Note Bene to NAMA valuation "experts"

[Edo]

This "development" is just down the road from me

15 houses for €1m - one's a mansion - The Irish Times - Thu, Aug 27, 2009


Unbelievable - so there were 14 housing units for sale at an average of 450,000 - that makes approx 6.3 million.

Now all 14 units - none of which were sold, plus the 14 bed mansion and 47 acres with private fishing on the Barrow are for sale for 1 million - they'll probably accept a bid of between 750.000 and 850.000.

Im not that good at maths - but lets say the whole package was worth, conservatively speaking, 8 to 8.5 million a couple of years ago.

8 million to 1 million - thats not a haircut - thats a decapitation - and this one of several tens of thousands of these idiotic developments up and down the country.

Lucey and Rabo are right - 60% plus falls in the value of property in the real world - "long term economic value" depends on the rest of the economy releasing itself from the shackles of our landlord class and their massive gambles - NAMA is not the way to do this.

[jpc]

Theres a bit of value there I'm thinking.

[cactusflower]

Agreed but there's already a thread on this.

[Edo]

Theres a bit of value there I'm thinking.

Yer dead right - but this is what should happen in a "Free Market" - supply and demand - prices fall until they can attract buyers back in and sellers and their backers take the loss and learn their lessons.

NAMA is simply going to put this necessary bout of financial blood letting on hold and jerry rig the whole market to some notional "long term" bolloxology.

[jpc]

Yer dead right - but this is what should happen in a "Free Market" - supply and demand - prices fall until they can attract buyers back in and sellers and their backers take the loss and learn their lessons.

NAMA is simply going to put this necessary bout of financial blood letting on hold and jerry rig the whole market to some notional "long term" bolloxology.

"Green shoots" spring from the ashes.
But not with this crew.

[Eorna]

This "development" is just down the road from me

15 houses for €1m - one's a mansion - The Irish Times - Thu, Aug 27, 2009


Unbelievable - so there were 14 housing units for sale at an average of 450,000 - that makes approx 6.3 million.

Now all 14 units - none of which were sold, plus the 14 bed mansion and 47 acres with private fishing on the Barrow are for sale for 1 million - they'll probably accept a bid of between 750.000 and 850.000.

Im not that good at maths - but lets say the whole package was worth, conservatively speaking, 8 to 8.5 million a couple of years ago.

8 million to 1 million - thats not a haircut - thats a decapitation - and this one of several tens of thousands of these idiotic developments up and down the country.

Lucey and Rabo are right - 60% plus falls in the value of property in the real world - "long term economic value" depends on the rest of the economy releasing itself from the shackles of our landlord class and their massive gambles - NAMA is not the way to do this.

The land would be worth at least 10,000 an acre for farming, so in total it is about 470K-500K for the land and 500k for a mansion and 14 houses.

It reminds me of a farm sold recently in Kilkenny for 5.5 million(10k an acre), it is 550 acres and has a large 16 bed period home (. Basically a very big gentry house, in good nick was given away for free with a farm.

[JohnCallaghanWill]

The land would be worth at least 10,000 an acre for farming, so in total it is about 470K-500K for the land and 500k for a mansion and 14 houses.

It reminds me of a farm sold recently in Kilkenny for 5.5 million(10k an acre), it is 550 acres and has a large 16 bed period home (circa 4-5000 SQ FT.). Basically a very big gentry house, in good nick was given away for free with a farm.

Grain is making less than €100 a tonne with yields of just over 3 tonne per acre.

[Edo]

Agreed but there's already a thread on this.

Oops - could one of the nice mods do the necessary for me and merge this with the other thread - cheers

[jpc]

The land would be worth at least 10,000 an acre for farming, so in total it is about 470K-500K for the land and 500k for a mansion and 14 houses.

It reminds me of a farm sold recently in Kilkenny for 5.5 million(10k an acre), it is 550 acres and has a large 16 bed period home (circa 4-5000 SQ FT.). Basically a very big gentry house, in good nick was given away for free with a farm.

Farmland prices have collapsed.
Price of agri products has sunk.
A lot of the 10k acre was based on the proceeds of land for houses.
Not the health of commodity prices.
Top land in France fetches 2800 k an acre approx.
Farmers are carrying 5 billion in debts.

[Eorna]

Grain is making less than €100 a tonne with yields of just over 3 tonne per acre.

Sorry I meant at auction prices.