Dublin property market gone mad

Hannaho

My house, a 1800 sq foot family home in West Dublin has gone sale agreed 4 bed, 2 bath, 2 reception. I am downsizing as children have gone. However, I have tried to but a 2 bed apartment that was dark and needed 2 new bathrooms and new kitchen and flooring - built in 2000 and not touched since. The bidding reached 320k and I withdrew as the cost and hassle of getting the renovation done is not worth it. The apartment was 645sq feet. I recently put a bid on a house in Meath - just over the Dublin border. The house is 905 square feet, built in 2006, and in good condition. However the asking price was 355k but the bidding is furious and it is now at 385k - it's a small mid terraced 3 bed property property though well maintained. The Dublin and commuter belt property seems to have gone mad. I got 545k for my1800 square foot house, but now with these prices for a small mid terrace, I don't think I got enough.and am thinking of keeping the property and putting it on again next year. Any advice/comments welcome.

thebullkf

Depends on your actual needs vs wants.

Do you "need" to sell ( sounds like you don't)

If you want to downsize and have a nice chunk of change, then you will need to strike it lucky or move further out.

The price of everything is outrageous, but renovations are unreal.

Everyone charging tradesman rates but some are not even tradesmen..

If you can get something that didn't require extensive renovations then you could perhaps justify taking the hit in not making as much, but even the fixer uppers are extortionate

I would wait , based onlinited information above

handlemaster

https://www.boards.ie/discussion/2058317164/dublin-property-market-gone-mad

You think your property is worth more than the market is willing to pay ?

Cal4567

https://www.boards.ie/discussion/2058317164/dublin-property-market-gone-mad

Yes. Move further away from Dublin. Check out the price differential yourself.

If you come back and say you want to remain close to family, fair enough, but social housing detractors here use that as the very same argument when people turn down social housing.

Also, where have you been the last few years? The madness started well back in the last decade.

My last comment was in jest. In the real world many I have spoken to in recent years, adequately housed, and no need to move, despite the housing market being front and central in the news, it's only when they venture into the madness, they begin to appreciate the dysfunction.

Good luck with your move.

zell12

2006 calling

Hannaho

Thanks for the comments. Handlemaster - I ,don't think my house is worth more than the market is willing to pay for it, but I am abroad at the moment so couldn't continue to come back and forth to sort thr house for viewings so it went sale agreed in 2 weeks. I think if I could have sustained the viewing over a longer period I might have gotten more. My house is 1800 so feet, very well located the house I bid on is 900sq feet 4 km further out and is going for 382 whereas my own house iis twice the size and worth not a huge amount more. I am downsizing as my home is too big and has a large garden. I almost am tipping 60 and it's just large for me to maintain, and when I retire in 6 years probably too much work and too expensive to heat maintain etc

Tow

You also have to take i to account the number of people who can afford houses at each price band. The country is full and everyone wants a home. You are downsizing to what is now starter home level, were a couple on two half decent salaries afford. This is where most of the demand is and you get less bang for your buck.

I would be careful, a relative of my husband got a bit of a bargain because the sale of the house they were buying had falling through twice the owner was holding out for a better price which he was never going to get. Would you not take advice from the EA handling the sale.

RurtBeynolds

Why did you go sale agreed after only 2 weeks? Sounds like you definitely could have held out for more.

pleh

Could you rewild your garden? Or at least part of it to cut down on maintenance.

You dont have to have all your house heated all the time if your heating is zoned.

I would back out of the sale if it was me.

Flinty997

The issues is there is greater demand for the cheaper houses as they are more "affordable" and I use that term loosely. Less so for the more expensive bigger properties.

J_1980

As previously mentioned the cheaper end (<400k dublin generally & < 700k in south dublin) is bonkers. No value.

surprised that you get poor value apartments though. There isn’t much demand.

RichardAnd

Saying that the property market has gone mad is like saying that water is wet, but that's what happens when lunatics and sociopaths with a money printing-press are allowed to run the asylum...

Unfortunately, this is just how things are in Dublin, and it's not much better elsewhere. There was a bit of a slowdown last year, but it seems to have evaporated in recent months as it became clear that WW3 was not going to happen (yet). There is no advice that anyone can give here. If you want to live in Dublin or in one of the other cities, you are going to have to deal with property shooting over the asking price unless you get very lucky.

As you mentioned apartments, be very wary of what you buy in that regard. A lot of the Celtic Tiger apartments suffer from construction issues that could land you with a huge bill for repairs. I was actually advised by more than one person to never touch a celtic tiger build, and whilst I wouldn't be that extreme, I have seen enough dodgy buildings to put some faith in such words.

Hannaho

Thanks all for your comments. I realise I am competing with first time buyers as I am downsizing. Richard and- I am not interested in Celtic Tiger apartments. I am interested at the moment in apartments Seapark in Clontarf and Brooklawn in Strandville Road Clontarf. Totally different yto the suburbs but I know the area well and have always loved it, but rather than warning me off celtic tiger apartments, I am being warned off these apartments due to their age by family and friends.

RichardAnd

https://www.boards.ie/discussion/comment/121216256#Comment_121216256

They're good, solid apartments. I'd say that the maintenance fee is quite high, but it's clearly used as the grounds are in good order. I'm not an apartment fan, but that would be what's I'd go for if I were to buy one. Good luck.

herbalplants

https://www.boards.ie/discussion/comment/121216256#Comment_121216256

I think those apartments are fine, no real issues with them.

Former Former Former

https://www.boards.ie/discussion/comment/121216256#Comment_121216256

No offence or anything but are you not a bit all over the map here?

Like, you're trying to decide between an apartment in Clontarf and a terraced house in Meath, these are two very different propositions from a lifestyle perspective. And if you're wary of Celtic Tiger apartments (with some justification), is buying a terraced house that was built in 2006 a great idea?

Yes, you could withdraw your house and re-list it next year, and you might find that you get more for it, but you'll also likely find that the place you want to buy has also gone up too.

If you're ready to move, pull the trigger, but you need to decide exactly what it is you want.

Francis McM

2006 / 2007 all over again. This things always go in circles. Always have, always will. Seen it in the late eighties in England too. Not as bad as the 2007 downturn here though, did not bottom out until 2013.

Equium

https://www.boards.ie/discussion/comment/121209817#Comment_121209817

I went Sale Agreed on a small terraced Dublin house during the summer. After a bidding war, we ended up offering €25k over asking. At 75m2 it felt massively overpriced for what it was but, with few other options, we decided to proceed. Long story short, we had to withdraw our offer and look elsewhere. Just this week, the property has now gone Sale Agreed again at €75k over asking. It's ludicrous.

RichardAnd

https://www.boards.ie/discussion/comment/121224088#Comment_121224088

25k over the asking is pretty tame by bidding-war standards. I've seen them go 100k+ over the asking.

Regardless, the idea that the property market was slowing down can, I think, be safely put to bed.

Former Former Former

On the 'property market gone mad' thing - if you're buying and selling at the same time, does it really matter?

Flinty997

https://www.boards.ie/discussion/comment/121224264#Comment_121224264

Depends if up sizing or downsizing

RichardAnd

https://www.boards.ie/discussion/comment/121224264#Comment_121224264

Yes it does. Imagine moving from the country to Dublin. Houses outside the commuter belt usually go for close to the asking, unless they are especially nice or otherwise unique. I myself bought a very well located house in Wexford for 25k less than the asking only last year. However, if I were selling it intending to move back, getting into a bidding war is a real danger. The same could be said if one were trying to move from an apartment to a house with the intention of raising a family.

Really, no one outside of rather small group of people benefits from such an unstable property market. Sadly, it seems that the said group makes all the decisions...

kirving

https://www.boards.ie/discussion/comment/121224452#Comment_121224452

Tbh upsizing is probably where the better value could be.

Prices of cheaper housing will tend to rise more than a larger house in a squeezed market I would have thought.

Claw Hammer

You trade down in a rising market and trade up in a falling market, if you have any sense.

Flinty997

https://www.boards.ie/discussion/comment/121228830#Comment_121228830

Exactly....

Former Former Former

https://www.boards.ie/discussion/comment/121228830#Comment_121228830

https://www.boards.ie/discussion/comment/121224452#Comment_121224452

The OP has already decided to trade down.

The only merit in waiting a year is if she thinks that her current house will increase in value by more than her targeted new property does, and absolutely no one can predict if that is going to happen, so she'd be mad to hold off for that reason.

Flinty997

They want to reduce the cost to change.

No way of knowing alright.

Do what you can afford and live with if it goes wrong. World economy seems to always teetering on collapse ever other week.

houseyhouse

https://www.boards.ie/discussion/comment/121228830#Comment_121228830

Yes, except that people are usually upsizing out of need rather than as a strategy for making more money

Flinty997

https://www.boards.ie/discussion/comment/121231003#Comment_121231003

Unless you are flipping to make money also.

RichardAnd

https://www.boards.ie/discussion/comment/121231003#Comment_121231003

The current market is good for investors with a large pile of cash or older people who bought decades ago. For people just starting out or those with growing families, it's anything buy. Sadly, it seems that those who make the rules here are entirely of the form group.

Flinty997

https://www.boards.ie/discussion/comment/121231270#Comment_121231270

It's the latter group that's creating the demand. Pushing up prices for itself. Need to move to where theres less demand

RichardAnd

https://www.boards.ie/discussion/comment/121231544#Comment_121231544

In my case, I did. I left Dublin and moved to North Wexford. I'm not mad about the place, but the house itself is nice, and I'm slowly getting used to it. However, that may not be an option for everyone.

Also, I've never liked the "just leave Dublin" response that's often given to younger people. I'm having a go at you there, but to me, it seems like ignoring the problem that shouldn't exit. We Irish tolerate a hell of a lot, and as a result the state does what it wants regardless of the consequences because for those who rule, there are no consequences.

Former Former Former

https://www.boards.ie/discussion/comment/121231693#Comment_121231693

F**k me this is tiresome.

We get it.

Flinty997

https://www.boards.ie/discussion/comment/121231693#Comment_121231693

Maybe it's your ("younger generation") not fixing the problem than anyone else ignoring it. 😄

RichardAnd

https://www.boards.ie/discussion/comment/121231739#Comment_121231739

Good. I hope you do get it.

SharkMX

https://www.boards.ie/discussion/comment/121231693#Comment_121231693

If I said that to my parents they would tell me to cop on. In their day they had to leave Ireland. They actually met in New York. One of their parents both left too and they met in Liverpool. Im working with a guy who left India to come here to work. And another who left Italy. Both brought their families.

I think Dublin to Wexford isnt too bad when you look at what other people and previous generations had to do.

Op you are getting the perspective of both sides of the property market simultaneously, high selling and high purchase price. Don’t complain too much.

Flinty997

https://www.boards.ie/discussion/comment/121245241#Comment_121245241

The reasons were different, but the outcome was the same.

RichardAnd

https://www.boards.ie/discussion/comment/121245241#Comment_121245241

I don't think that raising concerns about a problem in the present in any way diminishes the problems that existed in the past. Equally, a problem in the past does not mean that a presently existing problem is lessened.

Flinty997

https://www.boards.ie/discussion/comment/121245876#Comment_121245876

You claimed the present was being ignored.

Which IMO seems an attempt to cancel the validity of good but unpalatable advice.

SharkMX

https://www.boards.ie/discussion/comment/121245876#Comment_121245876

Or maybe the actual problem is the wanting to buy a house for less within a few kms of where you grew up, is no,t and never has been possible for most people this or last century.

Casati

Is there any potential way to split your current house into two units - i.e. so you could rent out roughly half of it and live in the other half? It would allow you to take advantage of rent a room scheme potentially, meaning rent received is tax free which could go a long way towards covering some of the maintenance and gardening costs when you retire. I think a lot of traders down are caught in a similar position where they see few options to trade down into

SharkMX

https://www.boards.ie/discussion/comment/121249323#Comment_121249323

I know a couple of people who rented a granny flat and the other one a converted garage out when they retired for extra income. Because of the rental landscape nowadays though neither of them do this anymore. One is doing Airbnb in the converted garage though instead of renting it out now.