IT-Galway house sale: "All the buyers had jobs"

Somehow I think the author of this story doesn’t quite understand the scathing commentary on the current situation they have just penned.

irishtimes.com/newspaper/pro … 75543.html

Blue Horseshoe

So they “struck gold” after they cut prices by up to 40%. I wonder what they might have struck if they’d sold at the original price.

Let’s have a look at the numbers.

2-bed apartments and townhouses cut from €270,000 to €160,000
3-bed semis were cut from €370,000 to €239,500
4-bed houses were cut from €400,000 to €279,500

And they sold ‘26 homes worth over €7 million

If true, the average price paid was over €270,000, so then the only stuff that there was any demand for was the 4-bed homes. To achieve that average after selling only 2 apartments would require the other 24 homes to all be 4-beds.

2 bed------3 bed------4 bed-------Total
0…0…26…€7.28m
0…3…23…€7.16m
0…6…20…€7.06m
1…4…21…€7.00m
2…0…24…€7.04m

The lower end of the Galway market is dead.

Looks like the developer wrote the article. Surely the IT property section has its own staff??

Similar fawning article in today’s Connacht Tribune
The property market in Galway has “turned a corner” according to a local development company

I wondered what the mix was as it says “26 homes worth over €7 million” as opposed to “26 homes for over €7 million”.
For the purpose of the article, who decided what they were “worth” - the developer, the IT or the buyers?

:laughing: I had considered that possibility, but I think it’s fair to assume that a property is worth what you can sell it for.

Colm O’Donnellan of local estate agent O’Donnellan Joyce said the real surprise was to have seen the three lenders chasing the buyers for mortgage business

I wonder if said three lenders are, by any chance, holding the debt on this development :slight_smile:

galwayindependent.com/property/property/buyers-flock-to-discount-sale/
I wonder who financed the development

:laughing: Jedward are posting on the 'pin?

Is this the Leargan development?

daft.ie/1521586

If so, their brochure indicate over 160 homes in the development with the largest being over 1800 sq ft. 280k/1800 = 156 psf. For homes overlooking using “corridor views” Galway Bay beside Salthill and apparently built to a high standard?

Whether there were still 160 homes on offer isn’t known of course - many/some may already have been sold. But if all 160 were vacant, 26 occupancies would still make it a ghost estate (<50% occupancy). Will these buyers be featured on the 2011 edition of “Aftershock”?

Having read the article I am rolling around laughing at the prospect of FTBs being picked off by the banks as they entered the Marriot, minibussed around two sites and then 26 of them paying €5k deposits on the day. Reminds me of a timeshare event I went to years ago where they flogging were €20k units somewhere on the Costa Del Sol and I had to withstand two hours of hard-sell before they gave up and gave me my promised free gift of a mug.

One of the developments is Boireann Bheag and I can see John Gormley telling them in years to come as they complain about a 2 hour commute to Galway City because of traffic snarls that they should have known about the narrow road when they bought!

On a more serious note, does anyone know if banks have a duty to disclose conflicts of interest - ie if they are acting for the developer and now for the FTB?

I smell bullshit. Spin, spin and more spin.

Reminds me of last year, when the development in Ballinagh Co. Cavan (along with others) hit the papers/news, there was a big hoo-haa about the slashing of prices and an alleged selling frenzy.

“In July, Mr Taite cut the prices from around €300,000 for five-bedroom houses to €185,000, and three-bedroom houses were cut to €100,000. Since then his agent, David Reynolds of Gunne, has agreed deals to sell 34 of the houses and only one remains.”

Two of the 5 bed houses remain empty along the road, who knows what else didn’t sell in the rest of the development.

Previous thread: thepropertypin.com/viewtopic.php?f=4&t=23816&p=323951&hilit=ballinagh#p323951

Indo article: independent.ie/business/irish/property-investors-eye-bargains-as-banks-offload-cutprice-homes-1947853.html

Yep. They have a large and ghostly apartment block ( block B in the brochure) at the front which sported some smashed windows all winter , it faces a corpo estate across the road.

I did not see the apartment block on sale over teh weekend, only the houses behind. In fairness O Malley do finish their estates and do landscape and do built to a decent standard. But I would like to find out what is going on there before I bought. Many homes in an Leargán are unsold affordable homes as you can see here.…including some apartments

There is a plan to put a large social housing block behind the corpo estate too and a school.

At some point the corpo may well convert their unsold affordable housing into social housing instead. I would not like to buy a home, discount or otherwise, and find some of Westsides more charming families doddering about next door in a surplus affordable ( now social) house nobody told me about 8)

I love the sophisticated language of Ireland’s only broadsheet.

I wonder how much “a rake” of houses constitutes.

Quote from the article:
“Colm O’Donnellan of local estate agent O’Donnellan Joyce said the real surprise was to have seen the three lenders chasing the buyers for mortgage business”

I think the real surprise for Mr O’Donnellan is that a once respected broadsheet allowed him or one of his illiterate cronies to cobble together a badly written, unedited piece of crap for their newspaper and then actually PUBLISHED it.

Mind you, after their dire non-news “come dine with me” article a couple of weeks ago I shouldn’t be surprised at what passes for news at the IT these days.
irishtimes.com/newspaper/fea … 62339.html

roscam

its in the name :open_mouth:

No way of proving that this is just more propaganda to get the market moving and spook people. As in ghost estates - last 2 remaining trick. Can’t see why anyone would buy in either of these 2 concrete jungles at 279,500 + need to kit out + mgt fees. In knocknacarra can easily get 4 bed semi for 230,000 and 4 bed semi sold in cartur mor recently for 220,000.

Check out the comments section: galwayindependent.com/property/property/buyers-flock-to-discount-sale/

I personally know of two separate sales in Leargan at this “sale”.

No doubt the details are being pimped and exaggerated by the builders, but there are guys back working on the sites, I’ve seen them myself.

galwaynews.ie/12864-jump-sal … ding-sites