2014, Year of the Rental Bidding War?

Reality Rentals, 16 couples in bidding war for rental who will win!

broadsheet.ie/2014/06/17/poo … -guidance/

I’ve started to see queues outside houses in the past few weeks in the Harolds X area. SO I’m not surprised at that story in broadsheet

Yeay! Let’s do everything by as manic a means possible. Sure what could possibly go wrong?

Horrendous situation.

We have no sense of outrage.

We have no sense of quality of life.

We take what we’re “given”.

Have we reached a new low?

Rental guide prices? :open_mouth:

While it’s fairly unpleasant and feeds into the stereotype of the ‘evil, greedy landlord’, it could also be argued that the demand is such that people (including the OP on Broadsheet) are willing to offer higher than the advertised price, is this not just market forces at work?

Back in 2010 when the rental market was quite bad, I viewed a one bed cottage in Blackrock advertised at €850 - it had been on a few weeks and I offered €750 subject to a couple of minor and reasonable conditions. The landlord moved to €800 and I was in by the end of the week. Was I wrong to haggle given the market conditions, and if not why is the landlord in this case wrong to look to optimise his return?

Another renter blames the estate agent - "The estate agents are making it their business to instil panic in the market, as they are the ones who will benefit most from it.” broadsheet.ie/2014/06/18/this-just-skim/

Blast from the past

viewtopic.php?f=10&t=44495&view=previous

TROLLING.

Exactly, if it was advertised as an auction you can be sure no one would have turned up. I think there might could be a case of a breech of some ethics code. The days of “nailing people to the wall” prime time style have not left us you know.

An asking price is always negotiable until it isn’t, an auction is an auction.

What next phantom tenants?

The due diligence and candour of the rental market comes no where nearing the buying market so all kinds of fast tricks are more readily pulled. As usual the ignorant and desperate suffer, and the range of people sucked in has broadened across the ribs of society as the culture of denialisim retains some semblance of control.

We all know that when it comes to shelter, the basic need is manipulated and people have and continue to do the most extreme things to secure it.

Many might imagine this kind of behaviour and abuse should be totally repugnant to society but people in places of influence feel its a valid base to start a recovery from.

Society is conflicted. So it must be good for business.

A phantom tenant or (ill)legitimate bidding war for a rental property might cost you an extra €150-€200 per month, over a year that’s €1800 - €2400 (a very ugly % mark-up), but the same process on a house might cost you €10k, €50k or who knows how much over the course of a phonecall and in both cases you could be waving goodbye to that money thanks to a figment of an EA’s imagination.

I’m surprised by the sense of outrage and disgust at the rental scenario, the time-wasting argument applies to both cases, a potential buyer might view a house multiple times, drag various family members around, spend even more money on surveys etc…

Both are unpleasant, but the greater the sum the greater my revulsion.

Completely agree that they should be advertising it as renting ‘starting from X’ though, if that’s how they intend to operate.

Summary: more regulation needed in both cases but how would you make it phantom-proof?

Release the fucking supply.

I’m a bit surprised by the outrage here. Granted my personal experience is in Cork and not Dublin, but any apartment or house I’ve looked at to rent I’ve always negotiated on the advertised price. I gather the combination of a more equal market and my willingness to walk away has nearly always resulted in an agreement for -€50 or -€100 under the rent price advertised.

You can’t expect the reverse not to happen when the sellers find themselves facing mountains of demand. The price is assuredly going to be negotiated upwards in these scenarios. This is the lay of the land for the time being, if people are viewing places that are bang on their max affordability then they need to revise their strategy or they’ll be leaving frustrated every time.

I don’t think many people in Dublin would share anecdotes of negotiating rent downwards but maybe there are some. I am renting a 2-bed apartment in a decent enough (not shoebox) city centre block for 1k a month for the last 3 years…doesn’t look as if it’d be possible to get that for that money now

See the post above yours.
Rents going up isn’t wrong, but some of the market practices can be shabby, and the overall market distortion (which landlords may benefit from but are not in general architecting) is galling in the extreme.

I assume you are speaking specifically about 2014? Even then, I am sure there are plenty, you still see rental asking prices dropping on daft from time to time and I have seen a number of these in my apt block in the past 2/3 months (granted asking prices had gone mad altogether) and know of a close friend who negotiated €100pm off the asking price in one such apartment.

I am a tenant and I don’t see the problem with Landlords negotiating upwards to be honest. As somebody else previously mentioned perhaps it should be advertised as “starting from x”.

The issue is not with the landlords it with the lack of supply/supply being held off the market. At the moment the landlords have the power because of this, in a couple of years time it could be the tenants that have the power.

I can get behind that. My post was more directed at the posters saying that people are going to view places advertised at being €X price but then find that someone else is willing to pay over €X+10% and freaking about it. It’s no different than negotiating for €X-10% when landlords had places sitting empty. From my personal experience the advertised price was never a binding, rent agreed price at all.

I think some people were embittered at the idea of landlords advertising at low-ball prices, and then using the flurry of interest to play people off each other and bid price up. Don’t know if that’s happened in practice though. Might as well criticise landlords for not being tuned enough into the market to know accurately the precise clearing price of rental units. Many landlords only have 1 or 2 units anyway, so in fact they are very rarely in the market. Criticism of EAs more valid in this regard.

My summary: finding somewhere to live in Dublin is a PITA, whether you want to buy, rent, or squat. It’s certainly worse than it needs to be (given availability of land, scale of city, etc.,)

Please do try get your minds around the simple point of this thread.

I have been renting all my adult life. I have never once gone to view a place to quickly find out it’s going up in price before my eyes. This is an anecdote of being lured into what appears to be an unregulated bidding war. The price of a bag of apples is moot in this instance. How people behave is also irrelevant. It’s a new low in the tactics employed by those luring others in.

The simple point in summary is it is deceptive and manipulative and possibly illegal (it is in other areas of daily life).

What if the apartment had been advertised as €0 and then those viewing told there was an offer of €X, same thing followed by outrage and scorn of greater measure I imagine and equally ridiculous.

There is a case of false advertising here square and simple.

I have made complaint before about this on DAFT and with other operators in the market. The ASAI haven’t a clue even when it’s handed to them on a plate.

It’s been said before, you have more right buying a TV in Ireland than you do often times when trying to find shelter and some have more rights than you if they get in the right queue.

Ignoring the scale of renters’ panic is a political failure on a monumental scale

davidmcwilliams.ie/2014/08/1 … ntal-scale

Yes, I also fail to see what that has to do with his thesis.

I think having to give 24 months notice to tenants is going a bit too far, though if you balanced it with that in the other direction it’s be okay (but a bad idea economically).