Looking For Bubble?

at

SOLD last Month for €118,0000

FOR SALE today for €195,000

You’ve come to the right place.

Mary writes:

I was looking at this apartment (above) with an asking price of €195k.  I checked the Property Price Register to see prices of similar apartments sold recently only to find that the exact same place was bought for €118k last month.

Further research shows it was sold on the BRG auction site as a bank disposal (by a long term trustee savings bank). Over 65% increase in price in a single month was not what I expected to see in a slowing property market.

I am wondering if estate agents have any responsibility in preventing property market hyperinflation? That might seem counter-intuitive, but in the long term I reckon it would be better for business.

Anyone?

28, The Willows, RivercourtDrogheda, County Louth (Daft)

28, The Willows, Rivercourt, Drogheda, County Louth (Property Price Register)

16 thoughts on “Looking For Bubble?

  1. Optimus Grime

    That estate agent is notorious for that round Drogheda. We looked at a 3 bed for a good price which was sold and the reappeared on the market 3 months later

    1. newsjustin

      Is that an estate agent’s fault. You (or someone else) could have bought it the first time round.

  2. Qwerty123

    Bank sale take forever to close in fairness, most likely went sale agreed ages ago. Once sold it hits the PPR, not sale agreed, people always get this wrong.

    Owner then redecorated and chancing their arm with the resale. Not a hope of getting that i would say.

    1. Mary

      Auction was in August so sale was closed quickly. No redecoration – Paint and floors are the same as auction photos. Only difference is fridge, washing machine and dishwasher have been put in.

      1. Qwerty123

        Are you interested in buying it? Not a hope it will sell for that, so I wouldn’t worry, prices falling in the country now so hold tight. Might get it cheaper than 118

  3. Jonner

    some difference in valuations in such a short period.

    Amazing how one auctioneer can give AMV of 115k for the auction and another can give AMV of 195k for a private treaty sale a few weeks later

    no doubt, any of the banks (even the same bank that sold it for 118k ) would happily mortgage this at 195k

    it’s like 2005 all over again

    1. postmanpat

      The insider who bought for 118k hasn’t made a single mortgage payment and wont until it is sold , only then will he pay the arrears, so it is in the banks interest to lend to someone else.

  4. postmanpat

    “I reckon it would be better for business.” It would be better for humanity sure, but it is the opposite of good for business. Capitalism= gouge gouge gouge, , government don’t interfere, economic collapse? not really ..planned bail out repeat. government help us we wont do it again (wink wink)!! And the plebs with pick up the tab. And every single politician working today has a second property that they are renting out for profit and it is in their interest to keep the bubble growing so they can off load their investment on the wave before the collapse (if they are smart, evil..but smart) so trusting the estate agent industry to self-regulate is a pipe dream and as I say the personalities in government whos job it is to fence in this run away nonsense that’s doomed to fail and will destroy us , have no reason to stop it. Its happening!! 2020 Q2 cant come fast enough. Learn to hunt and grow veg! and I hope you live in a house with a chimney.

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