How to triple the number of houses for sale.

Hawkeye123

There are now only 10,000 houses for sale in the Irish property market. There are however an additional 20,000 in long term arrears. We don't know how many of those in long term arrears are choosing not to pay because they know the government doesn't want to prick the bubble by having those houses go on the market.

But, if they were to go on the market, that would triple the availability and of course lower house prices.

Clo-Clo

https://www.boards.ie/discussion/2058343982/how-to-triple-the-number-of-houses-for-sale

If you throw the people out of the 20,000 houses who are in arrears what happens to them?

They don't just disappear

SteM

And the people evicted would be looking for a place to stay. Which would lead to them presenting to councils which would lead to councils buying more new builds which would drive the cost of houses prices higher.

FishOnABike

It would do nothing to solve the housing deficit though - it still leaves the same number of people chasing the same (inadequate) number of houses.

Hawkeye123

https://www.boards.ie/discussion/comment/121949891#Comment_121949891

Some of them (a few I grant you) will suddenly catch up with their long term arrears and keep up payments.

The rest will swap places with people who rent or couch surf or sleep in a tent.

As shareholders in the banks, it is in everyone's interests that people pay their mortgages or get foreclosed upon in a prompt and efficient manner.

ELM327

https://www.boards.ie/discussion/2058343982/how-to-triple-the-number-of-houses-for-sale

I suppose the SF magic money tree will house those 20000 families for free?

Hawkeye123

https://www.boards.ie/discussion/comment/121949897#Comment_121949897

Not when people renting buy the houses that go on the market and vacate the rental properties.

ELM327

https://www.boards.ie/discussion/comment/121949951#Comment_121949951

If people couldnt pay their mortgage, when they are shifted out to then have to compete in the private rental market, what makes you think they will be able to afford the (likely much higher) rent?

o1s1n

https://www.boards.ie/discussion/comment/121949951#Comment_121949951

So the people renting buy the houses and the people evicted fill those rented properties.

All you've done is shuffle people around, you haven't solved anything.

'We run the gas off the electricity and the electricity off the gas'

Clo-Clo

https://www.boards.ie/discussion/comment/121949940#Comment_121949940

https://www.boards.ie/discussion/comment/121949951#Comment_121949951

So you want to kick people out of their house, then hopefully the people in the market will buy their house and then rent the vacant properties>

So you are in fact not going to triple the number of houses for sale at all?

Just move one set of people from home ownership into renting and one set of people from renting into home ownership?

At the cost of millions in legal fees etc

Not sure you will get much support for this plan which at end of day will not increase the number of houses for sale

nachouser

I think we're evicting them and then shooting them. Or something.

Clo-Clo

Another thing ti point out, when someone is evicted it can take months for the property to become available.

So you would end up with people who can't buy the house and people who have been evicted with no house

So the number of homeless etc would jump for a considerable period.

Clo-Clo

https://www.boards.ie/discussion/comment/121949982#Comment_121949982

It would seem like that.

SteM

https://www.boards.ie/discussion/comment/121949951#Comment_121949951

But not all of the people who would buy your 20000 houses would be coming from the rental market. Are people who live at home with their parents who want a place of their own not allowed buy them?

Yeah Right

https://www.boards.ie/discussion/comment/121949897#Comment_121949897

It would give those who are willing to pay their mortgage an opportunity to do so. Hand on heart, who'd you rather see homeless: Someone who has mortgage approval but can't find a house, or someone who has a house but won't pay the mortgage?

Our national lack of action against non-payment of mortgage fees is shameful, and one for which we all pay over-the-odds. It's a disgrace that it takes 5-10 years to punish these chancers.

combat14

https://www.boards.ie/discussion/comment/121949923#Comment_121949923

except now there are potentially 30000 houses up for sale instead of 10k the non payers will have to look after themselves

Clo-Clo

https://www.boards.ie/discussion/comment/121950009#Comment_121950009

I think reading between the lines

The OP is suggesting that is we evict 20,000 people in arrears this will bring in 20,000 houses to the market. With more supply this will drive down the price of houses.

But all of the issues raised on the thread so far haven't really been thought about

o1s1n

https://www.boards.ie/discussion/comment/121950029#Comment_121950029

But how will there be more supply as 20,000 evicted people now need homes?

FishOnABike

https://www.boards.ie/discussion/comment/121950025#Comment_121950025

and instead of 10K households chasing after 10K houses we have 30K households chasing after 30K houses... running faster to stand still.

CalamariFritti

https://www.boards.ie/discussion/comment/121949944#Comment_121949944

Ye have a dig at those who had zero hand in the development of the current situation. That always helps.

combat14

https://www.boards.ie/discussion/comment/121950100#Comment_121950100

except the 20k non mortgage payers wont be in a position to buy this time thereby increasing supply of houses for sale and reducing actual house prices - the non mortgage payers will have to resolve their own accommodation needs perhaps through private rental or emigration instead

jface187

https://www.boards.ie/discussion/comment/121949944#Comment_121949944

The magic money tree is here. 50 per cent of renters use HAP so the government is subsidising the market.

Hawkeye123

If property prices fall, rents will fall. So the government doesn't have to subsidise rents, it simply has to prick the house price bubble it inflated.

Hawkeye123

To be honest, I don't. But if they can't compete in the rental market either, that will put downward pressure on rents making rents cheaper for everyone and their houses will make houses cheaper for everyone.

That can only be a good thing because the people who can't afford to buy or rent have to couch surf or live in a tent or move back with their parents.

Hawkeye123

Brits out, everyone else in?

Hawkeye123

There are a lot more than 30000 looking to buy a house. The demand is 50,000 + every year. We need those extra 20,000 on the market now.

SteM

Such a simplistic view of the housing market.

spaceHopper

So you've x ten'd homelessnes, crahsed propery prices, the banks need a bailout, all the sparks and chipies moved to Oz and taxes rise to help fund the second IMF/EU bail out. We give up our soverinty in favour of Germany. You may as well kill the Queen/King/Michael D too and do a proepr Liz Truss on it.

nachouser

In fairness to the OP, he may have just invented "Evictonomics". Drive up the cost of mortgages to force more evictions and free up that housing stock to meet demand. Rinse and repeat.

L1011

This isn't going to improve overall supply and some of the posts by the OP are more suited to a blog