Irish Property Market chat II - *read mod note post #1 before posting*

No house is in very good condition a slight bit dated but only very slight. Attic is converted into forth bedroom but it cannot be listed as such with an ensuite.

House is probably near 2k sq ft, gardens and deck look very good as well. C1&2 houses are probably as cheap or cheaper to run than an A rated house. Heard that a lit of A rated houses are seeing over well ove 100/ month rise in cost of electricity.

No pictures of inside of house tells a story. The other house is a walk into house. If you have the figures for the lending it is ready to live in.

In the house above you need to its a three bed house. I know nothing about the l but in this house there's seem to be huge emphasis on its location. The other house is a nice red brick two story.

Landscaping in today's market could be worth 50k. You also have the hassle of financing and getting this project complete. House will probably selling excess of 600 k so gab will close a bit. While the house is being renovated you will have to rent 2-3 k a month for a year will cost 25-35k.

A lot is about location location. Not sure of the garden size but you have nothing in front of the house. Probably a lot of rentals in the area as well

For the first house, the 140 sq m includes the attic, just to note!

Still looks in good condition, totally agree with you there, and the location is very good IMHO. That's what has driven the bidding above €1M...

great to hear dublin is absolutely flush and awash with money

meanwhile - ordinary workers are desperate for pay increase to mitigate general inflation running rampant at 8%

Pay rises to match inflation to be sought at over 2,500 companies

By my reasoning €5K in cash a few years will still be worth €5k. Guaranteed.

The guitar, will be worth something but no where near €5k.

But I take your point on being concerned with inflation reducing the net present value of cash today into the future.

I would hold the opposite view but for different reasons. As a value investor, I feel asset (share) prices are over-priced in the main. I am more than willing to hold as much cash as I can so that I can take advantage of buying opportunities should the concerns surrounding a potential recession eventuate in the next couple of years. Any drop in my purchasing power caused by inflation should be more than offset by a corresponding drop in share prices.

As for house prices.....that Im not so sure of.

We will have strike after strike come the summer/autumn as workers fight to get pay rises. It will be teachers, Garda, civil servants one after each other as gov will not give 8% pay rises and will probably cap it a 4%.

mean while jobs that are in demand in the mnc’s etc…will get the 8% which will only lead to further house price increases.

It’s hard to predict. A series of left of field ECB rate hikes precipitated by events on the continent could cause a drop. However, the only thing that would cause a crash is a reversal of the supply/demand dynamic and the only way that will happen again is mass emigration and a massive MNC retrenchment which would only happen if the Fed goes nuts and raise US interest rates by 7%.

Yeah that seems likely. Good old civil servants...

A large part of the population would be better of in a disinflationary recession than the current left wing money printing nonsense.

at 15% recession unemployment, 84% (excl top1% and unemployed) are better of. Rampant inflation is far more destructive to society than austerity. It’s just the vocal left wing who make it sound otherwise.

'left wing', thats interesting! you seem to be well out of touch of modern political and economic ideologies there, tis far from left wing! again, our current inflationary issues are largely not related to money creation, but more so linked with supply chain issues, including energy supply chain issues. this is triggering 'inflationary expectations', a human behavioral issue, i.e. everyone is expecting prices to rise, so in turn, everyone is increasing prices, i.e. its a feedback loop. again, a significant proportion of money created in both the public and private domains has been used in helping further asset price inflation, qe etc.....

At least with MNCs and any other offering from the right wing ideology/company/product you have options to pick and choose at a price point you want or the option not not to engage or buy. You cannot say the same when it comes to left wing ideologies, there is no choice the bleeding heart gets what it wants and any one dare try to call out the punitive measures that Ireland are currently experiencing when welfare is actively competing with jobs and those not working getting housing above those who are out there trying to earn a living is an example of how the tail wags the dog in this country and those who call it for what it is are blasted by all as someone who doesn't care about the poor its ridiculous. I think both sides right and left have eradicated the norm or the middle ground and yet its those in the middle that will suffer in order to indulge both wings.

Well we will only know if that was the right thing to do in a couple of years, we tried austerity after 08 and let companies fail hand over fist with over 400k business hitting the wall and people had to be paid statutory redundancy and then dole money not to mention retraining and the price tag that came with. We will only know if PUP was the right way to go in a couple of years. At the very least it has given every company a chance to remain viable coming out of corona.

Politics forum is elsewhere....

It also means the day of reckoning gets much closer.

The wealth divide gets wider. The number of people requiring subsidies for basic living increases, state spending on salaries increases.

House price increases reduces the number of citizens that can cover their own accomodation costs. More people renting means more money disappearing out of the economy untaxed to foreign investment funds.

Ff left us in the worst possible position going into the last recession, Fg have repeated the feat and the next one is very close

Well we will have to agree to disagree and L1011 has asked us to move on so move the talk back to property.

Money printing has been around for over a decade and is a significant contributer to asset price inflation and the main reason housing is unaffordable to so many of our young.

It would be very odd for that to be left wing policy.