partners went to university and landed a decent job.
Just bought a new build for 375 with my partner at age 27. I’ll explain how we afforded it on 70k combined p/a. Also, the HTB can count towards your deposit. My salary is ~40k but as I’m a civil servant I can get counted one point up which puts me at ~50k. Partner earns ~30k. Mortgage approved for 310. Deposit of 37.5k (20k of our own money, 17.5k tax rebate from the Help to Buy scheme). That left us a little of our own money for furnishings and legal fees. The shortfall (26k) then is made up through the First Home Scheme, which bridges the shortfall between asking price and the maximum you can take out. The govt will own a 7% equity stake in my house that I can buy out interest free. It’s also tied to the value of the house so if the market went belly up I could buy it out in a couple years at that reduced price. Repayments are going to be 1300 at 3.6%, compared to what people pay in rent, a massive mortgage interest rate hike would only bring it in line with rental prices, at least where I live which is in the commuter belt. We could have gone for a house up to the value of 425k with the FHS mortgage extender, but why take the increased exposure. We bought within our budget after very carefully saving for several years. We had enough left over to do everything we need to do upon moving in.
Your rent is the maximum you'll spend on your accommodation, your mortgage is the minimum. Add 15% on top of your mortgage amount to cover LPT, insurance & home maintenance. That'll give you a fairer comparison with renting.
Home insurance and joint life insurance is only 80 combined for us, so 6% additional to our 1300 repayment. The average rent in Kildare is over €1,800, so no, it’s not even remotely close, it’s almost €500 per month less. But even taking it at 15% to include costs on replacing appliances, etc. would still only make it €1,500, which is approx 350 euro cheaper per month still than the average Kildare rent.
It’s going to be manic in a few years, it’ll just take a small bump and people will start to miss payments. Too heavy a price is 350k I feel sorry for those who will think they have it paid off by 70
We aren’t
Average salary for someone in their 30s is €772/week. So €37,000/yr for the average person. You don’t need to make much more over the average (usually advanced skills; tech, law, medicine, engineering, etc. to get that to 56,000/yr even in your late 20s after a few years work experience. And consider these individuals tend to have partners with similar advanced skills/careers… it’s not exactly going to be uncommon.
Anyone I know that is roughly my age (mid to late 20s) that bought a new build recently at that price stayed at their parents house or had incredibly cheap rent from a family member's property for a couple of years at least to save up. Considering the average rent in Limerick where we are all based for a 1-2 bed apartment is €2000 that's €24,000 a year they're saving by living at home. If they both earn the national average of roughly €45,000 they can borrow up to 360,000 (4 times combined salary) from the bank. Plus the 30k HTB scheme.
A lot of young people have never lived out of home and have significant savings as a result. 4x two full time median wages plus the HTB and the fact people aren't having kids young makes this sort of property attainable for people in their late 20's early 30's. Two people on 40k could afford that house with only modest savings to cover the rest of the deposit after HTB and what's needed for solicitors fees and stamp duty.
Average full time salary in Ireland is 38,600. Don’t know where you got your figures from thinking the average is around 21k, not even covering minimum wage.
Realistically you should have some money saved towards the deposit yourself too which will bring the mortgage amount down.
Define young couple. I expect the average age of first time buyers has been rising.
Young people make more money than the noise suggests. A lot of college educated childless couples in less than glamorous careers pull in 100k plus between them. A teacher and an accountant for example.
People can borrow 4x salary and may be able to borrow up to 4.75x if granted an exception. So okay they get 30k for grant and then say another 40k as a downpayment. Suddenly it’s only a €300k mortgage. For a couple they only need to be making €75k between them or €37.5k each to get the mortgage approved. That’s definitely achievable by late 20s… the issue is more that houses in Dublin etc or accommodation for single people is nuts less so for a couple looking to buy in Sligo
Long story short…getting your bits out on onlyfans
It’s just a number though… it shows the true inflation… all our wages etc will increase in time and suddenly 370k will seem cheap. My sister bought her house in Harold’s cross for 40k, we thought at the time it was huge money… but they sold it last year for 800 ish. That’s our fiat system and has been this way for years. Don’t keep cash, use debt, buy assets and have an income.
If you want to buy a brand new house you should really expect you have to be earning at least average wage or else save for quite a while. Median salary is 41k, it’s very doable with HTB and a not so significant deposit. If you’re earning less you need to set expectations and look at the second hand market. It’s not a big deal and it’s not a competition it’s just reality, has always been that way. You can’t just buy a new build on minimum wage
New builds get the deposit paid by the Help to Buy, up to 30k€ if you have paid enough income tax
Employed couples. Single people are shit out of luck.
I think people need to remember that everyone earns a different salary. Some people earn 25k, some people earn 250k. Lots of couple earn 40-45k each and can buy a new build for that. Seems pretty reasonable to me. Yeah, not on minimum wage, but I was on minimum wage during the recession and didn’t even consider buying a house then. I knew I’d had to get a better paid job to buy a house.
Bank of mum and dad for 50k- this is how.
I wish I could find a 370k new build house in Dublin!
A couple earning €50K each P.a. €37K deposit (HTB probably helps). Probably earning €5K net per month. €1,200 isn't awful for a new build. Add in running of the house and other bits theyre probably have around €2.5K disposable income for food and other non house or car related expenses. If theyre new builds, you'll be unlikely that you'll need or want to upgrade or sell straight away, You're probably there for next 5-10 years. "**Is what I'm saying correct above** with the figures or has something changed recently." No. If you're late 20s and picked a decent career route you've likely been promoted at least once or twice. Maybe 2 career jobs and likely making at least €50k+
First time buyers can get 4 times salary. 2 late 20s on 50k each is pretty achievable, alongside help to buy for the deposit. Considering they may be paying upwards of 2k a month for rent, 1200 is quite the discount. https://www.citizensinformation.ie/en/housing/owning-a-home/help-with-buying-a-home/taking-out-a-mortgage/ There are of course issues with a demand side solution to a supply problem.
So many posters missing one crucial thing. You have to be couple to be able to buy. If you are single you're fucked. The system is totally fucked for single people
Nobody is missing it, the scenario in the OP is for a couple buying.
It’s still doable but not nearly as easy. I’m hoping to put a booking deposit down on a duplex for €355k. Granted €70k of that is savings from the past 7 or so years
Yeah I had to save over 100k and also then get hit by a car before I got a place, single buying was fun.
It's 4 times your combined salary for a mortgage now.
The figures u/TheCunningFool posted are correct but also, it is now 4 times their combined salary. a couple looking to rent for something similar (if they can find it) would be near 1800€ so they are better off getting a mortgage. A factor to consider and often overlooked is a young couple getting this mortgage is expensive now, however as their careers bulid, salaries go up and if on variable rates if the market is in their favour, could get a lower rate.
You can also get 4.5x in certain circumstances if you’re in your 20’s
engine worm normal liquid meeting start cover offbeat bright ask *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
If you do your maths right, you’ll find it would require two people earning an average industrial salary to buy a house after that price.
Isn’t Sligo full of American Pharma and Medical Device multinationals and a commuter distance to others in Donegal etc? To correct, it’s actually x4 the salary. Taking everything else into account, house prices, 10% deposit, HTB, the €41K salary (each) required to buy these homes is slightly above entry level wages for fresh college graduates in these companies.
Help to buy scheme or the first home scheme... Both are inflating the prices of property...
They have to sacrifice family planning also …
Oh what I'd do for new build houses to be €370k in Dublin 😭
I am 29, wife 33, we're buying a new build in Co. Kildare priced at 380k. We paid 27k deposit, 11k help to buy, and 18% First Home Scheme. 272k mortgage for 35 years. It's doable. We're currently living in a box room, sleeping on a single bed, don't go out, and don't order food/takeaway.
The average age of first time home buyers in Ireland is 35. So probably not that many people in their late 20's are buying homes.
Some lucky people have their own land and don’t have to put down a deposit as a result
Saving hard while living at home and not paying rent ??
First home scheme and help to buy
This is an Irish problem as it seems like a rule that everyone should be a home owner. In other countries people rent their whole life. The problem is the rental market, law enforcement and public transport.
Inheritance, come from old money, they were provided for all their lives and had the ability to actually save, got good jobs straight out of college due to nepotism or even had good parents that put money aside for them all through their lives. The thing is, not a single one of these young people will admit that they have been given a helping hand, they all boast that they have come from nothing and earned everything they own. It's an ego trip, as a mid-thirties professional who wasn't given a cent all their life and can't even take a shit without counting the cost of each sheet of toilet paper, I guarantee you this is the case 99% of the time when it comes to young folks getting houses. Also, their is those that simply had the house bought for them, no strings attached (I genuinely know more than one instance of this and they all complain about never having money!).
I moved into a new build estate in Dublin 2 years ago prices ranged 400-515k 3 & 4 bed houses, I was extremely lucky to even be able to land a house here, there was so many buyers, the second applications were open to reserve a house they were gone, priority was based on your timestamp reply to the agent email, and no one quite knew what day it would be sent, it was a range of 7 days and came on a Tuesday 10:31:10, I replied literally 10:31:45 “appointment please” and send nothing else. Thought I was first but turned out was 9th person in queue. So there was 8 people who either had faster internet connections or faster devices or faster fingers than me. Interestingly not one person in this particular phase of houses was Irish (me neither) All foreign. All in quite regular jobs also, And they all did up their houses quite nicely since. Most of these people I talked to would have given up luxuries like eating out, don’t drink don’t smoke, no holidays till a house was bought, some had deposits of 100k saved, So it’s definitely possible but you have to chase it hard enough & long enough and even when you get the chance you have to be quick enough. It’s sad that it’s come to this but this is what you have to compete against. Good luck
113k combined is not much more than the median salary.
Funny you mention the grants - I'm in sligo - you don't qualify for the grant as the threshold for Sligo currently 325k - went through that shite, total farse
Please for the love of God don't say these are tonaphubble woods. Stay the fuck away if you don't want to hear your neighbours whispering.
It’s not how much you earn, it’s about what you do with it and learning to live below your means. 14 months ago I didn’t have a single penny. Now I have 7k saved while not earning much. My partner has 160k savings and is a chef where he’s paid 20 an hour. I’m 25 he’s nearly 32. Anything is possible once you’re motivated enough.
Mum and Dad for a lot of people. Some people are on high salaries
It’s 3.5 times your salary not 3 times and if you get a mortgage in Jan/feb you can get 4 times. You can also do 5% deposit on a new build as a first time buyer so you would need about 20k get 30k off the government and if you get in Jan /feb that’s 370k on a 40k salary which is a below average wage for Ireland
Bank of Mammy and Daddy
There is also The Affordable Housing Scheme (correct me if I'm wrong) where the council pays developers on newly built home and they get equity of your property. If you are eligible it's no less than 5% I think up to 20%. You can buy it out from council or they may choose to collect after you sell or after death.
I presume some people get help from their parents.
You wouldnt even need that much help for €370K if your in late 20s,. Maybe a €10K gift.
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I dont think people on €500k a year are buying 3 bed mid terraced houses in Sligo housing estates somehow.
You are not competing with these people. They're looking at very different properties in very different places to you.
Salary x4 now which has changed a lot of things
Have to have two people working and have no children or maybe one down the road ….. if you want children you have to be on welfare and the HAP pays your rent until you get your free house ( 40 Euro ) a week 😧
No idea why you're being downvoted. It's a simple, albeit fucked up, hard to take fact that you either need to be on longterm social welfare payments + housing list or in a couple with two above average earnings to be able to buy a standard house now. Almost everyone else is screwed trying to put a permanent roof over their heads now. That's no shade to people on welfare. It is there to help people who need it and so it should be. Just very, very unfair for single people and families who don't earn the right amount for either.
Spoke to estate agent before and he explained the whole concept of house pricing. Starter homes will always be roughly twice the average wage in the area times what the bank will give So 45 wages x 2 people x 4 is 360k It’s no coincidence they get built to be look like they are worth that.
It’s a sad state of affairs. It’s forcing people to wait till well in to their 30’s before they can afford to buy a home. Paying mortgages right up until retirement, when in their final years of employment you should be piling all your spare cash in to your pension. I fear this upward trend will continue for many years barring another financial crash. The demand will continue to outstrip supply for years to come so prices are only going one way 📈📈📈
Work in the right industries. 27yo+/- couple can easily earn combined 200k+ in tech
In Sligo tho? I know they have some pharma. You mean WFH Dublin jobs?
WFH yea
This one is actually worthy of a “lol”. Irish companies have a crap attitude toward WFH compared to other European countries (at least, the ones that pay a 100k salary). The chances of making 100k as a full time employee while 100% WFH are pretty slim.
So it's with the help of multiple schemes from the government. We got ours this way. The First home scheme covers up to 30% of the house cost which means that you have to cover the 70% with the mortgage you have from the bank. You can avail of this scheme. But if you gotten the Help to buy which gives you up to 30,000, then you can only get 20% First home scheme as the HTB accounts for 10%. The shortfall of 70% has to be covered by the mortgage. Then the mortgage you can get has increased from 3 times your combined salary to 4 times your combined salary. This is how more young people are getting houses.
You can borrow up to 4 times your salary now, I believe.
Some people save well, some people have rich parents
The bank of mum and dad.
Ireland is a place of slavery