Disappointment and Anger after reading Sundays sbpost?

Disappointment to see the government once again drop the ball and pussy around the issues - at this point a bit of straight talking wouldn’t go amiss - there’s only one solution - lower prices please.

sbpost.ie/post/pages/p/story … qqqx=1.asp

And intense anger at that that fking useless st Parlon

sbpost.ie/post/pages/p/story … qqqx=1.asp

When will this fking idiot realise that were already under enough pressure thanks to an overbuden of debt??? Local authority housing loans to people on 80k??? Increase the loans to 400K??? What the fuck is next??? What complete aehole.

While prices are getting lower…
Madness!

From the same article:

That is a good idea, a great idea, except… it is already being done!

honest to god i think i might call the SBP and see if they’ll run an article titled ‘Mortgage Broker calls on HFA to stay out of things’ reckon it’ll get coverage?
doubt it…

Jesus tittyf*cking Christ

Why don’t the just scrap ‘affordable housing’ and instead just give what ever the punter pays again to the builder, cause that is effectively what this will achieve anyway. In other words from now on builders will pay negative tax.

we need to use the affordable housing scheme to prevent houses from becoming affordable??

XX

Edit: Actually thank goodness this government is populated by useless tossers, so their evil scheme is bound to fail.

I think your edit is on the money, the shower in power will make a mess of things and the trough will take longer to hit than it should thereby prolonging a negative effect on us all. :unamused:

The original idea of AH was punters cant afford a 500k house, so they’ll pay 300k and the government will kick in 200k to ‘get dem on de ladder’

Now the builders would be forced to sell for 300k as no-one will buy at 500k - but AH allows them to still charge 500k and pocket 200k from the taxpayer in the process.

AH is now a subsidy to developers, not a subsidy to FTBs.

AH is preventing house prices from becoming affordable as it artificially inflates them 40% above what the market is willing to pay!

Only Fianna Fail could be responsible for such self defeating counterproductive blatant market interference. When will they learn to stop pissing away taxpayers money and just let the fucking property market find its own level like it does for everything else !?!

I thought the affordable housing scheme forced the developers to set aside X % of their properties at ‘affordable’ prices in return for planning permission.

Are you certain the council actually gives the developers the difference between the affordable price and the market price?

You might be surprised.

While we would like to think the SBP journalists’ highest priority is to bring us all the news that’s fit to print, or to break some ground-breaking story, their priority is actually to fill a lot of white space each week.

I’d like to believe that, as it implies we could improve matters by voting in the opposition. But when have you heard them call for an end to the madness? They’re more likely to promise even more market interference (to be seen to be doing even more, not because of any ideal or principle)

so who will end up undercutting who,
private sellers or the developers?

This is incorrect. The government would pay the cost price of the house and sell it on to the affordable home purchaser at said cost price.

In the example above the Market Value is €500k and the Cost price would be €300k. The goverment would buy for €300k and sell for €300k. The MV is used as a % clawback where if the owner sells within 20 years the council will get an amount of this, thus profiting from the sale (if the house is sold for more than the original MV of €500k).

AH actually would be a stimulus to reducing house prices further. I.e. if the property value falls below MV of €500k then the owner doesn’t care if it sells for €499k or €300k as they will only get €300k from the sale regardless.

Can you provide any concrete proof?

I for one am sure the developer can set aside 20% or pay a cash waiver to the local council. The council can then buy the 20% at MARKET VALUE and then absorbs the discount.

Do you really think the developer is selling 20% at cost price???

Just had a quick look at the AH website, no mention of cost price. It sounds highly dubious to me. I’ll be amazed if it’s true. There is simply no way builders would follow this or the gov. would put such a scheme in place.

If the developer is only getting 300k from the government then why bother with AH?

Just sell the feckin things outright for 300k and be done with it!! There are thousands of empty apartments, they’re never going to sell them at makey uppey “market value”.

Whats the point of the whole charade of selling them to the government and having a department full of civil servants creating mountains of paperwork and beaurocracy to administer a scheme just to make it appear that the market is way higher than it really is?

AH allows the local authorities to allocate the units. If the developers had to just sell them cheaper than the rest, they would sell them all to their family.

I’d say there are lots of fun and games going on here with the council. For a start, to get his 300K, I’d say the rest would have to be valued at 500K and artificially maintained at that for a period of time. I think the whole area gets really fuzzy in a falling market…

Because Fianna Fáil have only one fundamental core policy, it’s been their core fundamental policy since the 1960s, and the entire Irish economy revolves around this central, core, Truth: that land and property prices must be kept as high as possible, at all times, and at all costs.

Nothing else even appears on Fianna Fáil’s radar. Every single act of theirs in government, consistently over decades, has been based on the High Property Prices philosophy. If some scam, scheme or pointless pork project will support high land values, then FF will implement it. If it will reduce land prices, FF will crush it out of existance.

Have developer’s families got enough money to buy 15,000 apartments?

Good point Sidewinder. Sometimes I get all confused and think that government is supposed to be acting in the best interests of the majority - silly me :blush:

Because it allowed the developers to factor in the cost of the AH into the price of the units they sold to the public. I don’t care what anyone says - those who didn’t qualify for AH or bought themselves contributed in part to the developers cost of the AH - simply talking to a developer off the record would confirm that!

That’s great. So AH actually makes houses more expensive than they would be otherwise as the AH ‘discount’ is lumped onto the price of everything else?

The more I hear about this scheme the dafter it becomes.