Unregulated madness.
Courtesy of second half of the year rental report infographic whatsit from Daft.ie.
Would bring tears to a chair.
Full report here
Thanks Spaghetti Hoop
Sponsored Link
Everything. As It Happens.
Unregulated madness.
Courtesy of second half of the year rental report infographic whatsit from Daft.ie.
Would bring tears to a chair.
Full report here
Thanks Spaghetti Hoop
Apologies for going so far off topic, but speaking of stolen bicycles ->
http://www.independent.ie/videos/have-you-seen/video-hero-tour-guide-tackles-runaway-bike-thief-30516088.html
Is there any point in hoping things in Ireland might get better and that we’ve learned from our mistakes? I don’t want to offend anyone but Irish people these days are greedy, small minded, manipulative, dishonest people.
Probably not. The extension to the CGT exemption last year has only overheated the currently constrained market. I’ve been trying to buy this year and I’ve been consistently been beaten out by cash buyers.
Either the banks have to start repossessing buy-to-lets en masse or NAMA needs to start releasing stock in Dublin.
That exemption only comes into effect if property held for 7 years, they’re not going to sit with it empty until then. A lot of cash buyers are also owner occupies who have saved, inherited cash, been given lump sumps by parents etc.
Rents are going up due to lack of supply, NAMA do not have a stock of empty properties on standby, anything they have needs to be finished out. Most buy to let’s are occupied, so repossessing them isn’t going to release a lot of empty properties.
Why do you think they’ll be empty? The cash buyers that won’t be owner occupiers will be taking advantage of the high rents at the moment as well. But that doesn’t necessarily translate into new properties coming on to the market – in my experience most of the properties that are coming up in my price range are rentals (in fact I can only think of 1 property out of about the 20 odd I’ve seen this year that wasn’t a rental).
I realise that not all (probably nearly to most) of the property NAMA has is finished but I’m sure there’s enough pent up demand at the moment for some enterprising developer to buy chunks, finish them off and sell them on. It’s not like they have to start from scratch on them. It would relieve the market tomorrow but it would help even in a few months time.
Au contraire, Nama is sitting on tons of ready-to-go properties.
The tricky part is that, while in the medium to long-term it would be great to release such properties and bring down the cost if living, doing so is likely to crystallize losses in the mortgage books of (state-owned) financial institutions and consign greater number of people to negative equity.
In the short-term, it suits an awful lot if groups to allow property prices to rise. These are also the groups most likely to vote.
Simply labelling Irish people as ‘greedy, small minded, manipulative, dishonest’ would suggest that you haven’t done much deep thinking about the events of the last decade and a half and haven’t learned all that much from it yourself.
“Unregulated madness.”
so rents should be regulated?
What’s that going to do for supply?
Getting rid of Bedsits is partly to blame. Hope you’re happy
Last time I checked (on Daft, no less) there were plenty of bedsits available to rent.
If we have planning regulations that are a market interferance then we absolutely should have price regulation. For the sake of balance.
There is absolutely no real reason why a country as sparsely populated as ours should have poky places costing over 1000 per month.
The problem with ‘poky places’ is partially about the inadequacy of building regulations for apartments, the lack of enforcement and the mixed standards of planning. Still though, no matter how sparsely populated Ireland is, it does make sense that people will want to crowd into a small number of places.
DCC could do an awful lot if it was proactive about land speculators sitting on development land within the city & if it was willing to build some decent quality social/affordable housing, as was done in the past.
Price controls don’t address the underlying issue.
“DCC could do an awful lot if it was proactive about land speculators sitting on development land within the city ”
Limited timeframe of license for zoned land?
In fact, maybe scrap all land that was zoned for development since the boom due to endemic corruption.
According to the Times, there is enough zoned land in Dublin for 46,000 homes..
Lemmings
Yeah. Regulations have helped create this problem. Once upon a time you could rent cheaply in a nice part of town if you were prepared to live in a kip. It was perfect for students. Now they’ve been squeezed out of the city centre.
Fine if you want to cuddle next to International Guy.
The rest of the population want somewhere decent.
Two articles/posts in a few days
Is Spaghetti Hoop, ahem, part of the furniture in BS these days?
Wooden that be against the grain?
Meanwhile on Tara Street….The Irish Times that renowned engine of property growth are clapping their hands with glee.
Media is of course in the business of selling advertising, The Irish Times are in the business of selling property advertising. Any excuse and the old whore of Tara (formerly D’Olier) Street will post an article about growing property sales / rentals.
Yes the good old Irish Times, the very same people who sold their offices on D’Olier Street for €50 million and bought a website…. my home.ie
Need I say anymore?
Not if the first three paragraphs are anything to go by.
What’s the significance or impact of them being cash buyers? Surely the seller doesn’t care whether the purchaser is paying with cash or a mortgage?
Less hassle for the seller as there’s no need to involve banks so if you need a quick sale they’re the way to go. Cash buyers can also go for places that banks would be reluctant to loan on (fixer uppers mainly).
On the buyer sider, there’s significantly more of the cash buyers about than normal because of the CGT exempt – mostly people with lump sums from their pension looking to do something with it. So there’s the increased competition for the few places that are available and the willingness of the cash buyer to drive up prices as they’re not constrained by what a bank is willing to give them.
Gotcha. Thanks.
that was intended as a ‘reply’ to Karl (above).
We need another rent strike – Land League style, god save us all from Irish Landlords.
Didn’t 60% of rental properties fail to meet minimum housing standards recently. I was on a property hunt in Mayo and I can totally believe that figure. After seeing about six damp and dirty shitboxes I gave up. People outside of main commuter belts are dreaming if they think these rents are sustainable.
Poor public transport is a great reason…
NO NO NO!
I’m the next Arthur Morgan!
Bubble bubble bubble!
I know better than ordinary people
Just more poo potato brained and intransigent policies from all the ambitious boggers in government.
Ridiculous amount of vacant commercial lots in town, along with plenty of boarded up houses in the inner city. There’s also room for new developments in the city centre too, but no, lets just keep everything the same and shit and let incompetence create a fake level of demand.
This country is dumb.
What have you done about it?
Or are you just moaning at home, waiting for the country (read everyone else) to sort it out for you.
Supply and demand .
Bedsits being outlawed was madness as the number of new builds was at historical lows.
New building regs brought in this year will add tens of thousands to new builds which will prevent investment in rental property.
A fabulous time to be a landlord.
Perhaps but in the long term decent building standards will make renting a more desirable prospect. It is currently very difficult to find a reasonably well-designed, well-constructed apartment for rent in Dublin City centre.
So sure, Liam Carroll could make a few more quid per meter squared back in the day but the quality of many of the apartments in D1-D8 forces you to consider buying your own place.
If developers won’t do it, the state should step in.
Some brave developer NEEDS to take a proper gamble and build a real, continental style apartment complex. Open spaces, generous balcony/terrace standards, proper storage, light, security. Someone needs to break the Irish of our obsession with pokey 3 bed semi’s with nothing but other pokey cloned 3 bed semi’s for miles in every direction.
We’d get a safer, more sustainable, more vibrant city with a rational public transport network.
Agreed.
Tbf, the plans for the Irish Glass Bottle Site and Jury’s pointed in that direction. The fact that they were conceived right at the peak of the bubble is a worry.
So we should keep building the same poo we were before with no change?
I would love to see architecturally significant buildings being developed but people are moaning because of the front loaded cost that they are incurring in bringing these to market.
People want better built housing but don’t want to pay for better built housing.
That was in reply to Paul Davis above
Consider yourself lucky to be in NY where they know a thing or two about building decent apartments.
Eventually I’ll have to move back though. To those poorly constructed boxes that I hate. And since I don’t want to rent or buy a whole house, I’m pretty stuck…
afaik, planning permission is for five years, then lapses