Galway builder slashs prices

[COMMIE]

A Galway builder slashs price in effort to sell stock. How long will the rest keep the price over inflated? The boom has bust!

http://www.Galwaynews.ie

[HanleyS]

It's hardly news. These price cuts still do not represent good value.

[rockyracoon]

They talk about discounting the price by €70k but what was the asking price before this? I suppose the locals know this. Tbh, this doesn't sound like desperation on the builder's part but more like a selling gimmick. And what was the price in 2003 that they are touting?

[Rebel CNC]

I'd agree with HanleyS - if this builder is openly advertising €70k reductions now, he'll probably accept a €90k-€100k reduction in a month or so.

There are developers/builders up and down the country sitting on huge undeveloped landbanks for which they paid way over the odds. The banks are now demanding repayment schedules as they themselves need the money ASAP.

As Owen O' Callaghan said yesterday - "there will be blood".

[COMMIE]

The average price for a house nationaly in 2003 was 222,600 euros. A price that is still a rip off in a falling economy, were people are in faer for there jobs.

[bluemajor]

hopefully nobody was stupid enough to buy one of these discounted houses, they could be in negative equity in a few months

[odie1kanobe]

They talk about discounting the price by €70k but what was the asking price before this? I suppose the locals know this. Tbh, this doesn't sound like desperation on the builder's part but more like a selling gimmick. And what was the price in 2003 that they are touting?

I agree as if before he started building he figured getting 200K for them but as market was good he priced at 310k dropping 70k is not a hardship just means profit is less.

[HanleyS]

Ballpark 2001 prices are more realistic seeing as that is when they became detached from reality.

[TheBear]

<Mod>Moved to the Economy forum.</Mod>