Fall in house prices fizzling out.

[Aindriu]

I shall answer the title of the thread thus: Dream on!

[NapperTandy]

The latest monthly report by Permanent TSB/ESRI on house prices in Ireland was published today. This showed that average house prices in Ireland fell by 0.3% in August, the sixth consecutive month in which house prices fell. Since average house prices peaked in February, the falls each month have been as follows:

March -0.6%
April -0.8%
May -0.8%
June -0.5%
July -0.4%
August -0.3%

When houses prices were falling last Spring, there were widespead predictions that the fall would gather momentum and accelerate in Summer and Autumn. But, its clear this isn't happening. The monthly falls are decreasing and August's fall was the lowest yet. It looks like average house prices will bottom out in the next six months at no more than 5% to 7% below their peak before rising again. This is all the more likely as the ECB left interest rates unchanged today, meaning we are now entering the longest period without an interest rate rise for two years. Add on the increase in mortgage interest tax relief promised for the next budget, and it looks like the turning-point will occur early in the new year. In addition, even at the August rate, the monthly falls are now so small that it becomes scarcely worthwhile for people to hold off buying in the hope of the house they're after being massively cheaper in a year's time. For example, if average house prices fell for the next twelve months at the same rate as in August, they'd only be 3% lower next August than they were this August. Indeed, average prices for some categories of houses have allready started to increase again - the most popular type of house, 3-bedroom semi-detached, have now recorded average price increases across the country for two consecutive months, with a cumulative increase of 2% between June and August. Just to complete a bad day for the doom-mongers, the ISEQ rose today for the seventh consecutive day.

04-10-2007

Saturday, February 28, 2009Steep discounts drive house prices down by 9.8%
In this section »
McCarthy plots future role for Ulster Bank despite financial turbulenceMallabraca group concerned at slow response to its offerCourt protection for First Equity extendedLending to private sector higher in JanuaryPrivate sector hit hardest as jobless figures surge 69%Intel to invest €50m in R&D jobs at ShannonCHARLIE TAYLORTHE DECLINE in house prices is accelerating with deepening price cuts in the market as property developers try to clear existing stock, according to the latest Permanent TSB/ESRI house price index.

Average national house prices fell by 1.4 per cent in January. This compares to a 0.9 per cent fall in December. Overall, property prices fell 9.8 per cent in the 12 months to January, increasing from an annualised rate of 9.1 per cent the previous month.

The average price paid for a house nationally in January was €258,006, down from €261,573 in December 2008 and a peak of €311,078 in January 2007.

In Dublin, house prices fell by 1.4 per cent last month alone while there was a 0.6 per cent decline for property bought outside the capital. Over the past year, house prices have declined by 12.4 per cent in Dublin and by 9.9 per cent outside of the city.

The average price paid for a house in the capital in January was €346,274, down from €351,096 in the preceding month. Outside Dublin, property prices fell from €223,984 in December to €222,649 in January.

House prices in the commuter counties around Dublin fell by 0.6 per cent in January to €265,550 from €267,265 in December. For the year, house prices in the commuter belt declined 16.7 per cent, compared with a 16.8 per cent fall in the preceding 12-month period.

First-time buyers experienced a 0.8 per cent dip in house prices for last month to €222,371 from €224,153. Existing homeowners saw prices slipping by 1.9 per cent in January from €296,302 to €290,759.

This article appears in the print edition of the Irish Times

Steep discounts drive house prices down by 9.8% - The Irish Times - Sat, Feb 28, 2009

I think you were a bit premature starting this thread, Freedomlover

[NapperTandy]

I stated months ago on another forum that there was no housing crisis just people wishing for one.

Prices will level out and are still a great investment. so get out there and buy one all you doom and gloom merchants

04-10-2007

Whatever you say, Misty

[wysiwyg]

04-10-2007


Steep discounts drive house prices down by 9.8% - The Irish Times - Sat, Feb 28, 2009

I think you were a bit premature starting this thread, Freedomlover

Freedomlover hasn't been seen since Seanie Fitzpatrick stepped down as Chairman of Anglo Irish...

actually... I wonder .. hmmm

[Evil Eco-Fascist]

Freedomlover hasn't been seen since Seanie Fitzpatrick stepped down as Chairman of Anglo Irish...

actually... I wonder .. hmmm

He hasn't posted since September 24th, 2008, it seems. Clearly had his mammy nagging him to finally take his reality pills.

[NapperTandy]

He hasn't posted since September 24th, 2008, it seems. Clearly had his mammy nagging him to finally take his reality pills.

The very week of the banking crisis.....

[NapperTandy]

Freedomlover hasn't been seen since Seanie Fitzpatrick stepped down as Chairman of Anglo Irish...

actually... I wonder .. hmmm

He stopped posting on Sept 24th 2008!!! hmmm....

[myk]

He hasn't posted since September 24th, 2008, it seems. Clearly had his mammy nagging him to finally take his reality pills.

what about his more articulate friend Ard-Taoiseach!