Daft Report - rents down up to 20%

[toughbutfair]

What are people moaning about. A landlord should rent it out for the most money he can get (although prob not social welfare subsistence) so it is up to the tennants to decide what it is worth.

Landlords do NOT overcharge, they charge what they can get, it is upto tennants to negotiate and play the landlords against each other.

[cantenaccio]

I'm in west Berlin.Or to put an other way I'm in the eastern part of what was West Berlin.I find the East/old DDR is fine coming from Dublin.Even areas that are supposedly dodgy have few social problems,low crime.Mainly old folks living on social welfare.I live in Neukölln,which is a byword for social problems and immigration issues.However,in 6 months I've yet to see anything resembling crime/danger apart from crap 1980s German music in pubs.

[Dios]

Just to pick up on what someone else said about rents dictating sale prices. The correlation is tenuous at best and is certainly not prudent to use a multiplier based on historic rates.

Its not so much based on historic rates as it is based on the international norm. Its the view being put forward by many property market analysts in the US at the moment. Once you get to 8% rental returns, property is good value. 6%, acceptable. Anything less you should just keep looking.

I would imagine that the closer people get to negative equity on their rental property, the tighter the margins will get which may cause the market to plateaux earlier than the economy, regardless of supply.

The market will level off when tenants decide rental rates are acceptable, negative equity has nothing to do with it. There are plenty of landlords out there who purchased rental properties before the boom, and they have no problem undercutting others who are unable to keep up.

[seabhcan]

I'm in west Berlin.Or to put an other way I'm in the eastern part of what was West Berlin.I find the East/old DDR is fine coming from Dublin.Even areas that are supposedly dodgy have few social problems,low crime.Mainly old folks living on social welfare.I live in Neukölln,which is a byword for social problems and immigration issues.However,in 6 months I've yet to see anything resembling crime/danger apart from crap 1980s German music in pubs.

Berlin is a lovely city alright. I prefer the eastern side though. Its more fun.

[Aindriu]

What are people moaning about. A landlord should rent it out for the most money he can get (although prob not social welfare subsistence) so it is up to the tennants to decide what it is worth.

Landlords do NOT overcharge, they charge what they can get, it is upto tennants to negotiate and play the landlords against each other.

It is this sort of gombeen mentality that caused the bust in the first place FFS!

Rents should be FAIR! Landlords should not rent for what they can get. This is exactly why we need rent controls in ths country NOW!

[Executive Steve]

What are people moaning about. A landlord should rent it out for the most money he can get (although prob not social welfare subsistence) so it is up to the tennants to decide what it is worth.

Landlords do NOT overcharge, they charge what they can get, it is upto tennants to negotiate and play the landlords against each other.

I hear you're a landlord now, Father?

[Hazlitt]

Thats not how it works, supply is now far outstripping demand. Where a landlord refuses to drop rents the tenants simply move somewhere else for less rent. The way the renting market is going at present many people are finding themselves able to get better rental property for less and so it continues. A landlord is far better off getting some percentage of his mortages repayments than none at all.

Dead right there Kevin.

Incidentally, an article in todays Times just reaffirming that: Landlords forced to compete for student tenants - The Irish Times - Fri, Aug 21, 2009

Landlords are competing 'fiercely' for student tenants....

[Partizan]

There will be further big reductions in rents at the end of the year, another 20% off. I'm hanging on, then making my move. If NAMA gets shot down, many landlords will panic. It will be a bloodbath.

[toughbutfair]

I hear you're a landlord now, Father?

Neither a landlord nor a father

What the hell are you on about?