Softening house market?

Heard an economist on the radio this morning pointing out that houses were the same price now as they were a decade and a half ago. The banks will all have their own stress tests anyway. This just puts people into a postition where their lifestyle and not just their income amount alone can help them get a mortgage.

"But houses are the same price they were the last time the market went mental! It's NORMAL!!!"

Exactly.

And the massive obsession almost everybody has here with housing and housing as their ONLY investment is nuts.

Again the govt created the policies to foster this with crazy Communist level 33% and 40% Capital gains taxes on stocks and ETFs. In the meantime they will offer a company or multiinational 15% or less corp taxes . And gave REITs 7 years no capital gains tax. But you get to pay up to 40%.

Irish people have been brought up in this system so many seem to have little clue about how weird this all is. They are like hamsters on the wheel scrambling to find a roof over their head and get on the 'property ladder'.

Nobody knows the figure for average rent in this country. Only new rents are reported. I have a 3 bed semi let in cork city for 1100. New tenants moved in 3 months ago. Nothing at that level gets advertised now. It's friends of the previous tenants that generally move in.

The new rules are clearly going to drive up property prices even more than before as now people can borrow more and therefore bid more on a particular house to secure it. Some Irish people are unbelievably thick though. Many forget that borrowing money is the easy part but paying it all back to the bank is where the problems are. Good for you if you pay way way over the odds for a house and then have to hand the keys over to the bank in a few years.

Actually, there are just 700 options in total.

There are very few rentals available though , all over the country. SO there really aren't that many options out there.

THere's plenty of houses for sale, when I review the numbers on DAFT, something like 10x rentals. Which again, is, mental.

700 hundred of which are outside of Dublin, which is what you were talking about....

Anyway, suppose there were 2,000 - does that seem like a lot to you?

Nearly dropped dead when I saw the article last night. These people are categorically liars are charlatans. 'Builders' had a say in this???. Our democracy is broken. This is the straw that puts Sinn Fein in power. At least for me I'm willing to put them in power now. Anything to get rid of these current shower of collaborators.

Just as concerns about the market being overvalued start to come out here are these guys tripping over themselves to increase prices. Well screw the lot of them. I will buy second hand only and be driven way out the country. Couldn't be partaking in this 'new build' ponzi scam where you don't even get a bloody fire place to heat yourself when the blackouts finally hit us

Edit: At this stage this country requires a mass protest of people refusing to buy new builds until all these charlatans are bankrupt or the govt steps in to build/sell houses at cost.

The central bank of Ireland is to ease mortgage rules?

The ECB has started the most extreme monetary tightening in its history and the central bank of Ireland is loosening. Am I getting something wrong here? Is this not similar to the UK problem that their government was increasing money and bank tightening.....

Loosening money increases inflation. Inflation is our biggest threat right now. This is just bonkers.

Yes and Irish times Q&A says expected immediately. - hard to know.

“When will the new rules come into play?

We’ll have to wait for the formal announcement but the presumption is that the rules will come into force immediately on any new loan applications and on those that are already before lenders awaiting a decision. It is not clear if house-hunters who already have mortgage approval but have not yet found their home or drawn down the mortgage will be able to increase the amount available to them without going through the whole process again.”

Sinn Fein will change little. One need only read their policies to see that it is more of the same with different wording.

When a government is replaced, the apparatus of the state does not change with it. The senior civil servants who "advise" the politicians remain in place, as do the lower civil servants and heads of NGOs. If SF were in power tomorrow, the same interests that have created this mess would still be there. Until that is not so, we will see no meaningful change for the better.

I'm with you on the lack of a fireplace, however...