I think he is shy of the mark (not by the timeframe you mention next autumn) but the fact is the current state we are in along with banks growing reluctance to lend and increased taxes will even reduce the exuberance of someone on a guaranteed salary to dip a toe in the market.
Some markets are more sticky than others but that is only a matter of time and bad government to push these down further.
Grumpy - post of the week. Great catch. Mr. Power’s statement is so perfectly wrong that one of us lot could have made it up.
And look at the language: “gradual slowdown” = soft landing, “solidly based [market] in the medium-term” = the fundamentals are sound, “sustainability” = new paradigm. Those are three of the key totems of bubblenomics right there, being trotted out by one of the country’s most high profile economists…how bloody embarrassing is it that his analysis was no more sophisticated than that of all those barstool property magnets-come-jackasses? Gobshite, gobshite, gobshite.
Jim Power has a brain fart whilst taking a dump in Friends Provident HQ.
“House Prices in 2009 will drop”
lying scum PR company brought into the loop,
they contact useless ignorant journalist to arrange press conference,
media print and an RTE muppett is sent along
banner headline Friends Provident Top economist warns of house drops (dated Nov 09)
Friends Provident take a 1/6th page add in IT
Jim has dinner that evening with Financial regulator and Govt ministers
Garda drivers wait on overtime outside Greens restauraunt
everyone shoots off home, pocketing receipts and noting the time on the clock for their OT sheet that week.
tax payer picks up the tab for the consultants for the dinner, gardas overtime, jims top quality advice, dail commission to review Jims advice , the disastrous consequences of taking Jims advice circa 2007 and also the hefty tip left for the cute eastern european waitress who delivered the sweets trolley.