Property Price Register and Still Overpriced Houses!!!!

For people in negative equity, the phrase is “last time buyer” - they’ve bought their last house. May as well enjoy it. :open_mouth:

I probably should have emphasised “used to” a bit more :angry:
Still, those in NE may be saved when the inflation hits, it just depends on how much inflation is allowed run before the ECB kicks up rates again.

The house was asking price 145 thousand, the last two on the road have sold for 96 and 97 earlier this year and full asking price was offered within an hour of viewing!

Too many people still blinkered into only seeing the 2006 prices, anything is cheaper than those.

And that is the ultimate question… if Noonan continues the MIR, then prices continue to rise. If not, then, for Dublin anyway, will there be a fall??

If MIR goes away, then the current pool of FTBs just sit and wait for the drops to happen.
If MIR does not go away, then the current pool of FTBs just sit and wait for their dream house to come along instead of the current madness.

And that ignores the effects of budget on disposable income.

You hope.

I am reasonable sure that MIR is not a major factor driving the current pricing in SCD (€400k+).

What is driving them then? The unemployment figures? The high interest rates? The EAs who still think that this is 2005?

Very simple, competition between people with the ability to buy in a market starved of credit.

EAs don’t care what price a property sells for as long as it sells they collect their fee.

I do not agree on that statement but then again I am not an EA. But as a sale person I certainly care about the prices which my products are sold for because that is where my commission is coming from.

the ‘people with the ability to buy’ as you say is in actual fact a small little collection (relatively) of true, ‘traditional’ irish people NEEDING to own their own property, and their natural urge to do so can no longer be quelled regardless of economical matters. like an itch they’ve put off scratching they can stand it no longer.

the current clamber to attain property in dublin is laughable if you ask me.
wait. be patient.

if for no other reason than the fact that we all know (if we do a little research) that property crashes do not end with a sudden, sustained increase in property values. its a plateau. 2/3 years minimum of a plateau.

and we aint there yet. IMO.

so therefore surely unsustainable?

The house valued be EA at 500K and sells
For 400K has very little impact on the EA’s fees however the impact of 100k less falls on the seller the EA doesnt care as long as he gets his fees. But to get the oppertunity to win fees his name needs tp be on the board for marketing that’s business
So to get that bussiness he hopes up the valuation to the seller to get their business. Once he has his board up his interest wains so in effect EAs are in a win win situation advertising and fees, while the seller sits and waits for some fo to offer somewhere the EAs valuation after all they think the EA is working for them!!

People need to stop using generic arguments when talking about specific areas.

The areas of South and North Dublin seeing frenetic activity and price increases are different, to argue that property in general in Ireland is and will continue to be in the doldrums and that therefore prices will eventually come down in these specific areas is a fallacious one.

Some people here are completely missing the 6 figure salaries driving these bounce. 500 - 700k is in 3.5x territory for a surprisingly large number of house holds.

Whether it lasts - that is the question. I think it is going to top out in March.

+1

People seem to be ignoring the level of drops that have been experienced to date.

I have recently bought in the SCD area after 6 years looking at prices fall. I have managed to purchase a place for just over €500k that I think would have been priced at about €1.5m at the peak of the bubble or the equivalent of 2000 prices in nominal terms.
That is about a 67% drop from peak and to me it represents good value for money.

Our mortgage is less than 3 times joint income excluding pretty certain bonuses.

My only regret is that I didn’t buy 3-4 months earlier as I know I would have got slightly better value.

Many will feel that is just someone who has recently bought talking up the market to fit their own decision to buy.
But it is also someone who has bought that has watched the market as close as anyone for the last 6 years and reckons in some areas the bottom was hit a few months ago.

Good post, D_E, and congratulations. But do you have an opinion on what will happen to the market as the Irish ‘pillar’ banks raise their mortgage rates? Normally interest rates would rise to take some heat out of a market, but in Ireland they’ll rise to try to keep the banks alive.

Wow! I wasn’t expecting to see that anytime soon! If Mr Dreaded Estate has bought I think we may well have reached the bottom of the market!

Congrats DE.

This even gets factored in to design of evacuation plans of buildings. When you have a fire and panic, people tend to follow other people. You get scenarios where people queue up to get out one fire exit while other exits are unused and also in reach.

And of course in many less dramatic scenarios it is better to be wrong with the herd, than wrong outside the herd… so why take the risk of leaving the herd?