What is a reasonable price for a house?

I’m just wondering what people really think. I can see house prices in my area dropping, very slowly but it is happening. I’m just wondering how low they could go?
I’m not waiting for the bottom of the market to buy because i want a family home and when i find one that works for me i hope i’ll be ready to buy it. I’m just wondering for a 2/3 bed house in the meath countryside that doesnt need a lot of work, what would be a fair price?

Hi there,

I would suggest you go into your local library archives, and get the local papers for 2001. Look at property prices in your desired area.
Unfortunately at the time there was no need to provide guide prices, but many of these supplements included some pricing.
Obviously if you feel prices will only fall back to 2004 levels refer to hte 2004 papers.

Unfortunately what we all know is that prices will decrease slowly, and it will be pure luck if you get in at the bottom of the cycle. But one note of caution will be the dead cat bounce, where before the end of the price drops, there will be a short period of price increases, then prices will fall away again. I would suggest this is at least 18 months away, but hey I could tell you the Lotto numbers also.

Multiply you and your partners salary by 4, and that is a fair affordability index. Then look at prices at that level. You wait until those houses you desire come into htat budget, and you cannot go wrong.

I’d have said 3 but seeing as stamp duty here can be a year’s salary it would make sense to go the extra mile if it avoids having to move in a year or two. Although stamp duty could change! :laughing:

I’ve always been told that the “average house” (whatever that means) should cost 3 or 4 times the “average wage”. When it appears that this level has been reached we’re probably looking at reasonable value. But as many people have said here before … corrections often over shoot significantly as per UK in the late 80s.

PS I’ve never understood why couples can borrow a higher multiple of their combined salary than single people. Yep less likely that both will lose their job but balance that against the chance that one will have to quit work to look after kids …

thanks for that. i’ll have a look and see what i come up with.

Log onto ESRI website esri.ie. Then look up Permanent TSB report, and you can look at tables, which show average house prices in last few years.

This is a good guide, and really shows how far prices need to fall back to be at 2004 levels.

esri.ie/irish_economy/perman … tables.pdf

still a bit of a way to go then but at least its an idea of what to expect/hope for.

Tax breaks in certain circumstances give couples more financial leeway AFAIK.