Ah Jebus Conor! Rent is dead money?

irishtimes.com/newspaper/pro … 25545.html

Interest payments are rental payments on debt. Dead money.

Err.

Stopped reading there.

Ok, no I didn’t stop. He says renters would pay €432,000 over 30 years on average, and that would get you a pretty fine house wouldn’t it? Well paying out 432K over 30 years on a mortgage even at only 5% for the term equates to a mortgage of 230K or so. WTF does that buy you today?

Thankfully Edel Morgan points this out. Perhaps she could be a new Pin hero.

Incredible. What a start to the day seeing that piece in the IT. Is this guy supposed to be a consumer advisor? And he’s telling people not to be overly concerned with losing 15% of your house value in two years. Who doesn’t want to piss away 25-30K in two years?

There is a counterpoint to this ‘argument’ - it’s a debate style article. Not just a random ‘IT says buy houses now’ piece. If it was two random journos I’d assume they’d just taken the salient points and opposing viewpoints for the sake of the article; given that it’s Conor Pope, saviour of the victims of rip-off Ireland, well… he must believe it.

I’d love to know what these properties in Ranelagh & Donnybrook in reach of young(ish in my case) professionals are… one bed apartments? If a shitty 2 bed townhouse is 395k (viewtopic.php?f=10&t=40304) Ranelagh is still a long way out of my (single income) reach.

he sounds like a poster boy for the realty industry.

Buuuuuut I see where he’s coming from and I’d be of the same viewpoint. You can’t put a price on the intangibles associated with home ownership.

To be fair he is just giving a deliberately biased side of an argument of which there is fair rebuttle. Also the comments sum up what most pinsters think. You can’t really criticise the artical as a whole.

Hi Conor. The market is still falling. FYI.
You can put that in your next article. No charge.

I thought that kind of numerically-challenged nonsense died in 2007. Some will never, ever learn.

Oh dear. If houses have fallen 60% from peak and will fall 20% more (with reference to peak prices), they will fall 50% from current prices. Even a 10% further fall from peak will be 25% from current prices.

How do you like dem apples Conor?

too many people are still referencing “other European capitals” rather than middling sized cities with plenty of land around and an economy in the sh1tter

A good point, yog. :laughing:

from the man who brought you this

irishtimes.com/newspaper/pri … 31588.html

and this

irishtimes.com/blogs/pricewa … a-mistake/

Discussed here

viewtopic.php?f=4&t=37095&hilit=conor+pope

I wouldn’t take advice from this guy regarding the price of a tin of beans. I think the IT promoted him recently.

I don’t think you’re being fair. He’s a consumer affairs ‘expert’ for the paper of record. He trades on this. People take this kind of thing as seriously as they took the property pages. It’s appalling.

They need to promote him again I think, keep promoting him until he’s in a position where he doesn’t get to write anything.

But if they shop around for frozen pizza, they can probably cover the fall in house prices from their savy consumer habits.

Rubbish. No other middling sized cities have a thriving finanical services industry - we are closer to Edinburgh than Bratislava.

Parts of the economy are in the sh!tter. A lot of parts are booming. What I have noticed on the Pin is that people (myself included) can be very selective in looking at the arguments which support the “I deserve a house in D4 for €0.50” arguments.

We will be out of this bottom before you know it. A bounce of inflation and these prices may look reasonable.

Taking a long term view right now may not be a bad idea. Back in the 80’s when the country was fubarred we had similar - pockets doing well. Even then people has to really stretch to buy in a decent area. It was ever so.

There are some valid arguments for buying right now that are regularly discussed on the Pin. He didn’t mention any of them and instead used the sort of reasoning that was dated in 2007.

Because it is a nonsense argument if you are buying for life and have priced in the intangibles of having a home. It is not a black or white argument.

When you buy a home (not at peak) you don’t sit obsessing about how much next doors went for. You get on with building a home. A lot of places are starting to make sense relative to renting.

Rubbish. You don’t willingly lose that amount of money if you can avoid it. I had a friend who bought a year ago. He knew full well that the market was falling and it would continue to fall. HIs house has lost at least 10% and contines to drop by about 1% a month. In one year he has overspent 25k. With interest that amounts to 50K he will have spent over just waiting one year (minus 12K of rent). The “intangibles” are not work 38K per annum in this case.