Irish Property Market chat II - *read mod note post #1 before posting*

It's not as black and white as that. You might start off with 3.5 times 90k but the banks will chip away at that for various reasons such as children, childcare costs etc

I think a country is judged by the debt it has versus the gdp, its economy in general, can it pay x amount per year, can it pay the interest on debt. Can it build new infrastructure, new roads etc what's the rate of inflation, if the debt ratio versus tax revenue gets too large it finds it hard to borrow or it becomes more expensive to borrow Currently turkey is heading for a financial crisis, because the falling value of the Turkish currency is causing hyperinflation basic goods like bread food petrol are rising in cost its heading for a 1970s type inflation crisis the government policy towards inflation interest rates does not make any sense a few years ago it had a booming ecomony with a good export sector since we are in the euro zone we are protected to some extent and the general government inancial policy's are not radical I read in general its OK to borrow to build new houses roads railways infrastructure projects that help the economy grow

Daft reporting today that asking prices are up 8% in 2021 versus 2020. Logically one would think that COVID has been an exceptional time with extreme demand pressure and little supply that when restrictions finally end prices will decline a bit, but who knows. The government seem to be enjoying the paper based prosperity and it is fully in the government's control to quench the housing market fire to some extent at least. It's very short sighted though when we have thousands of MNC workers still out of the country who might have a decision to make soon on returning to work here - the decision will be made for them with the crazy housing situation.

To hell or to Connaught. Cromwellian policies are back

Hats off to the good landlords out there. Shame the government is hounding them out of the sector.

I was reading that and it reminder me of a friend who I always thought was a kind hearted soul.

He used to tell his tenant that he could have December rent free at the beginning of December for about 5 years. Hes been trying to get that tenant to leave now for over 3 years and the arrears dwarf even the amount he let them off rent over the years. It all turned sour when he decided he wanted to get out of the property business and sell up. Says hes sorry he ever helped out the #@#%# now :)

They would be paying the same tax if not substantially more if income over 100k and proposed regulation would make it harder to remove problematic tenants.

I have heard of more and more people the last few months essentially having relocated permanently out of Ireland between Indeed, Oracle, Microsoft in particular. I think we have potentially looked the MNC job gift horse in the mouth by letting housing costs runaway since 2016 and have essentially made the place unattractive for younger people to move over and rent here. When the pandemic eases the dust will settle and we'll see how stable our jobs market, so heavily dependent on MNC job activity, actually is. It's darkest just before the dawn I would say and for those desperate to buy, a year and a half ago you were told to hold off and probably feel silly now with people telling you you should've listened to them and only seeing prices continue to climb. But it is an extreme situation in the housing market and definitely not sustainable so hang in there and be patient of you can (note: if you can).

If people are getting cost of living increases based on CPI then property prices will continue to rise because they will be able to borrow more. The likelihood of prices dropping is very remote unless their is large scale emigration or major job looses.

There’s no way to tell really, bank of mum and dad may be scared off with a stock market correction depleting their pension investments courtesy of Chinese developers. Councils might stop buying up second hand stock. Investors might have filled their boots or might focus more heavily towards property if other investments don’t give them the returns they want, the government can easily influence this, one way or another.

LTI rules were keeping a lid on prices in 2018/2019, I’d take 2019 and add an average of the extra savings from covid and salary increments which have been very strong in some sectors and try and work out where we might have been without the council and investors.... I’d say we’ve overshot by 5-10% since 2020 as the above price should be lowered to compensate for the sectors that haven’t done so well. Also the buyers with money and a real housing need would have thrown it into a bidding war in desperation already.

No the only change was that if they didn’t use quota it could be rolled forward to next year in addition to the normal quota

Nothing can be done at this stage. Horse is long gone.

Any legislation towards making housing more appealing for investment will kill us all.

Policy after policy has led us up this hill. They're on thin ice in regards to what they can do now.

The tax take on small landlords is ridiculous. its like the government. wants to drive out the small landlord and leave the rental sector in the hands of vulture funds who will just raise the rent every year if they can .the government should be giving more money to charitys and councils to build houses 2 and 3 bed units. this might reduce the average rent in most areas