2021 Irish Property Market chat - mod warnings post 1

https://extra.ie/2021/03/23/must-see/david-mcwilliams-urges-house-buyers-to-stop-searching-immediately-as-market-is-at-peak-dysfunction

MacronvFrugals wrote: »

McWilliams is divisive on here but interesting nonetheless...

"David McWilliams urges house buyers to stop searching immediately as market is at ‘peak dysfunction’"

https://extra.ie/2021/03/23/must-see/david-mcwilliams-urges-house-buyers-to-stop-searching-immediately-as-market-is-at-peak-dysfunction

people though arent thinking with their heads at the moment

its panic buying
its emotional buying
its i am trapped in this place as a result of this pandemic and i need my own house buying
its I have the money so i must buy now, now, now

believe me i understand it

but people have to learn the lessons for themselves

hometruths

bubblypop wrote: »

And how does it make sense?
One neighbour may have bought their house in 2007, another may have bought in 1997, another may have bought in 2019, do you see where this is going?

There are lots of posters on here who say it doesn’t really matter what you pay for a house, if you can afford and will be happy there for a long time. That’s fair enough.

But relatively recent history shows us that’s lots of people really really do care if they pay big money for a house and It is subsequently worth barely half what they paid for it.

It’s a bit daft to argue with somebody because they’re price sensitive on the largest purchase of their lives. You might not be price sensitive but to suggest other people are silly to be is crazy.

MacronvFrugals

McWilliams is divisive on here but interesting nonetheless...

"David McWilliams urges house buyers to stop searching immediately as market is at ‘peak dysfunction’"

The economist also highlighted the fact that house prices are rising while the price of rentals are falling – a key signifier that it is time ‘not to buy’.

‘My take on Ireland right now is that in the last year, the number of properties available to buy has fallen by 40%. Why is this? Because at the start of the pandemic, the Government said ‘no viewing’,’ McWilliams said speaking on his podcast.

‘So you can’t view the house. So, therefore, would-be sellers are saying “if there’s no viewing, I won’t put the house up for sale” – particularly if they want to get a good price and move on.

Pelezico wrote: »

Ok....it makes sense to me but everyone is different.

It would really concern me if I overpaid. As I said everyone is different.

And how does it make sense?
One neighbour may have bought their house in 2007, another may have bought in 1997, another may have bought in 2019, do you see where this is going?

TobyHolmes wrote: »

ok. but whats the point in saying it. i said throughout all my posts In my opinion, this is my opinion etc. what I said obviously annoyed you so you felt you had to remind me that no one is forcing me to buy a house. im perfectly aware of that. but thank you for the reminder.

My point is not everyone has the same point of view. thats all

Marius34 wrote: »

You don't need to spend half million for 1 hour commute from Dublin neither.
For many it's not as easy to get job in US, due to the Work Visa requirements. I had more in mind Europe. What makes you think that Germany property price are cheaper in relation to Wage?

oh lord - on all the forums ive been on on Boards.ie - none are more argumentative than the ones regarding property.
people are so emotionally vested in it.
so i will answer you in a very nice way so not to upset anyone further.
you are right and have a nice day.

Marius34

TobyHolmes wrote: »

look to the US - you can buy nice homes at a reasonable price within an hour commute of a major city.

Boston for example is commutable from providence, RI and new hampshire.
NY is commutable from New Jersey and Connecticut.
Washington DC is commutable from Virginia and Maryland.

or elsewhere in Europe. Germany for example.

just some ideas. its a huge world out there folks.

You don't need to spend half million for 1 hour commute from Dublin neither.
For many it's not as easy to get job in US, due to the Work Visa requirements. I had more in mind Europe. What makes you think that Germany property price are cheaper in relation to Wage?

fliball123 wrote: »

I am hardly riled up I am just saying that if you see no value great and that your no one is forcing you..

ok. but whats the point in saying it. i said throughout all my posts In my opinion, this is my opinion etc. what I said obviously annoyed you so you felt you had to remind me that no one is forcing me to buy a house. im perfectly aware of that. but thank you for the reminder.

TobyHolmes wrote: »

did i judge you? i am giving an opinion. isnt that what a forum is. i was commenting on a post and giving my opinion. why is everyone so riled up about an opinion on property prices.

I am hardly riled up I am just saying that if you see no value great and that your not being forced to buy

Deleted User wrote: »

I so fundamentally disagree with the last two pages. If someone sees a property in which they see themselves building a home and a life, then I would go for it even if it’s more expensive than you’d like. But that’s just me. The environment in which I want to build my life is more important than any other investments I might make.

And some would have you believe that other investments outside of property have no risk? Which is palpable nonsense. Especially now with so much uncertainty coming down the track, and the fact that your cash is going to start losing substantially value as inflation rears its head

Not suggesting that you should ignore the fact that prices are high. But I would not let me put that off buying the perfect home

its fine to disagree. i understand your points. and yes you are perfectly entitled to care more about buying a home to build a life than the price of it. thats perfectly fine.

fliball123 wrote: »

Well here is the good news no one if putting a gun to your head to buy so work away and buy or dont buy where or whenever you want Toby. I am sure everyone else will weigh up their own needs first before making their decision to buy or sell or not to buy or sell

did i judge you? i am giving an opinion. isnt that what a forum is. i was commenting on a post and giving my opinion. why is everyone so riled up about an opinion on property prices.

Marius34 wrote: »

like where? I don't know places with good opportunities of good paying jobs and low property price.

look to the US - you can buy nice homes at a reasonable price within an hour commute of a major city.

Boston for example is commutable from providence, RI and new hampshire.
NY is commutable from New Jersey and Connecticut.
Washington DC is commutable from Virginia and Maryland.

or elsewhere in Europe. Germany for example.

just some ideas. its a huge world out there folks.

I so fundamentally disagree with the last two pages. If someone sees a property in which they see themselves building a home and a life, then I would go for it even if it’s more expensive than you’d like. But that’s just me. The environment in which I want to build my life is more important than any other investments I might make.

And some would have you believe that other investments outside of property have no risk? Which is palpable nonsense. Especially now with so much uncertainty coming down the track, and the fact that your cash is going to start losing substantially value as inflation rears its head

Not suggesting that you should ignore the fact that prices are high. But I would not let me put that off buying the perfect home

TobyHolmes wrote: »

yes exactly. i think from the perspective of a person who has lived in other countries and can see what those places offer in comparison to what you pay here for a house. i just cant justify paying a high price for something i deem to be of low value. yes i know market dictates it yadda yadda. in my personal opinion paying half a mill for a property you cant swing a hat in - is not worth it. and i'd rather pay that money elsewhere - in another country. but thats my opinion. im sure all the real estate agents on here wont like my comments but unlike them I dont have a vested interest. and i certainly dont believe some forum on boards.ie is going to influence opinion lol

Well here is the good news no one if putting a gun to your head to buy so work away and buy or dont buy where or whenever you want Toby. I am sure everyone else will weigh up their own needs first before making their decision to buy or sell or not to buy or sell

Marius34

TobyHolmes wrote: »

yes exactly. i think from the perspective of a person who has lived in other countries and can see what those places offer in comparison to what you pay here for a house. i just cant justify paying a high price for something i deem to be of low value. yes i know market dictates it yadda yadda. in my personal opinion paying half a mill for a property you cant swing a hat in - is not worth it. and i'd rather pay that money elsewhere - in another country. but thats my opinion. im sure all the real estate agents on here wont like my comments but unlike them I dont have a vested interest. and i certainly dont believe some forum on boards.ie is going to influence opinion lol

like where? I don't know places with good opportunities of good paying jobs and low property price.

Pelezico

bubblypop wrote: »

This doesn't make sense
Why would it matter what the neighbours paid? Ridiculous way of thinking, no one would ever but a second hand house if they thought like this!

Ok....it makes sense to me but everyone is different.

It would really concern me if I overpaid. As I said everyone is different.

Ush1

TobyHolmes wrote: »

because if you both buy the same sweater. why should someone pay 50 euros and someone else pay 100 euros for that same sweater.

the person who paid 100 euros is silly.
they should just find another sweater.

lol whut?

bubblypop wrote: »

This doesn't make sense
Why would it matter what the neighbours paid? Ridiculous way of thinking, no one would ever but a second hand house if they thought like this!

because if you both buy the same sweater. why should someone pay 50 euros and someone else pay 100 euros for that same sweater.

the person who paid 100 euros is silly.
they should just find another sweater.

bubblypop wrote: »

This doesn't make sense
Why would it matter what the neighbours paid? Ridiculous way of thinking, no one would ever but a second hand house if they thought like this!

True I mean even if you compare to a neighbor I am sure prices were a lot higher back in 2007 and then hit the lows in 2012 if two neighbors both in these years there could be anywhere up to a 50/60% difference in the price for the exact same build and looking at it in 2021 if you looked at the neighbor in 07 your getting a good deal and if you look at the neighbour in 2012 you would think your being fleeced.

Pelezico wrote: »

What would get me is coming home every evening to a property which I had paid more for than any of my neighbours.

That house would become an object of hate if a fall comes our way.

One thing is sure....the current situation is abnormal. The housing market is broken.

yes exactly. i think from the perspective of a person who has lived in other countries and can see what those places offer in comparison to what you pay here for a house. i just cant justify paying a high price for something i deem to be of low value. yes i know market dictates it yadda yadda. in my personal opinion paying half a mill for a property you cant swing a hat in - is not worth it. and i'd rather pay that money elsewhere - in another country. but thats my opinion. im sure all the real estate agents on here wont like my comments but unlike them I dont have a vested interest. and i certainly dont believe some forum on boards.ie is going to influence opinion lol

Pelezico wrote: »

What would get me is coming ho.e every evening to a property which I had paid more for than any of my neighbours.

That house would become an object of hate if a fall comes our way.

One thing is sure....the current situation is abnormal. The housing market is broken.

This doesn't make sense
Why would it matter what the neighbours paid? Ridiculous way of thinking, no one would ever but a second hand house if they thought like this!

TobyHolmes wrote: »

ok cool. point goes to you. you win. yay

How many banks have been successful at repossessing the family home there Toby even during the last recession and people not paying a penny on their mortgage for up to 10 years and the banks still cannot repossess

Pelezico

TobyHolmes wrote: »

good. someone with some sense. i understand everyone's need to buy at the moment. believe me. i understand.
it just doesnt make sense though at the moment.

sit tight is right and stockpile your money. watch it grow and dont give it to the banks. anyone with a mortgage doesnt really own anything by the way. the bank owns it till you pay it off. but your cash - thats all yours.

What would get me is coming home every evening to a property which I had paid more for than any of my neighbours.

That house would become an object of hate if a fall comes our way.

One thing is sure....the current situation is abnormal. The housing market is broken.

awec wrote: »

This is not at all true.

ok cool. point goes to you. you win. yay

awec

TobyHolmes wrote: »

good. someone with some sense. i understand everyone's need to buy at the moment. believe me. i understand.
it just doesnt make sense though at the moment.

sit tight is right and stockpile your money. watch it grow and dont give it to the banks. anyone with a mortgage doesnt really own anything by the way. the bank owns it till you pay it off. but your cash - thats all yours.

This is not at all true.

Pelezico wrote: »

It is a sellers market out there. Only someone with deep pockets and no money memory should consider buying.

Thank goodness for central bank loan limits or we would be off the scale in house prices.

I can see a bigger fall in supply coming. People are sitting tight.

good. someone with some sense. i understand everyone's need to buy at the moment. believe me. i understand.
it just doesnt make sense though at the moment.

sit tight is right and stockpile your money. watch it grow and dont give it to the banks. anyone with a mortgage doesnt really own anything by the way. the bank owns it till you pay it off. but your cash - thats all yours.

Pelezico

It is a sellers market out there. Only someone with deep pockets and no money memory should consider buying.

Thank goodness for central bank loan limits or we would be off the scale in house prices.

I can see a bigger fall in supply coming. People are sitting tight.

what is considered a commutable distance for the purpose of a mortgage?

JimmyVik

Deleted User wrote: »

I understand that. But if I have found a place that can be my home, then the price against the market, at least for me, is very much a secondary consideration (as long as is affordable). Evidenced by me paying 25% above asking for a rural property recently.

Would obviously be different if I was an investor or anticipated wanted to sell in the next few years and make a profit.

I dont blame you.
Im just pointing out that that is exactly why prices rise.
People see a house, like it and will pay more than the next person.
The price floor increases for the area.

This is how it should be. Problem in Ireland is you have REITs and councils with endless money supplies squeezing up the ordinary buyer.