Property management and Investment management in Ireland are two very different professions
Home/Expert Insight/Property management and Investment management in Ireland are two very different professions
Property management and Investment management in Ireland are two very different professions
Property management and Investment management in Ireland are two very different professions
Conor Fitzpatrick
Author: Conor Fitzpatrick
Read Time: 6 min
Property management and Investment management in Ireland are two very different professions
Spire Capital assists investors with all of the administrative, financial, capital and operations of an assigned portfolio. Our network of Property management partners are focused more on the day to day operational activities such as physical maintenance, repairs and renovations, rent collection, payment of expenses.
Foreign clients often ask: “Why do I need an asset manager? ” or “Why do I need to use a company structure to invest?”, the short answer is “”asset managers are better positioned and more experienced at making investments grow than their clients”.
Property management and Investment management are two very different professions.
Property management concentrates on the day-to-day operations of a property. People who work at specific properties are typically fulfilling property management responsibilities. A property manager maintains the value of a property. Property management includes, but is not limited to:
Investment management is centred on financial matters; maximizing the return on investment and value of property. They are adept at streamlining operations and repositioning a property to reduce costs and increase income.
Investment managers understand real estate as an investment. Investment management tasks include:
Prepare long term financial forecasts and perform cash flow analysis and compute internal rate of return in order to determine a property’s financial performance.
Perform due diligence for acquisition or disposition of property and provide recommendations.
Determine value of a property and what can be done to increase the value.
Find and work with lenders.
Negotiate on behalf of the owner
Market an asset to increase revenue.
Frequently asked Questions to Investment Managers
1. Why do I need an Irish company to invest through?
there are many equally important reasons/benefits for using a company which include:
Tax optimisation
Access to mortgages
Legally protection for owner
Investor Privacy/Confidentiality
Estate planning
Investment management
Spire Capital establishes and manages investment companies (Propco’s) in Ireland on behalf of its foreign based investors.
2.How can I control the bank account of the company?
Investors have 24/7 online viewing access to the company’s bank account to check the rental income and expenses. As managing directors of the PropCo, Spire Capital will be restricted to only manage the monthly cashflows and banking activities on behalf of the investors as per the pre-agreed Investment management agreement.
3.How often should I come to Ireland?
When Investors initially come to Ireland, Spire capital will assist them to set-up a company and open a company bank account. During this initial visit, Spire Capital will arrange some investment opportunities for review. Once a property has been acquired, Investors will receive regular updates and depending on the size of their investment they would typically visit Ireland once per year for the initial couple of years and once they are satisfied that the investment is meeting their expectations they will usually visit less frequently.
Spire Capital prides itself on a rigorous process of due diligence before selecting an investment into one of our portfolios. This allows us to make successful investment decisions about the ongoing management, rental, and resale of investments
If you are thinking of investing in property as a source of alternative income,
why not contact us today to discuss your requirements in more detail?
Phone: +353 86 325 0048 I Email:info@spirecapital.ie
Prices from: €350,000 Rental yields: 5% – 7%
A stunning and truly unique development with remarkable views over Grand Canal Dock towards the Aviva stadium and beyond. Grand Canal Dock is one of Dublin’s most fashionable urban quarters, with a variety of neighbourhood bars, bistros, cafes and restaurants clustered around the historic city dock.
Dublin – one of the best kept property secrets in Europe
Rents keep rising as scarcity of properties to rent persists
A massive surge in home-building is needed to stem the relentless rise in rents, latest rental market analysis shows.
The report says 500 new rental properties need to be built every single week for the next three years in Dublin alone — a total of 80,000 over the period.
Report author Ronan Lyons says the solution is to encourage private developers to build and institutional investors to become landlords.That conflicts with the view of many housing rights advocates that the bulk of new homes should be provided by the State through social housing programmes and by non-profit bodies.
Whatever the solution, the problem is clear — there are too few rental properties available to meet the demand and rents are rising far in excess of general inflation, further limiting the choices of hard-pressed renters.
According to the report, from property website Daft.ie, the average monthly rent being paid nationally is now €1,366 but there is huge variation within that figure as it covers both rural and urban addresses and properties of all sizes.
A family needing to rent a three-bedroom house faces an array of different rents depending on where they need to live.
Dublin will present them with the greatest challenge as homes in that category range in cost from €1,671-€2,210 per month in the county areas and €1,780-€2,623 within the city boundary.
Ireland offers best yield in Europe for buy-to-let landlords
For the third year in a row Ireland has been named the most attractive destination for Europe’s buy-to-let investors. Reasonable property prices, a stable economy and consistent rental demand all add up to make Ireland a very tempting proposition for buy-to-let investors. According to the third annual European Buy-To-Let League Table from WorldFirst, an international payments expert, Ireland is the best destination in Europe for landlords.
Ireland offers an average yield of 7.69%, making it very appealing for investors hoping to maximise rental returns. Hot on its heels is Cyprus, up from 9th place last year to the second slot this time around, while right at the bottom of the table is France, which knocked Sweden off the least-coveted spot.
Ireland’s success is also no doubt helped by the fact that property prices are currently soaring across much of Western Europe. Jeremy Thomson-Cook, chief economist at WorldFirst, says: “Part of the reason for Ireland’s buy-to-let success is while average house prices across the country are on the rise, they still sit some way below the country’s 2008 peak. What’s more, only Malta, Luxembourg and Sweden have experienced higher population growth than Ireland meaning that rental demand continues to go from strength to strength. Add these two factors together and you have a compelling overall proposition for buy-to-let investors”.
Prices from: €280,000 € Rental yields: 6% – 8%
Ideally situated in the heart of Dublin’s financial district with a range of bars, bistros, cafes, restaurants, hotels and the National College of Ireland literally on the doorstep, while the Samuel Beckett Bridge allows a five minute walk to Grand
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