Tag Archives: Property

donegal-house-n

 

The Irish Post reports:

FOUR per cent of sales from a recent auction headlined by the ‘cheapest house in Ireland’ went to British-based buyers, who snapped up a total of €1.2million worth of property

Of the 1,500 properties sold in previous Allsop auctions, 120 have been snapped up by British buyers accounting for £11.5million in total sales.

A whopping €34million worth of stock was sold in total at the recent auction

Theyre buying US back.

British Bidders Snap Up €1.2 Million Of irish property At Ausction (Irish Post)

Earlier: Sure What’s €410,000?

colm[Colm McCarthy]

Further to the publication of the government’s Construction 2020 plan for the building industry and the possibility of state support for first time buyers economist Colm McCarthy appeared on Prime Time last night with David McCullough.

He wasn’t happy.

David McCullough: “Colm McCarthy, there’s a lot in this document, but just to deal with one item in it first, this idea of a mortgage guarantee – a lot of media attention on it, it seems to be thing that’s been picked out – helping young people get on the property ladder, surely that’s a good thing?”

Colm McCarthy: “Ah well, we tried it, and it wasn’t. One of the biggest mistakes we made, and we made lots of them last time around, was to create an expectation that you could buy a house with no money down. And the suggestion that the Minister for Finance made the other day – it’s not actually in the document, but he made it in his speech – he complained that it was unreasonable that people should have to have 20% as a deposit and suggested there would be 95% available, so they would only need a 5% deposit. If we hadn’t made that same mistake so recently, you could forgive it, but it is really dangerous to be pumping up what is a very regional property bubble . The idea that Ireland is back into a property bubble – if you spend any time anywhere outside the M50, and I do – you do not believe that. There are parts of the country, towns and villages, parts of the Midlands, 50 or 60 miles from Dublin that are disfigured with abandoned and vandalised ghost estates.”

McCullough: “Sure, but if the idea is that a couple can maybe come with 10% of the purchase price, the bank is willing to lend them 80% as a mortgage, you know, bridging that little gap may make a big difference for them?”

McCarthy: “That’s the problem, and the confusion of supply with demand is a pretty fundamental confusion. There is currently a problem in Dublin, a little bit in the provincial cities, but not that much – it’s mostly in Dublin. There is a demand for three and four bedroom houses – it’ll be there for a while, the demographic suggests that it won’t actually last forever, but that’s another day’s work – the average house size is still declining in the longer term. The solution to that problem is to build more three and four bedroom houses.
A lot of people find this difficult to believe, but until about 1975, the price of a house in Dublin and the price of house in the rest of the country was about the same. And people have got so used to this idea that housing must be much dearer in Dublin than elsewhere – it’s a relatively recent thing. It started with the 90′s Free Planning Act and nimbyism and,  ‘We don’t want any more houses around here’. The result is that Dublin is one of the lowest density cities in Western Europe – there is undeveloped land all over the place. The problem is a supply problem – and if the Government wants to put a stop to this incipient house price bubble in Dublin and the way to do it is to build more houses in Dublin.”

Watch here

houseOffer

[Mount Rivers, Newport, Co Tipperary, top]

What Goes Up writes:

“I put a €500K bid on a gorgeous property in 2012. It was on for €650K – the ads for it are still on Daft and MyHome – but I thought my offer was enough, as the running and upkeep costs would be a mortgage on their own
I was told there was a higher offer – and I said €500K was my maximum bid but that I was still interested and to let me know if the higher offer fell through.
It went “Sale Agreed” in December 2012 but hadn’t appeared on the Property Price Register until this week...when It sold for €375K!
Not only is this VERY depressing but it also means that the banks will end up with larger losses because of deals like this, which means we all will have to bail them out again.
We bought and sold houses when we lived in London. All very straight forward and transparent. We assumed that the Irish situation would be the same when we moved back. We were wrong. And so I shall be emigrating (again), as I see no reason to pay for someone else to buy a house I don’t get to live in.”

Anyone?

UPDATE:

“The property showed up last week on the property price register for €375k, but this is because the lands were sold as a separate part of the sale to the same party. The sale of the entire property including the lands exceeded €500,000. We will be following up with the bidder directly to explain this to him.”


Andrew Smyth, Public relations, Savills [Estate Agents] Ireland

Mount Rivers, Newport, Co Tipperary (MyHome.ie)