Dublin house prices fall as rest of country surges on

So says the Indo

m.independent.ie/business/person … 02983.html

I’m sorry the indo was saying something else a few months ago …I’m confused :smiley:

independent.ie/business/pers … 85023.html

“Ultimately, however, the supply and demand fundamentals would be unchanged and therefore there would be no impact on the trajectory of price growth.”

Ah the sweet smell of BS …don’t these “experts” hate an audience with a memory

more from the indo and the same author

independent.ie/opinion/comme … 02982.html

“were lending to nobody at all in 2011”

Absolute rubbish Mark …they were lending …to people with secure jobs and savings and manageable debt …I have documented evidence of this…maybe not to your “Friend” …but certainly not nobody.

“Laughing” …you’re fooking definition of success is worryingly skewed …the aforementioned people who bought in 2011 are somewhat happy …2005 buyers I’m sure are getting on with their lives …but laughing about house prices Hmm !!!

Obviously the writer can’t figure out that it made more sense for the CB to curb demand in the absence of supply until that ramped up. Tightening bank lending criteria is a hell of lot easier than building more homes!

The government do need to get NAMA to release land though…Reducing demand and increasing supply would have been the right thing to do.

Is NAMA releasing land really the sticking point? I would have thought affordable credit for developers (and/or reduced profit expectations for developers…) was more of an issue.

I know Mantissa makes a good point about using mean vs median but if the average house costs 332k then the average first time buyer needs a deposit of 42.4k. If you take the average young Dublin couple then thats 21.4k each with a mortgage of 290k. To me it seems reasonable for the owners of the bank (the Irish people) to expect a couple to be able to save 21.4k each and be making in the region of 40k each before lending them 290k.

Gets trickier with rents on a seemingly unstoppable upward trajectory though. Not saying it’s impossible, but FTBs are being squeezed on both sides.

Maybe it was never as bad as this but in my 15 years in Dublin accommodation costs always ate into my savings ability.

I read on here not so long ago that we’ve hit all-time highs.

Not that it should be easy, but it’s extremely frustrating to have ability to save eaten into on one side, while requirements to save are being increased on the other. And (as has been discussed ad infinitum on here) so bloody little being done to address the actual underlying supply problems.

That said I’m very glad I wasn’t at this point in my career in 2006. Would as likely as not have landed myself in half a million of debt for the privilege of living in a small hatbox.

The indo really is the gift that keeps on giving …it is Christmas I suppose

“An average couple who are paying €1,400 a month to rent a two-bed apartment in Tallaght, running a car and paying for childcare cannot afford to save upwards of €20,000 for a deposit”

Hmm …yeah rents are high …but and now maybe I’m just talking crazy here…

save for the house before having kids and if you on the luas line with no kids …do you really need a car?

shit happens for sure …but he is talking about the “average” couple …Hmm!!

independent.ie/business/pers … 02984.html

Agree in principle that people should not be having kids if they blatantly can’t afford them, but at this rate there would be no children in Dublin again if everyone was to take that stance! People probably aren’t willing to put their life plans on hold just because of our unpredictable property market.

From the handful of times I’ve been on the Red Line, I’d consider a car to be a necessity to avoid it. No good having money saved if you’re stabbed to death. :smiling_imp:

Sure look shit happens …I can see both sides …but my main point is personal responsibly.
Yes I see the irony of the red line …but again …if you saving for a house …suck it up!!

Someone said something about short memories, I remember paying rents larger than what they are asking now for smaller/shittier apartments a dozen years ago. Tho Dublin yes has gone all mad for asking rent prices

Pretty sure someone had stats on the pin pretty recently showing that we’d hit all time highs (by some measure, at least). Can’t remember the details though, so it may be that the figures were a little misleading. (Anyone remember where they were from?)

Good point … but that doesn’t meet with the narrative of the piece ie: pander to the masses.

Agreed for some people but not all. I know a good few people living in very expensive yet desirable rental accommodation who complain about not being able to afford a deposit. These are the same people with nice cars and who take fancy holidays. A year back in with the parents, sell the car and cancel the holiday and weekends away and then they are in a position to buy. As pointed out elsewhere in this thread any relaxation of the rules will lead to higher house prices which is good for nobody except those with more than one properties. I know there are exceptions to this but not as many as one would think.

Yes …there’s struggling to save and struggling to save with your chosen lifestyle …separate issues
I find article’s like the one below with a notional couple so general as to be a waste of time…speaking as someone who pays a lot of USC (and therefore paying for the last time people lost the run of themselves) …my answer is simple …suck it up …and just maybe …you wont bounce yourself and entire country in a few years.

“An average couple who are paying €1,400 a month to rent a two-bed apartment in Tallaght, running a car and paying for childcare cannot afford to save upwards of €20,000 for a deposit”

independent.ie/business/pers … 02984.html

*“An average couple who are paying €1,400 a month to rent a two-bed apartment in Tallaght, running a car and paying for childcare cannot afford to save upwards of €20,000 for a deposit.”
*

Pathetic the author hasn’t highlighted the source of the problem. And its certainly not the couples fault.

How much of that $1400 paid to the landlord goes to tax, 50-60%?

Why is running a car so expensive? Is petrol expensive at 30-40$ a barrel? Oh yes, it’s taxed too the high heavens. What about annual car tax?
Buy a car with a 2 litre engine and how much tax are you paying?

Your insurance - how much of a premium do you pay to cover government regulations?

Nct? How much is that now? Why can’t every mechanic in Ireland issue a road worthiness cert instead of a monopoly?

Childcare costs? How are they expensive? Oh yes, government insists on a minimum wage for unskilled labour. Then the business owner pays extortionate employee taxes.

Then government introduces Nama to prop up house prices while there’s empty apartment blocks in tallaght lying idle.

But, let’s face it. It’s the new Central Bank regulations causing the problem.

XX

Agreed …but this is a small country with a low standard of living generally.

Hmm …the CB rules are saying …yup go for it … if you can truly afford to buy a house and not put yourself the entire country at risk down the line …they are applying the lesson’s learned from the free for all credit bonanza of 2001-2007 that brought the entire country to the brink. This will prevent run away prices for the next crop of buyers …don’t forget …even during the aforementioned bonanza young couples struggled to buy because prices where so high. eg: 10% of 400K is the same deposit as 20% of 200K

Dublin residential prices down -1.2% in November but were up +0.2% outside Dublin per CSO