Home truths: how Kilkenny tenants can save €5,000 a year by buying their own place
Renters in Kilkenny could save more than €5,000 by getting themselves on the property ladder.
The latest rental price report from Daft.ie reveals people in Kilkenny renting one, two, and three bedroom properties are paying up to more than double the mortgage payment the landlord pays on that property.
It’s not all good news for landlords, however, as the report also reveals that families renting homes with four or more bedrooms are actually better off remaining in the rental accommodation rather than looking for a mortgage on a similar property.
The report found that mortgages on these four and five bedroom properties are actually marginally higher than the rents these properties can obtain.
The average rent on a one-bedroom property in Kilkenny now stands at €723 per month. However, the mortgage comes in at just €309 per month – a €414 difference or 58% gap.
The tenant could save €4,968 per annum by getting a mortgage on a similar property.
It’s a similar story with two-bed properties, where the average rent is now €819 per month, however, the mortgage stands at €398 per month – a difference of €421 or 52%.
Those renting two-bed properties could save €5,052 per annum by buying a similar property.
The rent on a Kilkenny three-bed stands at €945, while the mortgage on the property is €563 – a €382 per month difference or 40% gap. The tenant could save €4,584 by buying a home.
The report shows that landlords of four-bed homes are actually losing money by renting the property, receiving €1,041 per month on rent but paying €1,116 on their mortgage, representing a near €1,000 loss per annum to the landlord.
Owners of homes with five or more bedrooms are losing just €1 per on rents – where the rent is €1,162 while the mortgage stands at €1,163.