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Woman in an apartment pulling her hair out in frustration.

07 Mar 2017

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Hands up if you could be called an apartmentaler – yes, that’s those of you whose apartments are driving you mental!



Have you fallen out of love with the dream apartment you bought five years ago? Is the lack of living space actually making you crazy?

Or have you simply outgrown it, now that you have a long-term partner and starting a family is on the cards?

Well whatever the reason, it may be time to trade up to a bigger house and live happily ever after. Sounds great!

But how do you do it, especially if you are in negative equity?

Here are five tips to help get you on your way.

How can you trade up in the property market?

Like a career, you need to have a trading-up plan. Can you afford to save the deposit to buy a house or alternatively, do you have equity in your current home?

Are you in negative equity? How will this affect your mortgage application? What’s your strategy to achieve your home goal?

One thing you could consider is to rent out your apartment and move to a bigger home while you wait to trade up. Be sure that the rental income from your apartment covers the mortgage on that property so you can continue to save.

New Central Bank regulations stipulate that second time buyers must have 20% of the deposit on their next home.

Rent out your apartment and buy a house

What are the rental incomes like in your area? You may be able to rent out your apartment and then buy a house, as long as the rental income covers the mortgage repayment of your existing property.

Make sure you’ve saved up enough for the deposit on your new home. If you’ve got both of those boxes ticked, you should be fine.

No more being kept awake half the night when your fella’s on the PlayStation or watching a box set of Game of Thrones!

Rent out your apartment and rent a house for a limited period of time

If you urgently need more space but are waiting for your apartment to increase in value, you could move out and rent a house in the meantime.

Your apartment may increase in value, and if it is in negative equity, this will be reduced. And then you can sell it for more money – which means more elbow room and maintaining your sanity!

Moving back in with the parents

Moving back home or living with the in-laws for a while may be a bit of a challenge but ultimately it will be totally worth it. You may just have to grit your teeth and give your mother-in-law full power over the remote.

If you move in with the parents, you could rent out your apartment (if this rent will cover the mortgage) – keep the mortgage paid and save a substantial amount of money. Yay!

And with a bit of financial planning you can still have a life – go out at weekends and plan an annual holiday. You’ll probably need one!

Check out our recent blog for tips on how to cope with moving back in with your ma.

How to boost your savings by earning more (or spending less)

Is there any way you can boost your income in the next year? Even better, how about a promotion or a job with increased salary?

Is there overtime at work? Can you increase your sales and thereby increase commission? How about a promotion? Or a job move with an increased salary?

Could you handle a weekend job or a few shifts down the local pub?

You could even rent out a room in your apartment by using Airbnb.

Alternatively, is there anywhere you can cut costs and save money on living expenses?

A few less coffees a week, give up the cigs or the five bottles of Diet Coke daily, or take less holidays and bank all the savings for your new home. Sorted.

Thinking of trading up?

If you’re working full time and earning enough to come up with the required deposit, you’re well on your way to getting your mortgage approval.

It will be worth all the effort when you get the keys to your new home with a back garden and a parking space at the front.

For more information on trading up, check out the Next Time Buyers guide and find out how much you can afford to borrow.

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EBS Limited is regulated by the Central Bank of Ireland.

The content of this blog is expressed in broad terms and is limited to general information purposes only. Readers should always seek professional advice to address issues arising in specific contexts and not seek to rely on the information in this blog which does not constitute any form of advice or recommendation by EBS Limited.

EBS Limited neither accepts nor assumes any responsibility in relation to the contents of this blog and excludes all warranties, undertakings and representations (either express or implied) to the fullest extent permitted under applicable law.


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