Read more: British bank's sell off of Irish property - Ireland's first distress property auction
A fire sale of properties owned by banks will take place in Dublin on April 15th and already there are shock waves over the prices being asked.
The sale is put together by Dublin real estate company Space and their British counterpart Allsops who specialise in distressed properties.
The 80 properties featured are in Dublin, Cork, Limerick, Galway and Portlaoise.
In Portlaoise a house is being offered for $50,000 while a house on the same block currently has an asking price of $220,000
In Dublin a penthouse apartment in a desirable area is being offered at $180,000 while a ground floor apartment in the same complex is being offered at $360,000
In another Dublin neighborhood a 4 bedroom house near a golf course is being offered for $500,000 while a three bedroom nearby is still on sale at $1.3 million.
A studio apartment in Temple Bar , Dublin’s Greenwich Village is going for $100,000 while one in the same building is currently being offered for $190,000.
The selling agents say the sale will reflect a floor or bottom price in the Irish market and as such will provide a a valuable service for properly valuing other properties.
Read more: British bank's sell off of Irish property - Ireland's first distress property auction
24 Comments
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Switch to the desktop site to post a comment.headlocal | Mar 19, 2011, 12:42 AM EDT
In the stock market, there is a saying "DON'T TRY TO CATCH A FALLING KNIFE". Same goes for real property. Wait for the bounce.
sirpeter | Mar 08, 2011, 02:13 PM EST
LoyalCitizen..OK..Irish Statute Book..Will do..Cheers!!
LoyalCitizen | Mar 07, 2011, 05:37 AM EST
@sirpeter: Irish Central does not allow links. But you can google "Irish Statute Book", which will bring you to the Irish Attorney Generals website.
sirpeter | Mar 06, 2011, 07:44 PM EST
LoyalCitizen..do you have a link handy to SI272/273 of 1996 and SI 108 of 1998? Please. Can't find them
LoyalCitizen | Mar 06, 2011, 03:36 PM EST
@sirpeter: Yes...Bail laws are something that most people would not think twice about...You also need to read SI272/273 of 1996 and SI 108 of 1998 which goes along way to explain a different agenda. Amendment 16 made it look like we made a conscious wilful choice, which was clearly a charade.
sirpeter | Mar 06, 2011, 03:31 PM EST
LoyalCitizen...The Sixteenth Amendment of the Constitution of Ireland provided that a court could refuse bail to a suspect where it feared that while at liberty they would commit a serious criminal offence. Is this what you mean?
LoyalCitizen | Mar 05, 2011, 06:45 PM EST
@Searlit: The Irish People voted in the use of opinions into Irish Law in 1996 on Amendment 16 to the Irish Constitution. Using opinions in law denies people protection by law. Protection by law is pivotal to protecting their rights. No protection by law no rights. The Irish People gave up their rights in 1996.
sirpeter | Mar 05, 2011, 06:01 PM EST
JBRAFTREE..you said it!!..To buy money is always going to cost you..Debt free IS the only way to live.
sirpeter | Mar 05, 2011, 05:56 PM EST
seagreen..Real estate agents will always say now is the time to buy..you are right.
Searlit | Mar 05, 2011, 01:58 PM EST
LoyalCitizen, what was the opinion that made it so Irish people have no right to buy their own home?
JBRAFTREE | Mar 05, 2011, 11:08 AM EST
Final remark: CASH ALWAYS WORKS>
seagreen | Mar 05, 2011, 08:29 AM EST
Real estate agents are creating a false bottom, which is clever on their part..Prices are going to fall much lower. Irish property prices were outrageously inflated, almost as if to say, "lets charge this much" The prices will reduce to correspond to the economy like everywhere else. There will be internationals that will buy up some properties at high prices for whatever reasons, but for the most part, reality has set in, even for the realtors.
sirpeter | Mar 05, 2011, 07:58 AM EST
JBRAFTREE..I did say. I would say about 5 years time for BEST value. The best indicator of the economy is always the banks. A couple things to watch..The stabilizing of emigration indicates the economy is on the turn. Go online and take notes of how fast property is selling or not selling in the area you want to buy.3 bedroomed Semi-detached houses are the best indicator,because that's what most people buy. Takes notes and watch,you will devolope a sixth sense. Watch the average percentage of take home pay in Ireland needed to service a 3 bedroomed Semi-detached house. Tried to stop a few guys from buying when the banks started giving out 100% mortgages. Told them that was a sure indication of a burst soon. Told them inflation followed by deflation..Oldest trick in the book to own your ass. Tied to a loan, but the bank owns your house. They are servicing a loan for a house that is now worth 60% of it's value. Rule number one..You NEVER get a good deal from a bank..Rule number two..Your friendly bank manager is NOT your friend. Every €100 you save NOW is increasing in value..So save..save...save..No matter how small the amount..Each Euro is a little bit of your ass the bank don't own. A holiday in the sun is not worth an enslaved chunk of your ass.
JBRAFTREE | Mar 04, 2011, 05:11 PM EST
Sirpeter, Did say would invest, didn't say when!
ladyBoru | Mar 04, 2011, 03:57 PM EST
I agree--not much of a sale in my book. I agree with errieshark--in Florida we are selling houses for next to nothing. In a depressed economy--how do the banks think they are going to get people to spend that kind of money. I guess there are always the people that have and then there are the have nots like me.
LoyalCitizen | Mar 04, 2011, 02:37 PM EST
For you across the pond who feel like rushing to Ireland and buying these properties, be aware. The Irish People gave up their right to buy a home by allowing the use of opinions in law since 1996. Irish People pay horrendous prices for home, they just have no legal context to own them.
CitizenWhy | Mar 04, 2011, 12:19 PM EST
At one time, in the US (80s), real estate developers had to put up 25% of their own capital before being able to borrow the money to finance a project. Then we became "business-friendly" and dropped this requirement. At first the Mafia borrowed 100% from the banks on huge projects, declared bankruptcy, kept the money they borrowed, and defaulted. Undaunted, the banks kept lending, lending, lending, each period more frantic and reckless. ... In the future Ireland should require 25-50% of his own capital from a developer before any loan can be approved. This will prevent basing the core of the Irish economy on real estate and bank real estate loans.
FastEddy | Mar 04, 2011, 12:17 PM EST
So now, with "blood in the streets", it is time to buy.
sirpeter | Mar 04, 2011, 11:41 AM EST
82% say yes they would invest..Just goes to show what people know about the rise and fall of property. Free advice..It will be 4 years before prices hit rock bottom..House prices will stabilize then. Watch the banks..They will be slow to give out house loans for along time to come..Unless you are a dead cert to service the loan. Start saving regular as much as you can now..Because that is your saving record and that's what the banks will go on. Expect to fork out 20% up front for the price of the property.If you need a loan for the rest. Best time to buy!! 5 years time= Best value.The steep decline is just the suckers who brought in the last 5 years and have to sell.Don't say you haven't been warned.
sirpeter | Mar 04, 2011, 11:18 AM EST
Is IrishCentral in the property market or what. Fire sale!! hardly. Property coming down to realist prices. Differences in the same property is only caused by those who are forced to sell and those who aren't forced to sell yet.
CitizenWhy | Mar 04, 2011, 10:07 AM EST
They will get the best prices compared to future auctions.
hunter933 | Mar 04, 2011, 09:25 AM EST
and they'll be lucky if they get those prices!
erieshark | Mar 04, 2011, 09:15 AM EST
Does not sound like a real fire sale, more like what these properties are really worth - at least by US standards. A studio apartment at $100,000 and 4 bedroom house at $500,000 is NOT a fire sale. Want a fire sale? Visit any urban area of the US and prices have dropped to under $50,000, houses in Florida are selling for $60,000. Sounds more like that market is correcting itself.
LoyalCitizen | Mar 04, 2011, 09:04 AM EST
And yet it will still get worse.