Softening house market?

logic doesnt come into this at all, when you re desperate to purchase, you re desperate, and will do anything to achieve this, the new cb rule was always ridiculous, once again proving, our central banks are lost in regards these issues, and absolutely nothing was learned from the previous boom bust cycle!

I agree with the sentiment, but the vast majority of people are paying rent that would be equivalent to a mortgage of wayyy more than 4x income.

I know it’s not that simple and they aren’t comparable. But that is the math most renters will do in their head when considering their own affordability.

Irrelevant.

Would you more likely give me a long term personal loan for 500k for me to buy something if I am currently renting that thing short term but paying more than what my repayments to you would be?

Ok. Fair enough. I did get the wrong end of the stick. Apologies.

Yeah Central bankers all out downplaying the pivot talk that has made the markets rally since the last CPI data. Personally I think its all talk and Yeah they will go higher until something serious breaks then all bets are off as I really then when the **** hits the fan they will pivot just as quick as they did during covid regardless of inflation.

You could have written this post every year for the past 6 years.

It's clear as day that government policy is to keep house prices where they are. Not once have they ever said that house prices are too high. Its all about "affordability"... careful choice of words.

They'd rather throw ever increasing grants at first time buyers rather than see property prices moderate. A (failing) attempt at keeping as many people happy as they can I suppose.

External factors might pull down Irish property prices, but we can be sure this government will push hard the opposite direction if that happens.

You couldn't make it up - rising interest rates threatened to calm the market, so they relax lending rules.

It has to turn at some point though - whats going on isn't sustainable... and unfortunately the longer this goes on the bigger the fallout when it inevitably ends in tears.

This is a good question, and it’s one that doesn’t arise as often as it should.

I’m not aware of statistics, but I would wager that there are thousands upon thousands of adults in their late 20s, 30s or even 40s who are essentially stuck in life despite being in employment. I personally know people in their 40s who are house-sharing or living with their parents. In that situation, one cannot settle down, marry or have children, even if they wanted to.

What is the toll of this?  Obviously, this is creating a mental health disaster, but there is also the demographic element.  The people whom I mention above are not “young” people. Rather, they are adults who only a few years ago would have been having children and raising the next generation.  Thus it may be assumed that native birth rates are falling, hence the state’s gusto for immigration. 

I too have wondered what the long-term fate of this lost generation will be, and let us not pretend that this is not what we have. Certainly, many of the younger generation will manage to own their own home, but an enormous proportion will not. If I’m honest, I think that their plight will simply be added the already immense human cost of the globalist/neo-liberal economic model.

Duplicate.

Actually there were some views expressed on the thread a few weeks or months ago that the Irish banks wouldn't raise rates in response to rises in the wholesale market because they didn't need to as they had so much deposits sitting there. It obviously didn't make sense, but it was claimed.

I remember because I tried arguing with them over it at the time