Policies for Falling Property Prices

[mountainyman]

what policies should be used to manage a falling property market.


My own impulse would be to encourage a rapid fall and thus a rapid recovery. A long period of stagnation would be a disaster.

I believe a land tax should be introduced to prevent 'hoarding' of land while people wait for it to reach its 'real' value again.

stamp duty has to go.


Anything else?

MM

[GÓM]

agree on principle of a property tax. Much of which should be levied at the local level and set within a band by the local council... This would allow for high demand areas such as the Greater Dublin Area and low demand areas like (god knows where)

[JCSkinner]

Let em fall, I say.

[zakalwe]

i agree with the scrapping of stamp.

i'd be in favour with some form of introduction of a property tax, levied on size of the dwelling rather than its value. only if other taxes and levies are guaranteed to fall (i.e. waste charges go back to being paid from public purse etc)

[mountainyman]

property tax, levied on size of the dwelling rather than its value.

Why not on value?

mm

[blindjustice]

Some change preventing over a quarter of a million homes to be left idle (not even rented out) ever happening again

[Sidewinder]

Why not on value?

Because it's subjective, unmeasurable, prone to fluctuations and bubbles and likely to be falling for the next 5-7 years

Basing it on the square meterage of the entire property, and depending on the class (apartment, terrace, semi-d, detached, commercial) is transparent, measurable, objective and easily tweaked to encourage certain types of building in the future (once we have a shortage of units again, which could be a long time). Such taxes should go to local government.

Taxes on idle/vacant properties, urban sites, and zoned land not developed; and some way to stop windfall gains from rezoning.

German-style tenants rights and a properly regulated professional rental sector.

Basically remove everything which encourages speculation in residential property and land as a get-rich-quick scheme, and force the specuvestors to make their money in more useful and productive and less destabilising ways. People's homes should not be a speculative market, ever.

[Miriam Cotton]

And something to deal with property speculators who snatch up so-called affordable housing. In Clonakilty during the last few weeks (no doubt a pre-election ploy to make people think something is being done locally), just six houses on one new estate (hundreds have been built over the last few years in and near the town centre) were offered at reduced prices. People on waiting lists for these affordable housing were all mailed and apparently there were over forty applications to the council. I just discovered yesterday that a well off builder turned up at the site in recent days and has secured two of them - one each for his two daughters, he said. So, all of these people had filled out forms and duly posted them off hoping that they would be one of the lucky ones and the whole thing was corrupted in the usual way. All he has to do is to sit on them for ten years while they appreciate in value - he probably wont even bother to rent them out. Many houses around Clonakilty are empty and it is common practice to abuse the law by saying the house is for a family member. In one case I know of, the daughter in question is actually living in Australia - and the house has never been lived in since it was built four years ago. It's happening all over the country. Public spaces and the countryside are being destroyed for ever so that wealthy people can find somewhere to park their money - and keeping the property market artifically high in the process. And meanwhile people are killing themselves to pay off mortgages and pay rack rents just to keep a roof over their heads. The whole thing is wildly out of control.

It was the same story on Sherkin Island near Baltimore when a bunch of affordable houses were built there. At least two wealthy property owners bought houses that were intended for lower income earners. Renters must pay cash only - often without a contract. If you query that arrangement because you want to claim the tax you are entitled to, you will be told within a short space of time that the house is wanted for a family member and will have to move. The recent legislation hasn't changed anything for many people.

[Eddiepops]

i agree with the scrapping of stamp.

i'd be in favour with some form of introduction of a property tax, levied on size of the dwelling rather than its value. only if other taxes and levies are guaranteed to fall (i.e. waste charges go back to being paid from public purse etc)

To the best of my knowledge, that is the Green Party's policy, with property taxes (excluding primary residences) replacing commercial rates, which are a serious burden on SMEs in my opinion.

[publicrealm]

It was the same story on Sherkin Island near Baltimore when a bunch of affordable houses were built there. At least two wealthy property owners bought houses that were intended for lower income earners. Renters must pay cash only - often without a contract. If you query that arrangement because you want to claim the tax you are entitled to, you will be told within a short space of time that the house is wanted for a family member and will have to move. The recent legislation hasn't changed anything for many people.

Miriam,

What houses on Skerkin Island do you refer to?

I am aware of a number which are rented very properly, at low rates, through bank standing orders and long term?

I am not aware of the ones you refer to. Can you back up your statement or identify the houses or the period when they were built?

Just wondering.