The address: 411 Talbot Hall, Irish Life Centre, Talbot Street, Dublin 1.
The agent: Gunne.
The property: one-bedroom fourth floor apartment for €310,000, representing a cost of €6,326 per sq m.
The look: dated office block.
The landscape: downtown Dublin 1. Located over the Irish Life shopping centre and in the same complex as offices, a trendy bar and a launderette.
The features: with 24-hour security, this 49sq m (527sq ft) apartment has a kitchen with orange fitted units, and a range of appliances. There is a living/diningroom and a double bedroom with a built-in storage press and wardrobes. Residents have access to a roof garden. The €2,000 per annum service charge includes the cost of heating and hot water.
How much for an investor? At an 85 per cent mortgage at the standard variable rate of 4.02 per cent, the repayments would be €1,381 per month. On an interest-only mortgage, the repayments would be €867 per month.
How much to buy? For a 100 per cent mortgage, a single first-time buyer would require a salary of €65,000 to fund this mortgage over 35 years. A couple would require a minimum income of €35,000 each. At a one-year fixed new business rate of 3.77 per cent APR, the repayments would be €1,252 per month. If borrowing 92 per cent at a standard variable rate of 3.81 per cent APR, the repayments would be €1,218 per month.
Potential: one-bed apartments in this complex achieve rents of €900-€1,000 per month which falls short of the 85 per cent investment annuity mortgage repayments detailed above.
Verdict: this older block faces competition for tenants from new blocks springing up in the D1 area but 24-hour security and central location will be a draw.
Calculations by AIB
