Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

New build opinions

Options
  • 11-10-2005 12:02pm
    #1
    Andrew Duffy
    Closed Accounts Posts: 540 ✭✭✭


    I know several estate agents post here, so hopefully they'll reply. I'm considering buying a new build, and I'm worried that the prices are up to 20% higher than the asking prices for similar second-hand properties in the same area. This is a bit more than the 6% stamp duty (as a first-time buyer) and renovation costs associated with buying a second-hand property, and I'm not overly keen on the prospect of being in negative equity from the moment I sign the contract - particularly with 100% finance. (I am aware that you can resell contracts, but with a softening market there's a very real chance of being in negative equity after completion, when it's not a new-build anymore)

    What are peoples opinions on this? I'm in two minds at the moment - I like the idea of the high spec fit out of a new build, but I could fit out a second-hand apartment in a similar fashion - anyone have a quick estimate of the cost of two high-spec bathrooms + a kitchen? A new build will be very easy to purchase, but a good solicitor should make buying a second hand property pretty easy too.


Comments

  • Options
    #2
    MorningStar
    Closed Accounts Posts: 3,031 ✭✭✭MorningStar


    Asking prices are 5%-25% below what the expected prices are on second hand property. With new builds they tend to be closer to what they expect and generally a straight forward asking price.
    You need to check with the real estate agents and ask them a general question of how much more are their actual expected prices. They tend to be honest about when not asked about a specific property.
    What I have read and been told seems to be
    GWD= 5-10%
    Sherryfitz=15-20%
    Gunne=10-20%
    Boyle= 0-5%

    Generally don't trust the asking price. If you can find out actual sale prices you are in the best situation.


  • Options
    #3
    Victor
    Registered Users Posts: 78,392 ✭✭✭✭Victor


    Buying a second-hand house has advantages.

    (a) you know what the neighbourhood is like.
    (b) you get to choose your neighbours.
    (c) any structural problems with the building usually iron themselves out in the first year.
    (d) no more builders driving up and down outside your house finishing the rest of the estate.
    (e) carpets, curtains, paint.
    (f) planted garden.

    You can spend anything you want on kitchens and bathrooms. Its not just the cost of the fittings (€800 WC anyone?) or finishes (marble tile €200/m2) but the huge amount of of cutting, fitting and general complication involved between different trades.
    MorningStar wrote:
    Asking prices are 5%-25% below what the expected prices are on second hand property.
    Its a spread, they quote the lowest figure in the spread, not the centre figure.

    With new developments, they tend to be sold in batches, earlier batches will tend to have lower prices, to test the water, encourage sales and get some cashflow in for the developer.


Advertisement