Slow down

Col_30

Askthe EA wrote: »

The iphone generation are terrified of doing any work and only want turn keys so they are performing well.

Nice condescension

Askthe EA

Col_30 wrote: »

Nice condescension

*Shrugs shoulders*

Ok, thats fair. And I'm obviously generalising, but ....... its true though.

Balf

GreeBo wrote: »

From what I have heard a huge percentage of people buying these days are cash buyers.
Now lack of mortgages will obviously drive the ratio up, but my understanding is that the cash buyers are far more numerous than then norm.

Seems to be more than just anecdotal.

Most of the increased demand in recent years is not funded by mortgages.

https://igees.gov.ie/wp-content/uploads/2019/01/The-Context-for-NDP-Housing-Spend.pdf

Annual housing market spend tripled since 2010, from €5 billion to over €14.5 billion

The €9.5 billion increase is not fuelled by mortgage credit; mortgage drawdowns have increased by only €2.5 billion

Spend is highly concentrated in a few counties, and tends not to connect to new supply

o Dublin and the Mid-East accounts for 64% of spend since 2010
o Second hand market accounts for 80% of spend (€11.8 billion in 2017)
o New housing market accounts for 20% of spend (€2.8 billion in 2017)

Does anyone really know where the additional demand comes from?

Askthe EA

Balf wrote: »

.Does anyone really know where the additional demand comes from?

My educated guess is money coming back from London / US / Oz / Canada.

KevinCavan

What you want is a bidding war. Put it up for €100,000 and people will bid each other up, till you have a “winner.”

Askthe EA

KevinCavan wrote: »

What you want is a bidding war. Put it up for €100,000 and people will bid each other up, till you have a “winner.”

Shur why dont we put it at €1 altogether so??

If you go too low, people assume there is something wrong with it. It doesnt appeal to the people we need it to appeal to.

KevinCavan

It boils down to if you have the money, can buy and want to buy, then buy. If you have the money and don’t want to buy,fair enough. If you don’t have the money and can’t buy, predicting a crash won’t do you much good.

KevinCavan

Askthe EA wrote: »

Shur why dont we put it at €1 altogether so??

If you go too low, people assume there is something wrong with it. It doesnt appeal to the people we need it to appeal to.

You catch my drift though, put it up for €50,000 less than it’s worth. You will drum up plenty of interest and you’ll sell for more than the current asking price.

awec

Askthe EA wrote: »

I think its very quiet, especially at the upper end of the market. A lot of waiting and seeing going on. The upper end in Dublin is falling back but thats probably a correction.

Had 3 conversations this week with people who are coming to market and are holding off until April. Brexit?

Increased availability of New Homes outside Dublin is depressing the mid point market as most new homes are in and around the 300k mark.

The iphone generation are terrified of doing any work and only want turn keys so they are performing well.

Just my two cents

More like it doesn't make financial sense for most of them.



Given the iPhone generation are mostly first time buyers, a second hand house would need to either be a bargain or an unbelievable location for them to pass up on the HTB.

zl1whqvjs75cdy

awec wrote: »

More like it doesn't make financial sense for most of them.



Given the iPhone generation are mostly first time buyers, a second hand house would need to either be a bargain or an unbelievable location for them to pass up on the HTB.

Would surely depend on the houses. Example. I bought my house for 370. I've done 40 k worth of work to it including new insulation, rads and kitchen. Total cost 410 k. New builds around the corner are 450 k, less HTB of 20 k gives a price of 430 k. You'll still need to floor that etc which I've already included. So the second hand comes in at 20 k cheaper and you get to pick everything in it. Obviously milage will vary with house cost.

KevinCavan

Askthe EA wrote: »

I think its very quiet, especially at the upper end of the market. A lot of waiting and seeing going on. The upper end in Dublin is falling back but thats probably a correction.

Had 3 conversations this week with people who are coming to market and are holding off until April. Brexit?

Increased availability of New Homes outside Dublin is depressing the mid point market as most new homes are in and around the 300k mark.

The iphone generation are terrified of doing any work and only want turn keys so they are performing well.

Just my two cents

An energy efficient home will cost less to run. Structurally it will be guaranteed for 10 years. Everything will work in the home from day 1. Everything will have to comply with the latest regulations. It’s not all about laziness or not knowing how to do manual work around the house. It’s a bit like the peace of mind the new car gives a buyer, little likely to go wrong and the guarantee from the manufacturer. It’s a bit ignorant to say the iPhone generation can’t sand a floor, etc.

mariaalice

KevinCavan wrote: »

An energy efficient home will cost less to run. Structurally it will be guaranteed for 10 years. Everything will work in the home from day 1. Everything will have to comply with the latest regulations. It’s not all about laziness or not knowing how to do manual work around the house. It’s a bit like the peace of mind the new car gives a buyer, little likely to go wrong and the guarantee from the manufacturer. It’s a bit ignorant to say the iPhone generation can’t sand a floor, etc.

Dont forget all new houses are A rated now as well.

Pussyhands

awec wrote: »

Given the iPhone generation are mostly first time buyers, a second hand house would need to either be a bargain or an unbelievable location for them to pass up on the HTB.

The iPhone generation buy iPhones willy nilly, they don't know what value means anyways.

Pussyhands

donkeyoaty0099 wrote: »

Would surely depend on the houses. Example. I bought my house for 370. I've done 40 k worth of work to it including new insulation, rads and kitchen. Total cost 410 k. New builds around the corner are 450 k, less HTB of 20 k gives a price of 430 k. You'll still need to floor that etc which I've already included. So the second hand comes in at 20 k cheaper and you get to pick everything in it. Obviously milage will vary with house cost.

A brand new house? And you're ending up at only 20k less of a cost with a 2nd hand one? That's definitely not worth it considering you'll have had to probably put in plenty of time either working on it or arranging the work...a 5% saving?

For me, you'd have to be hitting at least 15% of saving to do a house up, either through final cost or savings on interest payments while you save up to do the work.

Borana

KevinCavan wrote: »

It boils down to if you have the money, can buy and want to buy, then buy. If you have the money and don’t want to buy,fair enough. If you don’t have the money and can’t buy, predicting a crash won’t do you much good.

As long as one does his research right, buying a house should always make sense economically in the long term than renting places. I suspect the real reason why people are less inclined to buy nowadays in the case of Dublin, is the fact that it became a big centre for many international companies who are assigning expatriates to their Dublin office. Since these people are rather working in entry level and medium level jobs, they probably prefer to rent while they suspect a probable more lucrative offer in another city or country in the short term.

Additionally, I must stress that there is a big number of respected economists who are predicting a global crisis in 2019 since FED is gradually retracting more and more of its currency from global markets back to US while oil prices are on the decline for a while now compared to 80$ levels of 2013 - 14.

KevinCavan

Borana wrote: »

As long as one does his research right, buying a house should always make sense economically in the long term than renting places. I suspect the real reason why people are less inclined to buy nowadays in the case of Dublin, is the fact that it became a big centre for many international companies who are assigning expatriates to their Dublin office. Since these people are rather working in entry level and medium level jobs, they probably prefer to rent while they suspect a probable more lucrative offer in another city or country in the short term.

Additionally, I must stress that there is a big number of respected economists who are predicting a global crisis in 2019 since FED is gradually retracting more and more of its currency from global markets back to US while oil prices are on the decline for a while now compared to 80$ levels of 2013 - 14.

A recession would be in my interest, but I think it’s better to just move on with your life rather than trying to second guess the economy. Very unlikely they will drop in next 12 months here anyway.

Borana

KevinCavan wrote: »

A recession would be in my interest, but I think it’s better to just move on with your life rather than trying to second guess the economy. Very unlikely they will drop in next 12 months here anyway.

In theory, you are right but I could also feel for anybody who has cold feet on spending any hard earned economies if they do not feel that they have a good level of job security. To be honest, the crisis in question started already hitting BRICS countries and other developing economies and I fear that a no-deal Brexit could hasten the process for the Euro Zone coupled with other troubles in budget issues of Southern European economies.

myshirt

What has sanding a floor got to do with any of this? What am I missing?

fergus1001

prices are stagnating also because of the central bank restrictions on loan to income ratios, prices can only go so far untill there is nobody to buy them

zl1whqvjs75cdy

Pussyhands wrote: »

A brand new house? And you're ending up at only 20k less of a cost with a 2nd hand one? That's definitely not worth it considering you'll have had to probably put in plenty of time either working on it or arranging the work...a 5% saving?

For me, you'd have to be hitting at least 15% of saving to do a house up, either through final cost or savings on interest payments while you save up to do the work.

Except you need the 450 k immediately up front while you can save for the work while not paying rent.

klaaaz

mariaalice wrote: »

Don't forget all new houses are A rated now as well.

A rated means nothing as it includes light bulbs in the BER! In the cost of things, heating a house is a huge cost if it is poorly insulated like alot of Irish houses including "new" houses(before regulations came in 2011 with updated regulations in 2018).
I'd rather buy a property with good heat insulation than one without it. As the building of new houses is at a trickle, it's a buyer's beware market if you don't want huge heating bills.

Askthe EA

awec wrote: »

More like it doesn't make financial sense for most of them.



Given the iPhone generation are mostly first time buyers, a second hand house would need to either be a bargain or an unbelievable location for them to pass up on the HTB.

I meant they prefer turnkey second hand homes to fixer uppers. Already said that new homes were depressing second hand sales.

Now, I do understand it. Most FTBs have spent blood, sweat and tears to get together a deposit and dont want to spend it on renovations, I get that, but they ignore the huge long term financial benefits of borrowing less in a mortgage over 30 years.

Also, I didnt say they cant sand, I said they dont want to. Theres a difference.

enricoh

Pussyhands wrote: »

A brand new house? And you're ending up at only 20k less of a cost with a 2nd hand one? That's definitely not worth it considering you'll have had to probably put in plenty of time either working on it or arranging the work...a 5% saving?

For me, you'd have to be hitting at least 15% of saving to do a house up, either through final cost or savings on interest payments while you save up to do the work.

Older houses will have settled neighbours there for years. In a new estate you can have all the housing quangos buying next door and then its a lottery who u get as neighbours

GreeBo

Askthe EA wrote: »

My educated guess is money coming back from London / US / Oz / Canada.

You can't usually bring that much back so I dont think its that.

From what I have seen its Irish people with money buying for kids.

Mine was bought by a parent for a child and 2 of the under bidders were doing the same thing.

Cuddlesworth

enricoh wrote: »

Older houses will have settled neighbours there for years. In a new estate you can have all the housing quangos buying next door and then its a lottery who u get as neighbours

2 of my neighbours are rent allowance/HAP, 33% of the sales in the estate in the last 2 years have been from Housing agency's. This is a upmarket estate.

Askthe EA

GreeBo wrote: »

You can't usually bring that much back so I dont think its that.

Of course you can. You just have to declare it and if it is investigated a paper trail from a recognised Ozzie bank is pretty solid

Askthe EA

Cuddlesworth wrote: »

2 of my neighbours are rent allowance/HAP, 33% of the sales in the estate in the last 2 years have been from Housing agency's. This is a upmarket estate.

Also considered a cash sale. Ads up pretty quickly.

Nobodysrobots

We're looking to buy in Dublin 15 area (Clonsilla, Clonee, Luttrellstown, Blanchardstown, Carpenterstown) and have noticed a lot of properties I'm following on daft going sale agreed/sold in the last few weeks. These were sitting on the market for 2-3+ months before Christmas. Some of them we were the only ones who showed up to the viewing. Seasonal activity or new year mortgage exemptions perhaps?

zl1whqvjs75cdy

Nobodysrobots wrote: »

We're looking to buy in Dublin 15 area (Clonsilla, Clonee, Luttrellstown, Blanchardstown, Carpenterstown) and have noticed a lot of properties I'm following on daft going sale agreed/sold in the last few weeks. These were sitting on the market for 2-3+ months before Christmas. Some of them we were the only ones who showed up to the viewing. Seasonal activity or new year mortgage exemptions perhaps?

Most likely seasonal. Rare enough to sell coming up to Christmas. Nobody wants that hassle of moving over Christmas.

Askthe EA

Nobodysrobots wrote: »

Seasonal activity or new year mortgage exemptions perhaps?

A bit of both I'd imagine.