The MAJOR property crash is coming

debbiermcd

Hi,

Been looking at houses and two in the area have had firm offers that are under consideration at the moment. One dropped by about 30%, the other went on the market at a lower than expected price but are also considering about 30% below that even. Each time we've looked at a house there are quite a few others there also, so bargains to be had if you've got the cash.

What surprised me most was that one house we asked to view today was just about to be confirmed as sale agreed and when I asked about the offer, it was slightly more than we could pay. Instead of biting the hand off a potential buyer he tried to talk me into upping our budget and when I asked if he'd keep my number on file instead wasn't pleased to do so.

Have some agencies lost the plot? Even in good times when they were making silly sales somebody with reasonable cash to spend living in the area in rented accommodation should have been the perfect buyer? :mad:

Dades

debbiermcd wrote: »

What surprised me most was that one house we asked to view today was just about to be confirmed as sale agreed and when I asked about the offer, it was slightly more than we could pay. Instead of biting the hand off a potential buyer he tried to talk me into upping our budget and when I asked if he'd keep my number on file instead wasn't pleased to do so.

Sounds to me like the agent had mentally cashed their fee already and wasn't interested in eking out another few quid from new player.

Coffee is for closers.

caz34

rodento wrote: »

Interesting dilemma

Buy now and get mortgage relief worth 30000 or spend 30000 in rent and buy when the price drops 30% but you wont get mortgage relief and interest rates will have rocketed

But if you are getting a 20 year mortgage you would need to be borrowing around €650K to 'save' the full 30K of benefit. I cant imagine many ftb's would be borrowing that amount. I calculated this (hopefully correctly) to protect myself from the 'oh jesus buy now before you lose 30 grand' brigade. Based on the term and amount of loan we anticipate getting we will lose about 9K but considering the houses we are looking at have dropped by more than that already this year, its a net gain!

Darlughda

Bring it on. Maybe the exhorhibtant rents by scum landlords will come to an end.

The_Conductor

Darlughda wrote: »

Bring it on. Maybe the exhorhibtant rents by scum landlords will come to an end.

You're already on a 3 day ban for using terms like this in another thread. I am drawing attention to this post- to highlight that it is totally unacceptable in this forum. Any further use of abusive or derogatory or abusive language towards other forum users, will not be tolerated.

Please read the forum charter- and remain civil towards fellow posters. Having a diverse forum userbase, is a great way of educating ourselves about other people's point of view- however once you personalise your posts and start employing terms such as 'scum landlords' etc- you are clearly stepping over the line, and will receive the attention of the moderators.

The_Conductor

Seriously recommend anyone thinking of going to the Auction on the 15th of April- view the properties, and conduct due dilligence, particularly of the legal documents associated with the properties. Also- keep in mind that you need a 10% non-refundable deposit on the day (and then typically have 4-6 weeks to clear the balance).

Was talking to one of the guys in Allsops- apparently, if the auction on the 15th goes well- the plans are to have a similar monster auction every 3 months or so, going forwards (next one would be around July sometime). It all depends on how the auction on the 15th goes- but it would appear that its going to be well attended with lots of interested bidders and spectators. I'd love to know how people are funding their bids- alongside what monster auctions such as this are going to do to the market value of similar properties in the vicinity of those being sold.

Interesting times......

clinvestor

smccarrick wrote: »

Seriously recommend anyone thinking of going to the Auction on the 15th of April- view the properties, and conduct due dilligence, particularly of the legal documents associated with the properties. Also- keep in mind that you need a 10% non-refundable deposit on the day (and then typically have 4-6 weeks to clear the balance).

Was talking to one of the guys in Allsops- apparently, if the auction on the 15th goes well- the plans are to have a similar monster auction every 3 months or so, going forwards (next one would be around July sometime). It all depends on how the auction on the 15th goes- but it would appear that its going to be well attended with lots of interested bidders and spectators. I'd love to know how people are funding their bids- alongside what monster auctions such as this are going to do to the market value of similar properties in the vicinity of those being sold.

Interesting times......

I saw an article about the auction on an property investors website (can't find website now) and it was promoting that the properties in the Auction on Friday were Nama properties. When the first articles came out about the auction it was stated that all the properties were distressed BoSI properties.

I am not overly impressed with what is on offer at the auction and the prices offered. I am convinced that there will be better quality and value later in the year (third quarter). I think everybody is waiting to see how the auction fairs and it will be a template for moving forward.

I think that is great advise to view any properties that you may have an interest in bidding on. One sure thing is, we are not going to run out of properties for purchase in Ireland for a very long time.

The_Conductor

I don't know whether they are all Bank of Scotland Ireland, or not (the ones I've checked out (admittedly only 3) were all BOSI). NAMA have given an undertaking not to dispose of residential property in this manner- so I would be shocked to hear of it being used as a mechanism for clearing their books (mind you- at 100 units a go- that would keep any auctioneer in business for the next 40 years........)

I'm guessing there probably are other lenders disposing of repossessed property in the auction- however the majority of these are buy-to-let properties, not people's PPRs.........

I'm going to see about getting the auction feed online for Friday.

Lyn256

I'm planning on attending the auction myself -not with a view to buy this time but should they have further auctions I hope to buy in the future if the right property comes up.
As I've never attended an auction before, I'm going to 'get a feel' for how auctions go. I read somewhere that this was a piece of advice so that I don;t get 'caught up' in the auction itself.

Regarding funding, depending on the property, I'd be funding it from the proceeds sale of previous home (may need a small mortgage on top of that depends what they sell for). Also I'm looking for a PPR rather than a BtL.

jimmycrackcorm

smccarrick wrote: »

I'd love to know how people are funding their bids- alongside what monster auctions such as this are going to do to the market value of similar properties in the vicinity of those being sold.

Interesting times......

There are a number of people who did very well at the top of the market and have plenty of cash - after all the money spent on property had to go somewhere!!! It looks like they'll get the double bonus of hoovering up really cheap property now as well.

Idbatterim

no doubt there the same investors attending this auction, will be the "canny investors" who were paying over 500k for a 2 bed apartment in docklands, dundrum, sandyford etc in 07!

djmcr

jimmycrackcorm wrote: »

There are a number of people

Relatively speaking , a small number compared to those in arrears or NE now

mrgaa1

http://www.gumtree.ie/p/flats-houses/house-3-bed-detached-rural-location-cheep-emigrating-40000/77649226 I saw this today on Gumtree - is this a sign of the crash? Maybe there is more to it than this but there is absolutely no way you could buy the land and build this house - never mind finish it.

But then I've heard - although I can't find evidence of it on websites - that there are houses being sold as they stand i.e. empty inside. If memory serves me well it could be something like 70k.

http://www.independent.ie/business/irish/nama-keen-to-revive-property-market-2617143.html Will this help to shift properties; will they shift their own properties first?

mikom

mrgaa1 wrote: »

http://www.gumtree.ie/p/flats-houses/house-3-bed-detached-rural-location-cheep-emigrating-40000/77649226 I saw this today on Gumtree - is this a sign of the crash? Maybe there is more to it than this but there is absolutely no way you could buy the land and build this house - never mind finish it.

There's a stench of scam off that one.
The spelling in the ad make my spidey senses tingle.

Mr. Loverman

mrgaa1 wrote: »

http://www.gumtree.ie/p/flats-houses/house-3-bed-detached-rural-location-cheep-emigrating-40000/77649226 I saw this today on Gumtree - is this a sign of the crash? Maybe there is more to it than this but there is absolutely no way you could buy the land and build this house - never mind finish it.

If that's a real advert it is good value.

However I would bet money it's a scam. When you contact them they'll be out of the country and will ask for a deposit by Western Union...

Dymo

mikom wrote: »

There's a stench of scam off that one.
The spelling in the ad make my spidey senses tingle.

Seems legit, the telephone number when you google its the same person on the ad. Price seem's like a misprint. Some secretary in the church in Oldcastle.

Dades

Emigrating = negative equity escapees? :pac:

Mr. Loverman

Dades wrote: »

Emigrating = negative equity escapees? :pac:

Can you blame them?

I know it's "wrong" but you only get one life.

PS I do not own property

Tigger

i rang them its a malicous act
someone put the ad up to upset the owner