schmittel wrote: » And I'm not just talking about pensioners looking to move to gated communities with panic alarms. There was an ask the finance expert thing on newstalk today, and a couple had sent in a what are our options query on this subject. Mid 50s or so, 100k in savings, 500k fully paid off empty nest house in Dublin. They own a plot of land in the country, have planning, want to move from Dublin build in country, leave Dublin, live the quiet life etc. They cannot get a mortgage to cover build cost for new house but they do not want to sell current house and rent if they can avoid it. Expert said basically they didn't have many other options since bridging no longer available. The idea that this is a risky profile is nuts. I suspect there is a huge number of people in a similiar boat: irrespective of age or location, they'd quite like to move out of a house that could be put to more efficient use, and this is where government should be putting their resources.
standardg60 wrote: » Upon what would the bridging loan be secured. The asset being sold or the asset yet to be acquired?
L1011 wrote: » Nothing. Which is why they have (well, had - as I don't think they've been available for years) punitive interest rates, albeit as they were generally paid back within weeks it didn't cost that much.
schmittel wrote: » I kind of agree if, as Hubert says, its done well, and doesn't feel like a proxy for an old peoples home. I guess my main point on this is we don't need to wait until we have purpose built developments for downsizers to encourage downsizing. There are plenty who will happily move into existing apartments/bungalows/mews etc if we could get the market moving.
mcsean2163 wrote: » Bridging loan has been a big headache for us so sounds like a great idea. For me, the most obvious solution is vacant property charge on third house for private individuals and all property for business institutions. If a property is vacant for over a year the owner must pay 1% per year to keep it vacant. All REITS would have to lower rents and actually rent, right now there are huge numbers if vacant apartments in rent protection zones. Such a scheme costs very little and would not impact people who've saved for a holiday home.
mcsean2163 wrote: » Bridging loan has been a big headache for us so sounds like a great idea. For me, the most obvious solution is vacant property charge on third house for private individuals and all property for business institutions.If a property is vacant for over a year the owner must pay 1% per year to keep it vacant. All REITS would have to lower rents and actually rent, right now there are huge numbers if vacant apartments in rent protection zones. Such a scheme costs very little and would not impact people who've saved for a holiday home.
PropQueries wrote: » The Irish Times have published their view on Biden’s tax reforms. Their last paragraph is telling IMO: “Investment in future will locate where the best workforce can be found – and where the best education, research and innovation infrastructures are evident. Building these areas is the challenge for the future.” Can anyone really state with a straight face that we tick all these three boxes in relation to other countries at the moment? Especially when most of their R&D is already done in other countries i.e. the evidence is that the multinationals, in the main, don’t believe we tick any of these boxes at the moment. Of course, it all depends on the end agreement, but demand for housing in Ireland is highly linked to continued FDI (and their jobs) into Ireland and multinationals will be making their future FDI decisions from now on with this in mind IMO Will existing housing developers need to go back to the drawing board on the type of houses they will build once they’re allowed back building this year? Luxury may be out and affordable and actual very low cost housing units may be in IMO Link to Irish Times viewpoint article here: https://www.irishtimes.com/opinion/editorial/the-irish-times-view-on-corporate-tax-the-ripple-effects-of-us-policy-shifts-1.4526391
Deleted User wrote: » Yeah, those incoming credits probably stood out
Deleted User wrote: » I believe that we do tick the education and research boxes. It’s the infrastructure box that we do not.....whether that’s innovation infrastructure, housing, broadband etc.
Deleted User wrote: » Today property market reminds me pub at 5AM were is about 20 drunk guys fighting for 1 bottle of whiskey left on shelve.
awec wrote: » That one was yesterday, they actually have a good article today providing a good, balanced overview of the situation, highlighting areas of concern and also the lack of need to panic. I'm guessing you must have missed this one?https://www.irishtimes.com/business/economy/us-congress-will-determine-impact-of-biden-tax-plan-on-ireland-experts-say-1.4526762 "“The phone lines to Washington, DC, will be hopping as Ireland tries to mitigate the worst changes,” according to Mr O’Rourke. “The proposal is concerning and we will need to be actively involved in lobbying US lawmakers, but there is no need for panic at this point,” he said. Had it happened 20 years ago it may have had a big impact on the State’s efforts to attract FDI, he said, but today the Republic’s attractiveness for FDI is wider than tax."
Hubertj wrote: » That article probably doesn’t suit the narrative of some.
awec wrote: » And more news, again this is stuff we were told was absolutely never going to happen.https://www.seattletimes.com/business/amazon/amazon-expects-employees-back-in-their-offices-by-autumn/ Unlike many of its tech-sector peers, Amazon is eschewing a hybrid workplace. The Seattle-based commerce giant told employees in a companywide announcement that it is planning a “return to an office-centric culture as our baseline.” The transition away from remote work is expected to wrap up by autumn, according to the announcement Tuesday. Working in offices, the note said, “enables us to invent, collaborate, and learn together most effectively.” "Google announced Wednesday that its employees will begin trickling back to offices in April. The company, which employs nearly 6,000 Seattle-area workers, has said it will pilot a hybrid workplace model in which employees are expected to be in the office three days a week starting in September."
schmittel wrote: » No doubt that to encourage downsizing in significant numbers new developments would be helpful, but why not start off with the bridging loans immediately? I am not buying the idea that people cannot downsize because the properties they need to downsize to have not been built yet. They have been built, it's just that the entire market is clogged up in a giant negative feedback loop. Introducing the finance to will turn that loop on its head. Early adopter downsizers will generate a positive feedback loop. Plenty of empty nesters living in big family homes would be very happy to move to some of the newer apartments. Plenty of young couples in the newer apartments would be happy to move to the big family homes. Both types of property currently exist, they are just occupied by the wrong people. This is what we need to change. It could be started almost immediately and it would take very little to get that ball rolling.
Marius34 wrote: » And I can prove, that for most in this thread is not important what happening, or what's about to happen in Property Market, or how well you can predict current Property Market, but rather on what side you stand, and what we want to hear: And this was only 6 month ago.
schmittel wrote: » In the post you quoted I did not make any predictions about what's about to happen in the market. My point was the time to rubbish his predictions would be at the end of Q1 2021. Well done you, we're at the end of Q1 2021, and he was wrong. The time has now arrived to rubbish his predictions. But if you're suggesting I was wrong to say it was a bit early to rubbish them 6 months ago, I think you're missing the point. As usual.
[Deleted User] wrote: » I believe that we do tick the education and research boxes. It’s the infrastructure box that we do not.....whether that’s innovation infrastructure, housing, broadband etc.
[Deleted User] wrote: » Life with cover masks in Asia is as standard but they all work in offices.Remote working from home in Europe was the fantasy from very first day.
Deleted User wrote: » Many that work for MNCs here have been working from home a couple of days a week for years. When so many of the people with whom we all interact are in the US, India and other places, then it makes relatively little difference. That is the nature of many MNCs here in Ireland We’ve all been officially told that none of us have to return if we don’t want to after this - globally, including the big NYC and Mumbai hubs. And the new office strategy is based on 60% occupancy. Given that some will want to be back 100% of the time (especially younger people in shared accommodation) it then follows that others will not go in at all. Most want (and will get) 2 - 3 days in the office
PropQueries wrote: » Have I not been consistent that it will by either full time in the office or full time WFH? I've also said that I believe they will "test" ("pilot") the hybrid model to placate some staff and to show their employees that at least they tried it before choosing one or the other Either way, all it takes is 8,000 workers in the city to embrace full time WFH and that's the equivalent of Google moving out. Between the civil service and other companies, that's a minimum that will not be returning to the city IMO. Then you can throw in all the workers in restaurants, pubs, retail etc. who will also not be returning to work in the city centre due to the permanent decline in footfall and that's the rental demand for all those flats, apartments and houses rented by the room etc. effectively wiped out, hybrid or no hybrid IMO
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