Apartment 3, 50-52 Nutley House, Donnybrook (-350, -13%)


#1

Hard to see them getting this price

€2,250 Oct 06

€2,350 Sep 28

€2,600 Sep 08

https://www.daft.ie/22071659


#2

So rentals are going down but property prices are going up?!

Well that makes lots of sense…


#3

Firstly, rental yields can drop and prices can stay static. If the yields come down from an artificially high level ( say 6% ) to a more normalised level ( say 4%) , the price of the asset can remain static as it’s still an attractive yield.

Secondly , 'property prices ’ aren’t just two bedroom apartments in Central locations, it’s all of the residential properties sold. There’s currently a well documented global phenomenon where people are fleeing from central apartments to suburban houses with more space for offices, gardens etc.

So it’s absolutely conceivable that rentals on small urban apartments are going down while overall the property market is going up.


#4

The lady doth protest too much, methinks…


#5

Insightful comment along the lines of your usual standard.

How about you add some value and provide a reasoned counter arguement as to why a reduction in rent on a two bedroomed urban apartment is not congruent with a rising property market ?

Or does your intellect only stretch to shooting links off the internet ?

Now is your time to shine…


#6

I think this is a classic case of an initial outlandish asking price now having being brought down to what I would consider still too high. The question for me is whether they can let it now at this price or will have to reduce it further (of course they might accept a lower price during negotiations and the ad will not be updated).