Government increases credit levels to property market

carlovian

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We have learned nothing.

The supply of houses is way below demand.

What does FG and Eoghan Murphy do. Bring in a first time buyers loan scheme
to boost demand.

https://www.rte.ie/news/enviroment/2018/0122/934974-murphy-housing-loan/

The scheme includes second hand properties as well as new so it wont even
boost supply of new houses.

The problem is Supply, why do government keep boosting Demand ???
 


hammer

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Jaysus it really is terrible trying to assist first time buyers.

Supply is a different problem that needs to be sorted.

Construction starting to boom.
 

Dame_Enda

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I suspect sellers will just add it to their price.

One area where Thatcherism was wrong was the privatisation of council housing. The private sector are not a charity. Humanitarian issues like social housing require a strong government role.

Build-to-lease housing would also provide much needed income for local authorities.
 
Last edited:

carlovian

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Jaysus it really is terrible trying to assist first time buyers.

Supply is a different problem that needs to be sorted.

Construction starting to boom.
In 10 years time, Eoghan Murphy will be in front of a banking tribunal trying
to justify this madness.

And you know this is crazy stuff.
 

Socratus O' Pericles

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Jaysus it really is terrible trying to assist first time buyers.

Supply is a different problem that needs to be sorted.

Construction starting to boom.

Gotta get them house prices up somehow.
 

hammer

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It is a fixed rate mortgage over the life term of the mortgage.

Think outside the box.

Wouldn`t it be fantastic if these type mortgages were available to all ?

Will it put pressure on the commercial banks to bring out a similar product ?
 

carlovian

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Might be something to do with bust developers, bust banks, and no demand from private buyers for many years.
No Demand ???

Seriously ?
 

Spanner Island

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Jaysus it really is terrible trying to assist first time buyers.

Supply is a different problem that needs to be sorted.

Construction starting to boom.
That's the problem right there.

We should be aiming for a steady sustainable sector with gentle peaks and troughs... and it's not like FG haven't had years to sort this.

The eFFing traitors f***ed this country up big time and there is definitely some justification to claims that FG took over in the middle of an absolute sh!t storm... but FFS... this should have been sorted by now... and legislation could do a lot... protect renters more... f*** landlords more... go to war on landbanking and do CPOs at agricultural value for land that has been zoned but where not a brick has been laid...
 

Spanner Island

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Practically no demand 2008-2013

What banks were giving out mortgages ?

Many private buyers knew the story.

Demand picked up again in about 2013 hence the growth in house prices.
Warnings about the current housing/homelessness crisis were loud and clear long before 2013.
 

hammer

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That's the problem right there.

We should be aiming for a steady sustainable sector with gentle peaks and troughs... and it's not like FG haven't had years to sort this.

The eFFing traitors f***ed this country up big time and there is definitely some justification to claims that FG took over in the middle of an absolute sh!t storm... but FFS... this should have been sorted by now... and legislation could do a lot... protect renters more... f*** landlords more... go to war on landbanking and do CPOs at agricultural value for land that has been zoned but where not a brick has been laid...
Most landlords are fantastic. See what you are doing ? Tarnishing them all with the same brush.

What if landlords did the same with tenants ?

PRTB are there. They should better protect tenants and landlords.
 

hammer

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Warnings about the current housing/homelessness crisis were loud and clear long before 2013.
Rubbish.

House prices collapsed 60%+ between 2008-2012

Sure the geniuses were predicting further falls.

What developer builds when prices are falling ?

The answer was clearly very very few.
 

Uganda

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Jaysus it really is terrible trying to assist first time buyers.

Supply is a different problem that needs to be sorted.

Construction starting to boom.
The only real way to assist first time buyers is to make housing cheaper by increasing supply to the point where prices fall.

Anything other than this is simply market interference, and in a phase of under supply, making it easier for one person to buy a house is making it more difficult for someone else.

And if you give every first time house buyer going into an auction an extra, say €5k, just what do you think is going to happen to the price of that house?
 

Spanner Island

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Rubbish.

House prices collapsed 60%+ between 2008-2012

Sure the geniuses were predicting further falls.

What developer builds when prices are falling ?

The answer was clearly very very few.
Nah... not rubbish at all... because I remember thinking WTF are they on about. Property is in the sewer...

But it turns out they were right.

Nor am I referring to the precious 'market'...

The State should have been legislating to protect renters properly for a start and should have aimed at a sustainable rental market while buying up cheap land and ear marking it for affordable housing...

But instead we got f***ing NAMA which was a scam from day 1
 

hammer

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The general concensus over the years was that most people rent for short periods of time until they can afford to buy their own home.

During the austerity years renting became more popular.

Nothing being built, no mortgages available etc.

The PRTB didn`t read the signs.

Absolutely tenants and landlords should be better protected. 100%
 

mr_anderson

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The government (both national and local) needs to stop being the main barrier to the supply issue.

If supply equalled demand, both property prices and rents would be lower (significantly so in terms of rents).

It's not government action that's increasing the price of both, it's government policy.
 


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