Dublin Property Firm to offer trade-in deals to shift luxury properties

The_Conductor

http://www.sbpost.ie/post/pages/p/story.aspx-qqqt=IRELAND-qqqm=nav-qqqid=37603-qqqx=1.asp

A Dublin property firm is offering to buy people’s homes as part of a ‘trade-in’ deal, in a bid to overcome the stagnating housing market.

Hollioake Homes has introduced the ‘property exchange scheme’ as an incentive to potential buyers at its Kribensis Manor scheme in Co Meath.

If the potential buyer has a ‘‘suitable’’ property, Hollioake will consider buying it as part payment for a home in the Kribensis Manor scheme, which are priced from €1.4 million.

Anne Bannon, the sales agent for the development with estate agent Remax Royal County, said the initiative was designed to allow people to trade up even if they couldn’t find a buyer for their own home. She said that this was the first such scheme in Ireland.




‘‘We’ve conducted the deal with one buyer so far and purchased a property. We’ve been approached by lots of people, but they weren’t offering suitable properties,” Bannon said.

‘‘For example, someone came to us offering two apartments in Dublin that weren’t in a great location. We want one property that can be exchanged for full value or part-value.”

Kribensis Manor consists of fourand five-bedroom houses on the grounds of the former Williamstown Estate near Clonee, Co Meath. When the scheme was first released onto the market, selling agent Remax Royal County sold about 30 houses, with prices varying between €1.7 million and €1.88 million.

However, 12 houses in the scheme priced between €1.4 million and €1.6 million are still for sale. The properties measure up to 330 square metres in size and are fitted to a high specification.

eden_my_ass

Interesting scheme, how does this work for the developer though, is it just an attempt to free up some cash by accepting a lower value house and at least getting some cash from the buyer? Just wondering what the business angle is, considering the developer will almost certainly be swapping one losing asset for another with the trade in.

Victor

They are likely to swap a big depreciating asset for a smaller one.

...

Profit.

Jip

Alderwood in Hollystown have the same scheme. They're still not going to shift many properties as they're looking for crazy money up there, seriously over valued.

eden_my_ass

Victor wrote: »

They are likely to swap a big depreciating asset for a smaller one.

...

Profit.

So the bank gets some owed money back from the developer (presumably), the consumer gets the bigger house they "needed" for a fair deal in current climate....seems everyone wins but the developer, thats nice for a change

Moonbeam

There are houses in Oldtown offering this too.

Now if only they would do it in an area I want to move to!

The_Conductor

Apparently apartments are not welcome in part-exchange........ hmmmm