Galway Adv:Fahey proposes scheme to re-ignite housing market

Funny Guy Frank :nin

Seeing as most of these developers will not be around in 12-18 months the only ‘equitable’ solution is to put €100k into an escrow account for that time .

well - it isn’t an original idea but actually its a pretty good idea. Its a move towards a transparent market place where its easy to see what houses are actually selling for. Not mind you I’m not saying it’ll create a transparent market place where its easy to see what houses are actually selling for. I’m saying its a move toward it.

I wonder if Frank realises that the net-effect of this initiative would probably be to hasten the bottom of the market. What I hear when I read this is “the market is hosed - lets get to the bottom as quickly as we can so that the market can start recovering”. I like this idea.

At this time of year I think it is important to remind everyone that once a property market is lit you should step away and not return to it. Trying to reignite a property market could blow up in your face.


Does anybody buy houses through websites? :open_mouth:

Sounds like a CARTEL that he’s trying to set up.

Developers’ lowest price == cartel price.

And woe be tied anyone who undercuts any other developer. They (or anyone associated with them) will never ever get another state contract.

It’s like the New York mafia. In Galway.

Granted the idea itself isn’t too bad, but this guy seems to be setting himself up as the Ministers for Developers with all his schemes and information nights

Exactly, who is paying this guys wages? Actually, better not answer that.

Sounds like hot air to me. How will his website be any different to myhome or daft? Is he just in it for the advertising?

The only unique thing I can see is

I doubt Fahey will insist all builders adhere to this before they can list their properties. And even if they do, there’s plenty of weasel room with “similar property”. The builder will always have some excuse why unsold houses whose price has been dropped are not “similar” to the houses already sold - so no refund.

His ‘refund guarantee’ idea is a non starter.

It hurts both developers and buyers. It hurts developers because as soon as the sell the first house in a development that sets the baseline price, they will be left with empties as the market falls around them. In my opinion Developers are entitled to negotiate any price they like with each individual buyer, it is up to the buyer to make sure they are getting a deal they are absolutely happy with, not one they are only happy with relative to other people. Caveat Emptor.

Also will the Developer be able to seek the difference off the buyer if he manages to sell a place for more?

It hurts the buyer because if I am seeking to buy in an estate, maybe one of the last 3 or 4 unsold houses, I want to drive a hard bargain with the Developer, now he may capitulate on the last couple of houses, in order to be shot of the estate and get it over to his management company. He may see that a hit of 100k is worth taking as he gets rid, and I am happy that I have negotiated a very good price for myself. However under FF’s scheme every penny I negotiate off the price of a house will be multiplied by the number of houses in the development. Instead of it costing the developer 100k to get rid of that last house, it costs 100k x 20 or 30. He’ll be less apt to do the deal under those circumstances. What this would lead to is a couple of empty houses in every estate that will never be sold as the developer is unable to get them to market clearing price without incurring punitive costs.

As regards the website, yeah why not, the more info the better, I don’t really care though as I’ll be looking for a second hand house in a mature area when the time comes.

So, how will people know if a property sold for less later on? Will they all just be advertised at the “low price” but the sale price could be different? Developer need not pay out difference as sale price is private.

I can see so many issues with this

  • If prices fall, no guarantee the developer will still be around
  • No guarantee the developer will be able to pay
  • I would say Revenue will see this as a gift and tax it under CAT
  • Who does the valuations?
  • What’s a “similar” house?

I would congratulate Frank on the above observation. He is correct that lack of transaction price information is a problem for buyers. However, he can still widen his view:

  • it’s a problem for all buyers- not just first time buyers.
  • it’s for buyers of all properties- not just new properties.
  • it’s not an issue of advertised prices- it’s a question of actual transacted prices.

So Frank, follow your principle to it’s logical conclusion and lobby for immediate implementation of a property sales database that will benefit all buyers with information on which they can actually rely. :exclamation:

You should brook no delay from officials that tell you it would take too long or that throw up technical obstacles. Its a searchable list, that’s all. Government might even charge for the information. Yes- it’s another way of raising funds.

And if there’s concerns about Human rights or privacy of data, then go and talk to other countries and find out how they get around it. You’re an ideas man of action. Make it happen.

Go on. Do it. Do it now! And have a damn good answer ready for when you are asked why you are not doing it. :slight_smile:

If you follow the money through its long and tortuous journey, it is first time buyers.

Look… Let’s not focus too much on all the ins and outs of this thing… The fact is that this guy is at the very top levels of our government, and he owns over FORTY properties. (He used to be a schoolteacher).

**To think that this guy can properly act in the public interest in the realm of the property market is just plain ridiculous.

In fact it’s criminal that he’s allowed to operate in this realm under the auspices of government. **

Both himself and yer other one (what’s her name? The one with the face - if its true as they say you end up with the face you deserve, I’m pretty sure she’s done a lot worse than advise clients to avoid tax), have replaced two relatively decent representatives who didn’t toe the party line.

These are two gombeens the like of which makes me shudder for the future.

Such concern for first time buyers from FF TD with the most investment properties in the Dail. Hey Frank, it wouldn’t be anything to do with trying to bail out your builder buddies ? While your so concerned, give up your teacher post and let some young person get a full time post.


The “Poster Boy for all that’s wrong with this country” rides to the rescue again… go on the Frankie!

Couldn’t agree more!

There is a young part time teacher out there with a shaky unsure future because of this man. I’d love to put a face on this person and introduce them to Frankie’s constituents.

Why not offer a new forum here for developers to post their lowest prices? Would save Frank time and effort and god knows he’s busy enough writing speeches for the Dail.

I find Frank’s concern, empathy & milk of human kindness for the poor downtrodden FTB to be heartwarming.

It’s restoring my faith in mankind.