Property prices in limerick...

Youngblood.III

With the recent talk of property prices increasing outside Dublin, has it increased in Limerick?
Anyone notice if more sales are happening?

badboyblast

for the last 12 months at least it is impossible to buy a good second hand home in any good area in Limerick without going into a bidding war, under supply at the moment.

naughtysmurf

Generally speaking I'm not sure BUT a nice 4 bed semi in what would be considered a very nice area near me was recently purchased for 182k, bargain I would have thought
It had been on the market for a while, think it's a bit tougher now for first time buyers with the new deposit rules so maybe the market isn't tooo bouyant

dollar_king

limerick has risen more than any other city in the past twelve months but from a very low base , this time last year , limerick city was 40% cheaper than galway

limerick is up around 12% in the past twelve months but it really took an eternity to get off the floor

Silentcorner

dollar_king wrote: »

limerick has risen more than any other city in the past twelve months but from a very low base , this time last year , limerick city was 40% cheaper than galway

limerick is up around 12% in the past twelve months but it really took an eternity to get off the floor

I have to say that is an incredibly common but flawed way of assessing a property market.

Since 2003 (that is 12 years) we have had a highly dysfunctional property market...up to 2007 we had too much credit and too many house builds...then a nationwide crash...collapse in prices, hundreds of thousands of mortgage defaults, very few repossessions since 2008, but people grow up, move out, start families etc etc...this demand has increased year on year which is pent up and starting to put pressure on a market very short on supply....

My point is, nobody, and I mean nobody should be defining what "a very low base" is...or what "the floor" is....increasing property prices are NOT a sign of a healthy property market, or healthy economic activity in fact high property prices are an impediment to it...the market is too dysfunctional....

iguana

For the last 12 months Limerick property sales have definitely been in an upswing. I was buying a house through Nama last year which is a very long process and I wasn't worried when we went sale agreed at the start of 2014 as I had over 20 back-up properties on my list if mine fell through. By the time my purchase completed all but one was sold. It was pretty worrying at the time as my options were growing limited, but since then I've looked at each purchase on the PPR and while sales were happening the sales prices achieved weren't rising. The last house that had been on my list went sale agreed in early June this year, after 2 more price drops and the house nextdoor to that, which I was renting last year, came on the market for €20k less almost immediately after. Properties are now selling much faster and most of those which have been on the market for 12-24 months+ (with numerous price drops) have finally sold. But a huge part of the reason that sales are happening faster is because asking prices are starting out lower and much more in line with actual value, whereas 2 years ago asking prices were starting out in fantasy land.

I don't know if we'll see much by way of price rises and if we do how long they will continue. The new Central Bank rules will definitely have an effect as the well of cash buyers will have been reduced by the last year of purchases. And if we start hearing news of prices in Dublin dropping again, buyers will lose confidence and won't want to waste their hard earned and saved 20%+ deposits unless they feel very sure they are getting value.

The one thing I'd recommend any potential purchaser to do is to become very, very familiar with the property price register. People still have an incredibly skewed idea of what prices are worth and what is a bargain and I think people are still overpaying a lot of the time.

fro9etb8j5qsl2

We started looking at houses last November and there was a good few decent enough houses around the 100k mark for sale, a lot of these had been on the market for quite some time. We held off until after christmas and when we went back to look again in March, almost all of those properties had been sold, even the ones that needed major work. At the time, I reckoned that first time buyers were frightened into buying by the proposed changes to the mortgage regulations.

I Am The Law

Youngblood.III wrote: »

With the recent talk of property prices increasing outside Dublin, has it increased in Limerick?
Anyone notice if more sales are happening?

Asking prices increased a lot in 2015 with some success.
Property listed for sale for long periods sold this year but below asking.
Very little stock coming on the market, if you count the properties listed on daft in Raheen and Dooradoyle there is only around 60 or so which seems very few when you consider the large estates in these areas.
With new jobs coming into the area demand is likely to increase however the new central bank rules are probably only now beginning to have an effect.

zulutango

Anyone know if The Living Cities Initiative has led to an upswing in prices of old buildings in the city centre? It was launched just a few months ago, and as I understand it, you can buy a place and spend a hell of a lot of money on the renovation and get all that money back through tax rebates. I guess the idea is that it should help in attracting high earners into the city centre to live. As it's such a generous scheme it should lead it an increase in the value of the properties within the designated area.

Youngblood.III

Haven't seen much yet....I'd say this will take time to see on the ground.

rogue_spender

Silentcorner wrote: »

I have to say that is an incredibly common but flawed way of assessing a property market.

Since 2003 (that is 12 years) we have had a highly dysfunctional property market...up to 2007 we had too much credit and too many house builds...then a nationwide crash...collapse in prices, hundreds of thousands of mortgage defaults, very few repossessions since 2008, but people grow up, move out, start families etc etc...this demand has increased year on year which is pent up and starting to put pressure on a market very short on supply....

My point is, nobody, and I mean nobody should be defining what "a very low base" is...or what "the floor" is....increasing property prices are NOT a sign of a healthy property market, or healthy economic activity in fact high property prices are an impediment to it...the market is too dysfunctional....

by any measure relative to other cities in Ireland , limerick was - is cheap and late recovering , im not suggesting for a second limerick will return to 2006 levels

not everything needs to be determined relative to the crash

Irish_rat

Was looking to buy a house earlier in the year and noticed prices shot up around March-May before the new Bank lending rules. Since then things have stabilized and probably dropped a bit.

connacht_man

limerick is cheap to buy relative to other cities and even cheaper to rent