Mungret Gate Development

styer

Hi All,

Does anyone know the current situation with the Mungret Gate housing development in the Raheen/Mungret area? There seems to be no more activity down there and building seems to have stopped with only a few houses built.

Phileas Frog

There's an open day tomorrow which is encouraging. I'd imagine they want to sell X houses before continuing.

styer

It would put potential buyers off too knowing that it might not continue unless there is sufficient interest! I'd hate to see another property bubble burst type of building site down there

Iang87

My understanding is they cannot progress until all houses in tranche 1 are sold.

That's just something I heard but it makes sense given the lack of movement.

I must say though I wasn't too taken on the 3 bed houses there for the price they're looking. 4 bed was spectacular to be fair but 3 bed for approx 280 was not.

Mango Joe

€280,000 for a 3 bedroom semi-d in Limerick is ridiculous.

Our housing market is so messed up.....

bigpink

Heard all builders gone off site last few weeks sounds worrying

juneg

I do think that Just because people will pay crazy high rents doesn't mean they'll pay crazy mortgages. A lot of families moving out of Raheen now because rents are too dear which I find worrying.

Phileas Frog

juneg wrote: »

I do think that Just because people will pay crazy high rents doesn't mean they'll pay crazy mortgages. A lot of families moving out of Raheen now because rents are too dear which I find worrying.

Currently mortgage is about 60% of the rent for the same new house.

styer

Mango Joe wrote: »

€280,000 for a 3 bedroom semi-d in Limerick is ridiculous.

Our housing market is so messed up.....

I actually thought it was more than that for the 3 bed..

Mango Joe

styer wrote: »

I actually thought it was more than that for the 3 bed..

2 bedrooms and a box-room over the stairs that the cat gets nervous walking past due to the swinging issue....

Mad_maxx

Mango Joe wrote: »

€280,000 for a 3 bedroom semi-d in Limerick is ridiculous.

Our housing market is so messed up.....

No it isn't

Limerick was absurdly cheap until about eighteen to twenty four months ago, no reason it should have been cheaper than every town with a population over nine thousand in Kildare, meath or wicklow but it was

juneg

Mad_maxx wrote: »

No it isn't

Limerick was absurdly cheap until about eighteen to twenty four months ago, no reason it should have been cheaper than every town with a population over nine thousand in Kildare, meath or wicklow but it was

They are the commuter belt counties for Dublin. That's the reason

Mad_maxx

juneg wrote: »

They are the commuter belt counties for Dublin. That's the reason

So what, none of those places can offer anything like the lifestyle options of a city of ninety thousand. Besides, Galway isn't Dublin commuter belt and was 40% dearer than Limerick until three years ago

Limerick was too cheap for too long, it's fair value today though rent is very high.

Mango Joe

Mad_maxx wrote: »

So what, none of those places can offer anything like the lifestyle options of a city of ninety thousand. Besides, Galway isn't Dublin commuter belt and was 40% dearer than Limerick until three years ago

Limerick was too cheap for too long, it's fair value today though rent is very high.

Are you absolutely positive you're not confusing the mechanics of market forces coupled with supply and demand considerations with the basic and fundamental principles that govern whether a purchase reflects good value for money?

Just because the property Developers have a captive market of desperate people who feel that they've no choice but to agree to borrow €280,000 + the highest interest payments in Europe, paid back over 25-30 years doesn't mean that this is not an absurd price to get away with charging.

The profit margin on these houses is obscene and they're all being built without properly scaled green areas or any other consideration other than ignorant, greedy profit. Please also remember that the typical Irish Semi-D is not known for generous dimensions, sound-proofing, build quality and any number of other factors.

There's no cause for your cheerleader celebration here......There's certainly no value here either.....

Mad_maxx

Mango Joe wrote: »

Are you absolutely positive you're not confusing the mechanics of market forces coupled with supply and demand considerations with the basic and fundamental principles that govern whether a purchase reflects good value for money?

Just because the property Developers have a captive market of desperate people who feel that they've no choice but to agree to borrow €280,000 + the highest interest payments in Europe, paid back over 25-30 years doesn't mean that this is not an absurd price to get away with charging.

The profit margin on these houses is obscene and they're all being built without properly scaled green areas or any other consideration other than ignorant, greedy profit. Please also remember that the typical Irish Semi-D is not known for generous dimensions, sound-proofing, build quality and any number of other factors.

There's no cause for your cheerleader celebration here......There's certainly no value here either.....

Building standards in Ireland are very high today

styer

House prices in this estate are probably equivalent or slightly higher than the prices of the heights in 2007... Two professional people with a family, child care costs etc... living on Limerick salaries would struggle to buy a 4 bed semi detached house in this location. or if they did, be crippled with high mortgage repayments! again this is not sustainable... I do agree there is a lot of greed here.... there is a reason these houses have been put on hold... they are not selling at these prices...

rebs23

styer wrote: »

House prices in this estate are probably equivalent or slightly higher than the prices of the heights in 2007... Two professional people with a family, child care costs etc... living on Limerick salaries would struggle to buy a 4 bed semi detached house in this location. or if they did, be crippled with high mortgage repayments! again this is not sustainable... I do agree there is a lot of greed here.... there is a reason these houses have been put on hold... they are not selling at these prices...

Unfortunately new houses are very expensive to construct with little profit. If there was profit and there was a market builders would be building a lot more.

bazz26

More stringent lending criteria is more a factor than the cost of construction these days. The difference this time round is that people on average salaries like those who qualified for 100% or 110% 35 year mortgages during the Celtic Tiger, don't fit the new lending criteria now.

rebs23

bazz26 wrote: »

More stringent lending criteria is more a factor than the cost of construction these days. The difference this time round is that people on average salaries like those who qualified for 100% or 110% 35 year mortgages during the Celtic Tiger, don't fit the new lending criteria now.

Bot of both, it is difficult if not impossible to deliver units at the market value that a significant number of people can afford/secure a mortgage for. Situation won't change until there are significant changes to regulatory/taxation costs.

Phileas Frog

Some have obviously sold, because there's one for rent... At quite the saucy asking price.

https://touch.daft.ie/limerick/houses-for-rent/mungret/mungret-gate-mungret-limerick-1951581

juneg

Phileas Frog wrote: »

Some have obviously sold, because there's one for rent... At quite the saucy asking price.

https://touch.daft.ie/limerick/houses-for-rent/mungret/mungret-gate-mungret-limerick-1951581

That's nuts. I'll move out of my own house and rent it out if that's what they're going for in Raheen. Pay the mortgage. Home to Mammy ðŸ˜

boetstark

Iang87 wrote: »

My understanding is they cannot progress until all houses in tranche 1 are sold.

That's just something I heard but it makes sense given the lack of movement.

I must say though I wasn't too taken on the 3 bed houses there for the price they're looking. 4 bed was spectacular to be fair but 3 bed for approx 280 was not.

I know a couple putting deposit on a 4 bed a pulled out before contracts signed due to number of social housing units.

Mad_maxx

boetstark wrote: »

I know a couple putting deposit on a 4 bed a pulled out before contracts signed due to number of social housing units.

This business of having 15% of new estates reserved for social housing is yet another example of PC social engineering.

I'd buy in an old established neighbourhood and spend fifty grand bringing it up to modern spec

FutureGuy

Mad_maxx wrote: »

This business of having 15% of new estates reserved for social housing is yet another example of PC social engineering.

I'd buy in an old established neighbourhood and spend fifty grand bringing it up to modern spec

It’s a minimum of 10%. Of course, may people in these houses are decent folk but there is an element within the list of potential occupants that could turn your dream into a living nightmare and good luck selling up. No wonder people are bailing.

We’ve done the latter although it’s been done up by previous owners.

styer

It seems like that is actually one of the showhouses.. ridiculous rent for a house in raheen.

Phileas Frog wrote: »

Some have obviously sold, because there's one for rent... At quite the saucy asking price.

https://touch.daft.ie/limerick/houses-for-rent/mungret/mungret-gate-mungret-limerick-1951581

Jimbob1977

€2,300 per month is a Greater Dublin rent.

Annualised, that's €27,600.

You'd need a salary of c. €45k gross to even meet the rent!!

Phileas Frog

styer wrote: »

It seems like that is actually one of the showhouses.. ridiculous rent for a house in raheen.

Given the development is still shut off from the road, except for open days, I'd say it's a house that's sold but not finalsised yet. Due to close on the 1st of August, judging by the available date.

The pics are from one of the show houses, but there's no guarantee that's what you're getting.

davo2001

Any update on this, has work recommenced?

toushea

davo2001 wrote: »

Any update on this, has work recommenced?

It was reported last week that the builderes were moved to Carrigaline to complete another estate the developer is building and will return in October.
(Dont hold me to the exact dates , article is now behind a paywall).

moby2101

Chatted to a Limerick based auctioneer last week, he said that there is every possibility that work won’t recommence until next spring, developers don’t have the cash or the willingness to continue putting up houses when the banks won’t extend the developers a bigger line of credit .

masterboy123

I checked on daft.ie

Their advertisement is back on Daft and they are doing an Open Viewing today at 5.30 PM for an hour.

I wonder what they are going to say in the open viewing about the completion date.