Falling House Prices

Bluefoam

Now that prices are falling in Dublin, is anyone taking advantage of the price drops? It seems to be what allot of people were waiting for...

Furze99

https://www.boards.ie/discussion/2058309819/falling-house-prices

Are they? Why? And how secure do people feel in their employment?

Bluefoam

https://www.boards.ie/discussion/comment/120994772#Comment_120994772

Falling house prices and economic instability generally go hand in hand... But there's been much discussion about wanting prices to drop, so that buyers could take advantage.

Furze99

https://www.boards.ie/discussion/comment/120994879#Comment_120994879

Are you trying to sell?

I could see people in general watching and see if any sort of slide in prices gathers a bit of pace.

Might be thinking of buying ourselves but no rush.

Meanwhile with the current volatility about, jobs mightn't be as safe as recently assumed.

Claw Hammer

There ia also a low supply of houses, so it is difficult to take advantage of any price drops. The shortage of properties on the market is also ost acute at the lower end. This is where most first time buyers are looking.

newmember2

https://www.boards.ie/discussion/2058309819/falling-house-prices

Is that news not three months out of date?

herbalplants

Let's see how October will look. Summer months are always busy especially when supply is so low so people bidding themselves like mad. They may wake up later from their hangover.

I notice on another group a lot of people complaining that the mortgage that they could well afford 2 years ago now they are worried they can't sustain.

errlloyd

Do the price drop figures take inflation into account? Like is a 1% price drop in Dublin, really more like a 10% price drop given it's happened at the same time as inflation?

suvigirl

https://www.boards.ie/discussion/2058309819/falling-house-prices

No evidence on the ground, anything I'm looking at is still going way above asking.

Bluefoam

https://www.boards.ie/discussion/comment/120995451#Comment_120995451

Of course inflation has an effect, but I'm interest in all of the people who said they were waiting for prices to drop and they would buy then... Is that still the case or are they also now considering inflation, interest rates and affordability...

frank730

no price drop in south co. Dublin anyway... all houses we viewed recently are well above asking price now.

Bluefoam

https://www.boards.ie/discussion/comment/120995850#Comment_120995850

The asking price is arbitrary... it's selling prices that have any meaning.

El Gato De Negocios

Living in the Midlands and a house 200 metres from us just sold. Bungalow, approx 1500 sq ft, good condition and on a good sized site with a large back garden. Was on for €279 and sold for over €320.

dontmindme

https://www.boards.ie/discussion/comment/120995941#Comment_120995941

Are you actually monitoring the market or just regurgitating what some other misinformed people have said?

Bluefoam

https://www.boards.ie/discussion/comment/120996854#Comment_120996854

Montioring the market??? All I said was that Sales prices are important... asking prices means nothing, it has no bearing on anything!

dontmindme

https://www.boards.ie/discussion/comment/120996915#Comment_120996915

Your first line in the OP reads "Now that prices are falling in Dublin", which would lead me to question if you are currently monitoring the market or even in the market for buying/selling a house in Dublin?

Bluefoam

The Daft report last week said prices were falling, I don't need to do much monitoring to understand that... They do the monitoring.

suvigirl

https://www.boards.ie/discussion/comment/120997851#Comment_120997851

Well, as noted by a few posters, me included, the proof is not on the ground, houses still going sale agreed well over asking prices

crisco10

https://www.boards.ie/discussion/comment/120997884#Comment_120997884

Yeah, I think the point is that asking price is subjectively set by the seller and their agent. Its not actually a defintion of what the market will pay for it.

We for example listed at about 7% below what we wanted to get, fully expecting a bidding war of sorts to get to our target.

Sale agreed at asking +10%.

Royale with Cheese

I've bid/had an interest on a few properties in South county Dublin this summer and none of them sold for over asking. I'm sure it's all relative to price range, asking price vs what they actually expect to get for it, and condition (building costs appear to have gone even more mental this year so this is quite important) but just my personal experience.

I've been bidding on one in near immaculate condition this week when we bowed out when it was just over the asking price. Just been told today the other bidder has now mysteriously pulled out.

newmember2

https://www.boards.ie/discussion/comment/120998009#Comment_120998009

"I've been bidding on one in near immaculate condition this week when we bowed out when it was just over the asking price. Just been told today the other bidder has now mysteriously pulled out."

Are you still interested?

I've been looking the last twelve months in the 300-400k market, and prices have stopped falling once the 4x mortgages kicked in. First few months of the year there were certain roads starting to come into my budget. The same roads are gone way over 400k now. Like you say, depends on the price range you're looking at. There's been a pronounced uptick during the summer months is my experience. Maybe the falls they're reporting are inflation adjusted but the problem there is that nobody's mortgage offer is.

https://www.cso.ie/en/releasesandpublications/ep/p-rppi/residentialpropertypriceindexjune2023/

Royale with Cheese

Yeah I had figured when people were seeing bidding wars and houses going for way over asking it would be in the price range where the 4x multiplier would have more of an effect. I'm looking more at 650k-€1m.

Here's one of them:

https://www.daft.ie/for-sale/semi-detached-house-14-rathmichael-woods-shankill-dublin-18/5323314

Perfectly fine condition, didn't need any immediate work. One bidder and went sale agreed at 660k. I know because I hummed and hawed about making a bid when it was at 660 and left it too late in the end.

suvigirl

I dunno, a friend of mine was.bidding against an investor, up to 830,000.

Investor dropped out and new bidder came along, she dropped out then.

4 bed semi in normal housing estate in templeogue

Padre_Pio

https://www.boards.ie/discussion/2058309819/falling-house-prices

House prices 1% down (in dublin only)

Mortgage interest 2% up.

Doesn't feel like a saving to me.

Buddy Bubs

Nothing much has really moved from unaffordable to affordable all of a sudden so it won't have a real effect felt by the masses of people looking to buy.

RichardAnd

Let us not forget that 1% fall in prices is on top of an enormous spike in prices from 2020 onwards.

I see no reason why prices would fall by any reasonable amount. Demand is still high, wages are still high, immigration is gruesomely high and the state is still pumping funny-money into the market via any number of schemes. My advice to anyone is that if you can get a suitable property at a reasonable and affordable price, take it.

Kurooi

When prices are shooting up people postpone buying a house because of inflated prices. The same people then refuse to buy when prices dip because of uncertainty, interest rates, or because their job situation no longer allows them to.

Well, prices are not lower yet, they don't just crash. It will take a solid year or two of a downward trend to at least make a dent in 10 years of house price inflation.

Bluefoam

The latest news is, that as prices have just begun to show signs of dropping, that people have devcided not to sell and are holding onto their houses... so there won't be enough houses on the market and prices will likely rise again in the short term...

Shoog

Outside of Dublin there has been consistent price increases over the last few years. Demand still far outstrips supply - especially in the small house segment.

Our sale has gone 25% over the asking price out in Roscommon and there are a queue of buyers waiting. So house price inflation is still the norm anywhere but Dublin.

JohnnyChimpo

https://www.boards.ie/discussion/comment/121011187#Comment_121011187

Well they do crash sometimes, that's called a property crash. The theory of such a crash happening here in the short-term would probably be that mortgage inflation offsets the supply crunch. Personally, I think that both overestimates how long mortgage rates will remain high, and underestimates how long the housing stock will remain undersupplied. I can really only see a plateau/slow incremental continuing rise in prices given the current market conditions.

RichardAnd

https://www.boards.ie/discussion/comment/121011810#Comment_121011810

Even the prices crash, the overall trend is upwards. Case in point, in 1997, my parents sold their Dublin 3 home for 75k pounds. The same house was worth nearly half a million euros ten years later, and never got below 200k during the crash. The same house is today worth over 600k based on what properties nearby are going for.

I don't think we'll see another 2008 style crash. It was a very different set of circumstances