Letter from DLR

Hey all,

I got a letter from the Dun Laoghaire Rathdown AH department on Friday saying they have the following properties for sale:

1) The Grange, Stillorgan: 230K for 1 bed, 305K for 2 bed
2) Wyckham Point, Dundrum: 200K for 1 bed, from 260K for 2 bed and 350K for 3 bed
3) The Belfry, Stepaside: 185K for 1 bed, 265K for 2 bed and from 300K for 3 bed.
4) Belville, Cabinteely: 200k for 1 bed and from 270K for 2 bed

The letter states that I should reconfirm my interest in teh scheme by the 8th Oct. I need to include copy of loan approval, playslips, P60, etc.

Failure to respond to the letter by 8th Oct "will be taken as indication that you are not interested and you will not be contacted again in relation to any future properties for sale under the AH scheme".

This seems a bit harsh and drastic. Also the time limit to get approval in principle is a bit short.

Did everyone get on the DLR list get this letter or was it just a select few?

I'm wondering if it's worth responding to the letter and gettin loan approval?
Or will it be the case that these properties will be available at the prices above for private sales in a few months, with the market going the way it is?

Well thats really a sign of the times, 4 developments being offered in one go! I've been offered some affordable units from DLR over last while but they're clearly having trouble shifting them so are now giving purchases more options.

They must be feeling the pressure, giving you deadlines, they're playing against time here as, as you said, there's a good chance open market value will reach those affordable prices down the line, then the council are left with all that money paid to developers and units they can't shift cos why would you sign up for not so attractive affordable housing conditions!

Its really interesting to see how its changing, keep us posted, prices haven't changed though!

Hi TheBigD,

I'm actually buying in wyckham point but I'm paying 285,000 for a 2 bed. I wonder why there is such a difference in price...

Get your loan approval in principle anyway, it only takes them a few mins to accept or reject your application in the bank..... When i got offered my house i rang them and said what happens if im late getting the stuff into them and they said just ring us on the final day if you've not sent anything and we can extend it by a few days for you - that was with DCC

do you mind me asking when you applied to DLRCOCO?

I am buying in parkview & they said 2 wks. but to be honest no rush. Viewed apts last Feb still waiting to get keys, If they are having trouble shifting them, well looks like you can take your time and pick whichever suits you the best.

You have nothing to lose by getting your AIP. If you ring the council and let them know you're interested they will be fine about the delay in getting things processed. They know it takes time but have to put deadlines on things to get people moving.

Monos I don't totally agree about prices coming down that far. I've decided to proceed and buy in Parkview. I do think there's a chance that eventually prices there could be in line with affordable prices, but I can't imagine ever getting an apt on the Stillorgan rd or in Dundrum for €260k. I guess it could happen - but if it does will people still be able to get the same mortgages? I was offered siginificantly less recently by the banks than I was 6 months ago. Also, if prices do fall that low you can remortgage, pay the clawback (which would then be nil) and own your apt outright anyway.

You've also got to consider that in two years time if prices had come right down you'd have spent maybe 25k on rent, interest rates might be higher. It's all speculation. I don't think buying in Dun Laoghaire Rathdown on Affordable is that risky. I wouldn't buy affordable anywhere else though because I don't think it represents value for money.

Someone asked about price differences in Wyckham Point - there are three different sizes available and the prices are 260k, 275k, 285k. I heard someone buying there on AH say their small apt (60sqm) was worth 450k. I viewed a show apt (73sqm) last week and was told they'd be launching at 420k. Another case of things being grossly overvalued by the council?

You do have to look before you leap. Do lots of research, consider all the variables and make an informed decision.

TheBigD said:

Hey all,

This seems a bit harsh and drastic. Also the time limit to get approval in principle is a bit short.

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It's not harsh or drastic. They're only asking you to confirm your interest by that date, they couldn't leave it open-ended . I got a similar letter at the beginning of my process, needed more time to get things together and there was no problem.

If you have concerns ring the council or go and speak to them face to face. They are actually very helpful. If you decide to proceed do question market values and keep an eye on what prices new private apts are selling at.

i too got this letter, its a standard letter because i only sent in my mortgage in principal 4 weeks ago with all my updated details,
i think see the council offer anything to soon,

anyway i cant afford 260k, could 1 year ago but with the big R the bank only giving me 220k!!


Monday Millions is my only luck

dshakey said:

anyway i cant afford 260k, could 1 year ago but with the big R the bank only giving me 220k!!

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I think that's happening to lots of people and is one reason why they council are having trouble selling them. Did you shop around for the mortgage. The most I could get from EBS, BOI was €215k. I finally got €257k from First Active.

If you had family who could help with €10k you could get Parkview for €230k??

anyway i cant afford 260k, could 1 year ago but with the big R the bank only giving me 220k!!

Try Haven....BOI have clamped down big-time....I got a much better deal with Haven than a bank I've been saving with for the last 10 yrs!!

Rubypenny said:

do you mind me asking when you applied to DLRCOCO?

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Mmm, have to look up my records but I think it might have been about 12 months ago.

I might get AIP (be interesting to see how much I can borrow has dropped since I last talked to my broker) and see what comes up. Might not be offered anything but I can always say no if I don't like what I'm offered.

Dundrum would be ideal, think it would hold it's value better. The Grange is over priced and has huge management fees. Plus I feel that developer will go to the wall.

FTB1975 said:

anyway i cant afford 260k, could 1 year ago but with the big R the bank only giving me 220k!!

Try Haven....BOI have clamped down big-time....I got a much better deal with Haven than a bank I've been saving with for the last 10 yrs!!

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There is a good reason why the bank will not lend such amounts. Sit back, save some cash and wait for prices to reach an affordable level. Not this 8x annual salary crap!

Hey all....i got that letter from the council also...i actually went down there today for an interview..went OK.....they told me that if i was approved of 270k and cant get it now they will try and find a place that suits my financial needs....i rang up my bank...and they have now reduced my loan approval from 270k to 220k....and i was told thats even pushing it....so now i dont know what to do....i was told to veiw a place in Beachwood Court thats 278k.....not a hope can i afford that now....has everyone else been getting loan approval changed from the bank .. or getting really bad loan approval than expected?????

Cheeus said:

I heard someone buying there on AH say their small apt (60sqm) was worth 450k. I viewed a show apt (73sqm) last week and was told they'd be launching at 420k. Another case of things being grossly overvalued by the council?

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They should get their apt revalued - Large two bed's (94-98sqm) are valued at €480,000 by the councils surveyors.