Rents stabilising, house prices beginning to stabilise - DaftReport

mathie

http://m.breakingnews.ie/quickPage.html?page=16701&content=48005873

Haven't they been pretty spot on?

who_ru

rents stabilising despite 1000's of empties up and down the land & NAMA mothballing 1000's more to prevent free market economics from determining the real price. plus financial institutions that own these properties (via mortgages) not even considering putting any pressure on owners to get real on asking rents,because it will undermine their own asset values, and the very same institutions are being bankrolled by you & me.

all this 'stability' is enough to make one's head dizzy

http://www.independent.ie/breaking-news/national-news/house-repossessions-set-to-soar-2527921.ht

gurramok

Where does it say 'House prices beginning to stabilise' in the report?
http://www.daft.ie/report/Daft-Rental-Report-Q4-2010.pdf

I suggest you remove that part from the thread title as it is not true.

mathie

gurramok wrote: »

Where does it say 'House prices beginning to stabilise' in the report?
http://www.daft.ie/report/Daft-Rental-Report-Q4-2010.pdf

I suggest you remove that part from the thread title as it is not true.

That was from the article. Apologies!

gurramok

On the report itself, its a funny one alright if one was reading it. While it's headline and the media headline is of one of a 'stabilised rental market', the content is full of doom and gloom.

On Dublin(sorry country folk:)), different areas have gone up as well as down in rent. 4 areas have seen a reduction in rent quarter on quarter, one area has seen a rise(city centre) and another area is static. For year on year changes, 4 have gone down in rent and 2 have risen.

For South Dublin, Nama must be playing a hand there. Thousands of apts not sold or let out yet. Thats an artificial market.

Outside Dublin, all areas have seen a reduction in rent in rent quarter on quarter as well as year on year.

Gloomy report:

Daft wrote:

First, we have to look at the recent ESRI report which predicts that some 100,000 people will leave this country in the next two years. It is safe to assume that the majority of people leaving will be younger Irish people without firm ties to the country, or recent emigrants – people who normally rent accommodation. Landlords will not find easy replacements for these tenants, and competition for scarcer tenants will naturally lead to reduced rents.

Together with the economy still in the crapper, it does not look good for rents holding up in 2011.

planetX

Well I'm an unhappy renter in a rural area, and have been waiting and waiting for the falls in rent - it is NOT happening here, I can tell you that. House prices are falling, but rents haven't changed... if anything they've gone up a bit:mad:

gurramok

planetX wrote: »

Well I'm an unhappy renter in a rural area, and have been waiting and waiting for the falls in rent - it is NOT happening here, I can tell you that. House prices are falling, but rents haven't changed... if anything they've gone up a bit:mad:

Rent Supplement maybe a factor to stopping rents falling much, it controls 50% of the private rental sector.

Cookie_Monster

gurramok wrote: »

Rent Supplement maybe a factor to stopping rents falling much, it controls 50% of the private rental sector.

I agree with this being one of the larger reasons why rent is not falling to the correct levels. This is a massive elephant in the room that no party seem to want to highlight or deal with.

techdiver

I for one have received my second reduction in 2 years (living in south Dublin city) and what was more odd about this one is that we hadn't even asked for a reduction (yet). It still looks as if many landlords are panicky about the market and attempting to preempt any better deals that could be sought by moving.

It seems that the asking price of rental property may have the appearance of stabilising, but we haven't moved for 2 years and our rent reductions won't have been counted in this report.

With the further massive numbers predicted to emigrate this year that will hit demand further. How much the supply versus demand ratio increases is probably down to NAMA and how long they will sit on properties for.

OMD

One of the upward pressures on rent is the change in number & size of rental households. Despite emigration, the number of rental households has gone up. Part of this is the natural yearly increase in people renting. Normally this is off set by people buying. But as less leave the rental market to buy and as more join at the other end so demand for rental properties increases.
The other change is rental households are getting smaller. So, as rents decreased many renters decided they no longer needed to share with as many people or even with any people. This again increases demand for rental properties.

The next figures will be interesting to see how the recent budget has effected this change.

dory

From a quick look at the article, and the Daft report, looks like they wrote the article based on the opening paragraph of the report. And that they took it out of context.
Typical lazy journalism.

Zamboni

Daft reports are all based asking prices i.e. the wishful thinking of vendors and landlords.
They are not privvy to actual rental rates, purchase prices and, as techdiver pointed out, price changes during tenancies.
I think they are of fairly limited use.

Monty Burnz

Zamboni wrote: »

Daft reports are all based asking prices i.e. the wishful thinking of vendors and landlords.
They are not privvy to actual rental rates, purchase prices and, as techdiver pointed out, price changes during tenancies.
I think they are of fairly limited use.

Excellent point, and one which the same vested interests that talked the market up into a ruinous bubble seem determined to ignore. RTE are reporting it as if the report talks about actual rents paid, rather than the amount hoped for in adverts.

How the public still put up with this sort of bolloxology from the media and VIs aftear all that we have been through is totally mystifying.

Dempo1

mathie wrote: »

http://m.breakingnews.ie/quickPage.html?page=16701&content=48005873

Haven't they been pretty spot on?

Complete load of Bollox, it suits Daft to have such wonderful news reported albeit highly UN OBJECTIVE.

One only has to look at the Daft site to note

• Nothing is selling
• Nothing is being rented
• Various incentives for prospective tenants including "wait for it", reduced rent"
• Massive discounts on properties for sale

Indeed it only takes a short stroll up any urban or rural high street to see empty retail units.

Need i go on!

Cuckoo Land stuff!

Frank Spencer

Just on a side note, has anyone else found that when browsing daft you are now given how long ago the property was entered rather than when it was last renewed?

When I use the daft iphone app it gives when it was last renewed. Both would be handy I guess. It's just a bit inconvenient that I have to refer to my iphone to see if a listing is reasonably current.

ntlbell

Frank Spencer wrote: »

Just on a side note, has anyone else found that when browsing daft you are now given how long ago the property was entered rather than when it was last renewed?

When I use the daft iphone app it gives when it was last renewed. Both would be handy I guess. It's just a bit inconvenient that I have to refer to my iphone to see if a listing is reasonably current.

if you use the property bee plugin you can get all this information

Duckjob

Monty Burnz wrote: »

Excellent point, and one which the same vested interests that talked the market up into a ruinous bubble seem determined to ignore. RTE are reporting it as if the report talks about actual rents paid, rather than the amount hoped for in adverts.

How the public still put up with this sort of bolloxology from the media and VIs aftear all that we have been through is totally mystifying.

I'd hazard an answer to that is that many people who bought in the bubble are caught up in the mass delusion still prevelant in the country. As a result they will willingly subscribe to media spin that supports that delusion because mentally they cannot process the reality of where actual market levels are now and where they are headed.