> PROPERTY_ROI

Landlord? Run the numbers first.

Gross yield is a sales pitch. After vacancy, repairs, a mortgage you can’t deduct and tax at up to 52%, here’s what the property actually does for you.

Your figures YOUR FIGURE

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Buy-to-let: 30% min

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Check the RTB Rent Index for your area.

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Sets your tax rate on rent

Running-cost assumptions+
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4% ≈ two weeks a year

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0 if you manage it yourself

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Depends on the valuation band — check Revenue.

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Projection assumptions+
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Rent controls cap increases in most areas.

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CASH FLOW · YEAR 1, AFTER TAXCALCULATED
−€297/mo
You pay €3,561 a year to own this. Rent doesn’t cover the mortgage, costs and tax.
Gross yieldCALCULATED
6.2%
Net yield (before mortgage)
4.8%
Cash-on-cash
-3.2%
Year-1 cash ÷ cash you put in

Year 1, line by lineCALCULATED

Rent collected (after vacancy)€20,736
Running costs−€3,840
Mortgage interest (tax-deductible)−€10,867
Taxable rental profit€6,029
Tax, USC & PRSI on it−€1,857
Mortgage capital (NOT deductible)−€7,733
Cash flow−€3,561

Capital repayments come out of after-tax money — you’re taxed on profit you never see in cash. That’s the Irish landlord trap. Your marginal rate on extra income: 47.4%. Includes the rental income relief (up to €1,000 for 2027).

Cash you need on day oneCALCULATED

Deposit (30%)€105,000
Stamp duty€3,500
Legal & survey€3,500
Total€112,000

If you sell after 10 yearsPROJECTION

Sale price (assumed growth)€426,648
Selling costs−€8,533
Mortgage still owed−€149,558
CGT (31% on the gain)−€18,552
You walk away with€250,006
Plus total cash flow over the years−€36,111
Total profit on your cash€101,894

Annual return on your cash (IRR): 6.1%.

vs. investing the same cashPROJECTION

Property — total profit€101,894
Fund at 5% — profit after 35% exit tax€51,754

The fund gets the same up-front cash plus any annual top-ups the property needed. Ignores deemed disposal timing (tax every 8 years), leverage risk, your time as a landlord and the fact that a fund can be sold in a day. Both are projections — neither is a promise.

Cash flow / month−€297