Skip to main content

Recession Wipes €72,250 Off Homes...

Recession wipes €72,250 off value of the average home...


HOUSE prices plunged another 1pc in July, bringing the total wiped off the value of the average home since the height of the property market to €72,250.

New figures show house prices fell by 1.1pc in July, bringing the drop over the previous 12 months to 12.5pc.

The annual fall in prices in June was 11.7pc. The average price for a house nationally in July was €238,828, compared with €311,078 in February 2007, when property prices peaked.

Prices are now down 24pc since February 2007, according to the Permanent TSB/ESRI house price index.

Permanent TSB's Niall O'Grady admitted that the property market had remained sluggish throughout the summer, with low levels of activity.

He said that despite lower interest rates and improved affordability, consumer confidence needed to pick up before there could be any increase in activity.

"It will definitely be a buyers' market for the coming months."

Permanent TSB admitted that the property price figures may not capture recent price falls as the house price index is based on information gathered from mortgage drawdowns.

It may take three months or more between the time a house sale price is agreed and when the mortgage is drawn down.

The index shows much sharper price falls in Dublin than the rest of the country.

Prices in Dublin dropped by 2.2pc in July, having fallen by 17.1pc in the 12 months to July. The average price for a house in the capital is €312,822, down from €351,096 last December.

Outside of Dublin the fall was 1.2pc, and 11.1pc in the past year. Houses outside the capital cost an average of €209,484, compared with €223,984 a year ago.

Buyers

House prices for first-time buyers dropped by almost 1pc in July, and are now down by 19pc in a year. The average price paid by a first-time buyer is now €198,411, down from €224,153 in December last year.

Second-time buyers saw prices fall by 1.1pc in July, which takes the prices of these properties down almost 10pc in a year.

Prices for second-hand houses now average €275,894, compared with €296,302 in December last year.



Report by Charlie Weston - Irish Independent.

Popular posts from this blog

Ireland's Celtic Tiger Excesses...

'Bang twins' may never get to run a business again... POST-boom Ireland is awash with cautionary tales of Celtic Tiger excesses, as a rattle around the carcasses of fallen property developers and entrepreneurs will show. Few can compete with the so-called Bang twins for youth, glamour and tasteful extravagance. Simon and Christian Stokes, the 35-year-old identical twins behind Bang Cafe and exclusive private members club, Residence, saw their entire business go bust with debts of €9m, €3m of which is owed to the tax man. The debt may be in the ha'penny place compared with the eye-watering billions owed by some of their former customers. But their fall has been arguably steeper and more damning than some of the country's richest tycoons. Last week, further humiliation was heaped on them with revelations that even as their businesses were going under, the twins spent €146,000 of company money in 18 months on designer shopping sprees, five star holidays and sumptu...

Property Tycoon's Dolce Vita Ends...

Tycoon's dolce vita ends as art seized... THE Dublin city sheriff has seized an art collection and other valuables from the Ailesbury Road home of fallen property developer Bernard McNamara. The collection will be sold to help pay his debts. The sheriff, Brendan Walsh, is believed to have moved against the property developer within the past fortnight, calling to his salubrious Dublin 4 home acting on a court order to seize anything of value from his home to reimburse his creditors. The sheriff is believed to have taken paintings from the family home along with a small number of other items. The development marks a new low for Mr McNamara, once one of Ireland's richest men but who now owes €1.5bn . The property developer and former county councillor from Clare turned the building firm founded by his father Michael into one of the biggest in Ireland. He is the highest-profile former tycoon to date to be targeted by bailiffs, signalling just how far some of Ireland's billionai...

More Allsop Fire Sales...

Allsop plans five fire sales a year... THE UK auction house Allsop and its Irish affiliate Space plans to hold up to five distressed property auctions a year following the success of its first auction last Friday when 81 out of 82 lots were sold for a total of €15 million. The next auction is scheduled for July 7th, when 200 lots will be auctioned, including apartments, tenanted shops, farms and houses. According to Space director Stephen McCarthy, his company is being inundated with requests from receivers, banks and individuals who want to sell their property fast. Many of the properties in Friday’s auction were sold by Bank of Scotland Ireland and it’s believe there is plenty more of this stock to sell. These include apartments in the Castleforbes development in the Dublin docklands, as well as units in Dublin 8 and in Castleknock. However, the agency is also considering taking on more agricultural land. One lot, a 55 acre farm in Co Wickow sold particularly well, making €42...