snotboogie wrote: » Grim enough:https://twitter.com/alanhealy/status/1116833542451941376?s=21
Wanderer78 wrote: » Fairly typical outcome of neoliberal/neoclassical policies
voluntary wrote: Not sure why they don't apply for social housing, maybe they are not eligible or are just unfamiliar with the generous Irish social housing system. Anyway, the trend to share houses by multiple families seems increasing. Nearly like in the boom times before the big crash when the big wave of new eu members migration came.
voluntary wrote: » Well, the house prices went ahead of themselves. People got blind once again bidding against each other like mad horses. This was pure FOMO. Vulture funds helped here withholding large numbers of stock from use. There are large apartment blocks around Dublin which are only now dripping slowly to the market being withheld for years lying empty. Vulture funds could afford doing this because they were driving their own agenda, to limit the supply as much as possible and drive prices up before cashing out. Prices have been falling for the 4 consecutive months now, so I guess buyers made some reality check or indeed the affordability has been stretched to the limits and people cannot secure any higher mortgages (or maybe a bit of both).
bri007 wrote: » Rental costs are costing 60% of total income for 1/10 renters;https://www.irishtimes.com/news/social-affairs/one-in-10-households-pay-over-60-of-income-on-rent-1.3844914?mode=amp
Nikki Sixx wrote: » https://www.irishtimes.com/business/economy/dublin-house-prices-more-than-nine-times-the-average-salary-1.3858878?mode=amp
bri007 wrote: Rental costs are costing 60% of total income for 1/10 renters;
sacamano wrote: » I have a picture of what it's like now but am curious to know what it was like 5/10 years ago for a comparison.
sacamano wrote: » I'm being lazy here but have you any links to recent reports/articles expanding on this?
Amirani wrote: » Rental costs versus average salary shows a much worse picture though.
Nikki Sixx wrote: » Plus the banks will throw more money around the first two months of the year especially. They are willing to exceed borrowing limits in the early new year.
Nikki Sixx wrote: » There is a news article this morning saying Dublin has reached its peak, houses are now 9 times the average salary in the “big smoke.”
Amirani wrote: » Implies that the average house is 4.5x the average salary of 2 people. It's definitely on the high side, but not outrageous, and certainly more reasonable than things were during the mid to late 2000s. Rental costs versus average salary shows a much worse picture though.
kippy wrote: » To be fair being cash rich at any time is a great position to be in at any time. Debt isn't always bad either. Even in a recession.
voluntary wrote: » Sure, you need to be cash rich to make money in recession. Going into a recession with debt is never good.
Bbborris wrote: » What banks facilitate this? I recently talked to a mortgage advisor and was informed this deposit exception does not exist?
ELM327 wrote: » That is exactly the definition of a recession. I am not the only one, research yield curve inversion and how it is one of the first precursors of recession. Service industry decline(another initial precursor) is anecdotally happening since Q1 2019 too, although some attribute this to the VAT changes. A house I was watching had its price dropped today, I went to view it 2 months ago and there were no takers. A change from the queues I experienced at viewings 12-24 months ago. The market is changing, and it is not positive change we are seeing. I don't think we will see a recession like the sub prime mortgage one of 10 years ago, the same factors are not there, but it is shown in the data that we will see a slowdown, and perhaps a recession globally. 18-24 months, possibly sooner depending on what the brits do. Yes it is, you can apply for the ltv exemption, and given you are borrowing less than 3.5 may be more likely to get it !
ELM327 wrote: » The average industrial wage is not an accurate measure of what someone earns on average. It is skewed at the top end by the 1% as statistical outliers and at the bottom end by part timers. The median hourly wage would be a better calculation, and go from there.
Jaster Rogue wrote: » For every 1pc increase in salary, that person can now borrow 3.5pc more than before the increase.
Jaster Rogue wrote: » I think it's an important point and explains why there's a significant portion of the market selling for well above 3.5x the average industrial wage. It's an often overlooked factor that potentially impacts property prices greatly. Something else in the media today made me think about the consensus that CB income rules have put the brakes on property prices.https://www.independent.ie/business/personal-finance/rising-wages-will-drive-up-costs-of-rent-and-childcare-38007836.html For every 1pc increase in salary, that person can now borrow 3.5pc more than before the increase. Property prices being linked to an index like that is actually good for the economy, provided they are starting at an affordable level, and providing no other factors impact prices which as discussed above is not the case (inheritance, gifts, investment yields, etc).
ELM327 wrote: » No matter how much you have, there is always someone better off and worse off than you. The post ranting about others/inheritance etc is typical irish begrudgery
Rising wages will drive up costs of rent and childcare Labour costs have increased by 2.9pc in the past year, the National Competitiveness Council warns today.
