Farmer sold his land for €1.5m buys it back for €60k

davet82

http://www.independent.ie/national-news/meet-the-farmer-who-sold-his-land-for-15m-seven-years-ago-and-bought-it-back-for-60000-3235798.html

IT IS the ultimate sign of our dramatic transformation from boom to bust.

A Co Meath cattle farmer has bought back an 8.5-acre site from a developer for just €60,000 only seven years after selling it himself for close to €1.5m.

whats that in a precentage price drop :rolleyes:

glad to see some people are facing facts and selling up, still must be hard selling at such a loss

LittleBook

davet82 wrote: »

glad to see some people are facing facts and selling up, still must be hard selling at such a loss

Who's loss I wonder.

davet82

LittleBook wrote: »

Who's loss I wonder.

probably the tax payer

ABajaninCork

That farmer's one smart puppy! Fair play to him...

ebixa82

Delighted for the farmer.

Chris_5339762

I thought there was some rule/law in place to stop this?

ebixa82

Chris_5339762 wrote: »

I thought there was some rule/law in place to stop this?

Can't think of any reason why there should be!

the_syco

Chris_5339762 wrote: »

I thought there was some rule/law in place to stop this?

Think it's against the law for developers or anyone connect to them to buy the land that they lost to NAMA (at a massive discount), but the farmer didn't lose the land; he sold it in the boom times, and has bought it back in the bust times. Also, note that it was auctioned off, so most likely done so by the bank.

vicwatson

Good aul urland !

seamus

I would love to know who comes up with this bollox:

The Kells area is well inside the Dublin commuter belt -- only an hour by car from the city centre.

Kells, Co. Meath is not an hour's commute from Dublin city centre. In commuter traffic it'll take 45 minutes to get to the M50 and another 45 to get into the city.
You'll make the Dublin to Kells run in an hour if you have green lights and no traffic all the way. Have to wonder why the Indo is still peddling this kind of nonsense six years after the bubble collapsed and this kind of bull became irrelevant.

ABajaninCork

Chris_5339762 wrote: »

I thought there was some rule/law in place to stop this?

Why??? Market forces at it's best!! If some fool wants to overpay you for your property, let them. If they then sell at a loss and you buy back the land, then hard cheese to the buyer!!

riclad

The bank took an asset from developer and sold it at a market price
,thats capitalism ,and that 1.5 million was probably lent to a bankrupt developer by a bank.SO the bank probably lost more in the long run.
And it shows there was too much money lent by banks to buy land
most of which may never be used for building houses on.
those travel times are probably made up, based on how long you could drive there at 5am in the morning ,ie no traffic on roads .
anyone who believes estate agent travel times to commuter towns is a naive fool.
theres rules re changing land from agriculture to building, development ,so farming land is like
14k an acre.Because it cant be used for building .

Pa Dee

ebixa82 wrote: »

Delighted for the farmer.

Why ? You are paying for this. Developer is nama'd and taxpayer is footing the difference

MarkR

davet82 wrote: »

http://www.independent.ie/national-news/meet-the-farmer-who-sold-his-land-for-15m-seven-years-ago-and-bought-it-back-for-60000-3235798.html



whats that in a precentage price drop :rolleyes:

glad to see some people are facing facts and selling up, still must be hard selling at such a loss

96%

tfitzgerald

Fair play to him

tfitzgerald

Pa Dee wrote: »

Why ? You are paying for this. Developer is nama'd and taxpayer is footing the difference

I'd rather see the farmer getting the profit than some wanker. Sorry I meant banker

washman3

ebixa82 wrote: »

Delighted for the farmer.

And right you should be..:D
The country has just handed him €1.5m and you,your children and their grandchildren will be paying back.!!
The €60,000 he paid to buy back the site probably came from his farm "entitlements" grant, so guess what?? you will also be paying for that.
Still delighted.???

washman3

tfitzgerald wrote: »

I'd rather see the farmer getting the profit than some wanker. Sorry I meant banker

And i'd rather see the taxpayer getting a profit than both of them.;)

Pa Dee

tfitzgerald wrote: »

Pa Dee wrote: »

Why ? You are paying for this. Developer is nama'd and taxpayer is footing the difference

I'd rather see the farmer getting the profit than some wanker. Sorry I meant banker

This might be beyond you but the taxpayer (ie you) is putting money into banks to compensate for these type of transactions. So when the budget comes around and new taxes and increases taxes and lot is cuts to services such as health and education come about its to fund this type of transaction

keyser2012

riclad wrote: »

The bank took an asset from developer and sold it at a market price
,thats capitalism ,and that 1.5 million was probably lent to a bankrupt developer by a bank.SO the bank probably lost more in the long run.
And it shows there was too much money lent by banks to buy land
most of which may never be used for building houses on.
those travel times are probably made up, based on how long you could drive there at 5am in the morning ,ie no traffic on roads .
anyone who believes estate agent travel times to commuter towns is a naive fool.
theres rules re changing land from agriculture to building, development ,so farming land is like
14k an acre.Because it cant be used for building .

Ive heard its as low as 6k around the foxford area in county mayo

CantGetNoSleep

Why can't farming land be used for building? Don't try to tell me that kind of thing went out with FF

TiGeR KiNgS

CantGetNoSleep wrote: »

Why can't farming land be used for building? Don't try to tell me that kind of thing went out with FF

Its a capital gains tax issue.
'Development land' is another name for land where income received from the land is in another form i.e. other than the use of the land by farming eg crops, cattle etc.

my understanding any way, please feel free to correct me.

bbam

keyser2012 wrote: »

Ive heard its as low as 6k around the foxford area in county mayo

Average price across the country is €10K..
You will however get land down to about €3/4K in parts of Cavan and Leitrim of poorer quality..

keyser2012

TiGeR KiNgS wrote: »

Its a capital gains tax issue.
'Development land' is another name for land where income received from the land is in another form i.e. other than the use of the land by farming eg crops, cattle etc.

my understanding any way, please feel free to correct me.

I bought some land of a farmer in 2004 and all i done was apply for planning permission so your theory is wrong unless it was changed recentlyy.

DonLimon

keyser2012 wrote: »

I bought some land of a farmer in 2004 and all i done was apply for planning permission so your theory is wrong unless it was changed recentlyy.

I'd imagine planning permission for a single house would be a different process than a housing development.

riclad

You could buy an acre for 7k, theres no gaurantee you,d be allowed to build a house on it,
You could buy an old cottage in the country ,then refurbish it ,or build a new house with planning permission.ie knock down old house.
AND Theres sites for sale ,with planning permission for 1 house , 30k plus ,
depending on where they are.
ITS better to build where theres already a water supply ,drainage,
esb line.

Gary The Gamer

ABajaninCork wrote: »

That farmer's one smart puppy! Fair play to him...

I doubt the farmer had much of a clue about what was going on.

ABajaninCork

Gary The Gamer wrote: »

I doubt the farmer had much of a clue about what was going on.

What are you talking about?? HE sold his land for 1.5m to some idiot, greedy git developer. The developer either can't get PP or has since gone bust. So they (or NAMA) have to sell the land. The original owner then buys it back at rock bottom prices.

And you say he didn't have much of a clue???

juan.kerr

washman3 wrote: »

The country has just handed him €1.5m and you,your children and their grandchildren will be paying back.!!

Ridiculous misrepresentation of the facts.

Gary The Gamer

ABajaninCork wrote: »

What are you talking about?? HE sold his land for 1.5m to some idiot, greedy git developer. The developer either can't get PP or has since gone bust. So they (or NAMA) have to sell the land. The original owner then buys it back at rock bottom prices.

And you say he didn't have much of a clue???

Yes. He had hardly any control over the situation. He sold at market prices and he bought at market prices. There was no long term plan or cunning on his part.

ABajaninCork

Gary The Gamer wrote: »

Yes. He had hardly any control over the situation. He sold at market prices and he bought at market prices. There was no long term plan or cunning on his part.

Of course he didn't have control. The farmer wasn't the one to spark the free for all. Nor did he decide when the recession hit and the prices went down. I'd say he kept a careful eye on the situation and bought when the plot went to auction. If you read the story, there was only him and one other bidder. There was no cunning on his part. He was at the right place at the right time, and paid the right price for the land.

Planning, I'd say.