Irish Property thread

(Interesting article in today's SCMP Money Magazine):


[b]BARGAINS in Emerald Isle[/b]


Anna Healy looks for signs of recovery in the battered Irish housing market


[i]"After the well-publicised visit of VP Xi Jinping - he was feted in Ireland - the country is positioning itself as a gateway for Chinese money going into Europe."[/i] - Paul Burke, Property investment consultant


Growth is predicted in Irish economy:

In 2011 : was 0.7%

for 2012: 0.5 - 1.0% predicted

for 2013: 2.0%, predicted by the Irish govt.

Corporate tax rate remains at 12.5%, and

[b]Irish 10 year bond[/b] rates have come down

[img]http://img855.imageshack.us/img855/9686/irebond.png[/img] : [url="http://www.bloomberg.com/apps/chart?h=200&w=280&range=1y&type=gp_line&cfg=BQuoteComp_10.xml&ticks=GIGB10YR%3AIND&img=png"]update[/url]


Some signs are there that "prices have gone far enough... after 16 quarters of decline" - P. Burke


Horrible statistics abound:

=======

+ 1/3 of households in negative equity; as are 1/2 of BTL landlords

+ 10 per cent of mortgages are at least 90 days in arrears

+ More than 250,000 new houses stand empty

+ Banks are restricting new lending


A bright spot is Land prices, which began to show signs of recovery in 2011's 2nd half


But it is hard to get statistics, and so many people have to rely on Auction data


Example: House sold in 2007 at Eur 150,000 was sold at auction at Eur 44,000

Allsop's next auction with be July 6th, and bidding is online.

(Of 200 properties, less than 1/2 dozen failed to sell last time)

Allsop website: xx


RENTAL Yields:

Dublin prime : 6.2 percent, up over 1% from last year

City centre- : 7.5 percent

(There are a high number of Chinese students in Ireland)

Fina comment : "Don't expect a fast turnaround."

The country is finished. Only look at places in good areas of central Dublin - ie post codes with low, even numbers. Otherwise, forget it.

Less "finished" than London will look in 2-3 years, I reckon

Im going there for a month this summer. Cant wait!

Rentals houses all over Ireland are quite full this summer. and it's not cheap.

So, the tourism industry/rental homes, could be a good investment as they have professional companies that do a good job renting out vacation homes.

but, wouldnt investing in the euro be quite silly at the moment ?

Irish House Prices Rise For First Month In 5 Years Rate


[img]http://static.guim.co.uk/sys-images/Business/Pix/pictures/2012/6/25/1340630382845/Dublin-property-008.jpg[/img]

An art installation on Dublin's Liffey river.

House prices rose for the third successive month in the capital in May


http://www.guardian.co.uk/business/2012/jun/25/irish-house-prices-first-monthly-rise


"Spring bounce or a sign that the end of the Irish crash is near?"