How to buy a coastal cottage in the West of Ireland.
In the present Covid crisis a lot of changes taken place in relation to work life balance. After years of draining the countryside in Ireland of its young and brightest to the cities the young and brightest are now seeking to move back to rural Ireland for work life balance reasons.
You may even be based in the UK or further abroad and have a longing for peace and quiet away from the cities.
Auctioneers are now reporting a surge in interest to locate anywhere in the West of Ireland which is deemed to be environmentally friendly and now with the arrival of national broadband accessible for online working .
The position in relation to anybody buying a house in the West is the same as the rest of Ireland. Despite changes in legislation in recent years it is still a” buyer beware” situation.
In representing clients purchasing in our own county our first recommendation is to have the house thoroughly surveyed so you know what you’re getting into. Older houses which may originally have been either deserted farmhouses or properties where the previous occupant may have died and require updating in relation to utilities.
Ireland has to meet its climate change criteria .This has brought in planning rules that the properties once renovation is carried on beyond a certain size (40 m²) must meet high levels of insulation and revised heating arrangements.
It is therefore recommended that in addition to the cost of property and allowance must be made for renovation to bring it up to modern standards.
Costings
The purchaser must also pay 1% stamp duty on the purchase price.
Property Registration Authority fees will vary with the value of the property with a budget of €750 would be accurate for most transactions.
Legal fees vary considerably depending on the type of property but an estimate again of 1% of the value of the property would be reasonably accurate in 2020.
The benefit that UK purchasers have had over the years that sterling was a higher value than the euro has reduced in the past year but is still some benefit. As much benefit is the fact that having sold property in the UK a cash buyer is always given priority by Auctioneers.
The lending practices of the financial institutions in Ireland have slowed considerably perhaps due to the Covid crisis where a lot of office workers seem to be working remotely. Delays of 4 to 6 weeks from the approval for finance to the actual issue of a loan offer and now common.
After purchasing your house if you want to make major renovations you will have to apply for planning permission.
Again the help of an expert in this area is needed as different counties have different planning regulations. Some counties will not allow persons outside to erect a new property and the general thrust is to prevent more once off housing in the countryside rather than in the villages and towns. For that reason a person intending to purchase in Ireland would best consider property already constructed.
In recent years a number of apartment developments have arrived in Irish country towns. A lot of these were built prior to 2008 and it is best to ensure that the management company for the block operate successfully in relation to maintenance of the common areas.The recommendation would always be for someone to “buy their own Hall door”which essentially means a property on its own grounds without the need to share common areas.
As always if you are moving into an area it is best to employ someone who is familiar with the area be it an auctioneer to negotiate on your behalf and legal adviser who is aware of local circumstances which may assist you in a smooth transition from your present location to your “dream Irish cottage in the West”
As always if you need further information please contact us at our email and phone numbers on this site.