DNG via Indo: SCD house prices up 16.2% yoy, Northside 16%

More Indo property pushing today:

independent.ie/business/pers … 41932.html

If the 10% rise in apartment prices is from the CSO I’m surprised. Not that surprised as I’ve seen at least 10-30%+ increases myself across the board from developments I’ve been looking at, but surprised that they would be showing a 10% rise with houses only showing 1.1%, when apartments should be rising a lot slower due to factors such as the fact that they are yield driven, non-owner occupied, subject to management charges, etc.

So more people being squeezed to over pay for accomodation and more people having home ownership taken from their grasp is not a vista that is in any way negative according to the Indo?

Any macro analysis on their website to ascertain if any increases are sustainable?

CheekyOfferBangsHeadRepeatedlyOnDeskChantingIdiotsIdiots

Flats (I hate the term “apartments”) are starting from a slightly lower base, which helps, and there’s been more than one warning in the CSO reports that the numbers are so small as to skew the stats.

But the CSO report does say Dublin flats are up 9.7% on the same month last year.

So is Ireland the 1st country ever to have a major property price collapse where the bottom was hit and then a mini-boom kicked in…no flat lining, dead cat bounce etc…just an immediate pick up?
If so, we truly are different!

Are the CSO still getting their figures from ringing around estate agents for asking prices?

Well done to the government, NAMA is certainly working.

Hmm, the next quarter will be interesting as the ‘repossessions bill’ will be enacted in the next week.

If we didn’t have an undershoot we’ed be different too.

No

bloomberg.com/news/2012-05-2 … gages.html

*Iceland’s crisis-management policies are creating the island’s next property bubble less than four years after its banking meltdown threw the economy into its worst recession.

Prices for new homes touched a record last quarter, having surged 40.1 percent since the final three months of 2010, according to estimates by the National Registry of Iceland in Reykjavik. Average house prices have risen 11.3 percent since the market bottomed at the end of 2009, according to central bank data at the end of the first quarter.*

NAMA doesn’t do what you think it does.

Lenihan: Nama is there to “establish a floor in the market”.

Explain?

Amazing, and the only way is up apparently, :slight_smile:
T

I’m shocked I tells ya… DNG never mentioned the 1000000000% expected uptick in the next week… fill your boots :slight_smile:

Edit: Slightly more seriously… when you see these unverifiable good news stories you get the distinct impression there was a push at the start of the year from banks NAMA EAs etc… the usual shite.
Sell apartments to US Hedge Funds… n then say apartments are up 10%…
Hold of stock n approve loads of mortgages knowing this will push up bidding…
N the Gov basically doing it’s best to (bankrupt itself)squared, in order to hold off on anything that might depress the market…

Of course I don’t think they have the readies to pull it off… but it’s sure sickening the way the collective is happy to screw the majority to protect institutions that are failed and should be shut down.

This is much ado about nothing. A couple of press releases that were based on a single data point, that is uncorroborated, is a blip from the trend and may be of questionable accuracy get picked up and regurgitated by a willing media and spun for maximum effect.

In the real world and from a statistical or economic perspective, best summed up as “move along now, nothing to see here”, where as in VI-property-hype-media-ville it seems some people are attempting to start a conga line singing “happy days are here again”.

Blue Horseshoe

I believe this and I think house prices are up even further in some places, closer to 30% and people seem to be paying them. This is coming from someone who is looking to buy too
Every viewing there is a stampede and I haven’t met a house where asking hadn’t been bid within a matter of days and any house we have seen has gone for asking and in a lot of cases well above. We bid on a place recently that went close to 300K above asking. It shows no signs of slowing down either and I think stock will continue to dip to the market. There is a lot of money out there and pretty much everyone I know is looking to trade up , something they hadn’t even considered a few years ago but everyone seems to have got the bug again.

I appreciate your point of view ‘Moss’ and I have had very similar experiences, but interestingly from an overall point of view, my experience has been in looking at 2 bed apartments in Sandyford.
ASKING Prices are certainly increasing:- e.g. Text message received from EA re 501 The Cubes 1, BSQ, Dublin 18 reads: property is off the market at 225k. The vendor is seeking offers in the region of 275k.
1st inclination is to say ‘no thank you’. 2nd inclination shows interest, and is directed that a viewing will be set up the following week. No viewing scheduled, after 2 weeks. EA unwilling to discuss.

My thoughts - EA / Vendors are simply testing the waters. There are extremely few properties (apartments) for sale in the greater Sandyford area, i.e. inside the M50 / on the Luas line.
Nama continues willing to sell apartment blocks in bulk, e.g. Grande Central (195 apartment less 10 odd which had been sold since 2010 PPI) for 9m asking daft.ie/searchcommercial.daft?id=115363 without offering anything for sale on a one off basis - thus creating jobs all round.

As for increased numbers ‘trading up’, a high proportion of these people need to sell where they are. Those properties are yet to hit the market, so I am less than confident of actual sales, rather than perceived interest.

24% of the Gross houshold income. Its more likely to be closer to 50% of the net income the only source from which it can be paid.