Selling Holiday Home

L

Lex Foutish

Registered User
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825
I have a holiday home by the sea. It's in an area very popular with tourists and I find it easy to rent during the summer months. For a number of reasons I'm thinking of selling the property. In early 2007 I had it valued at about €320k. Are holiday homes selling at present? What kind of price should I expect to get in the current climate? Would I be better off waiting until market conditions improve?
 
Lex Foutish said:
waiting until market conditions improve?
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If that took 5-10 years would that be a problem?

Any house will sell in the current climate if its priced low enough. Unforuntatly there is very little demand for holiday homes, and you may have to drop the price even more than normal house price drops. If the value was 320k in 2007, you may get it sold at 225k.
Would that be enough?
 
Thanks for the quick reply Senna. 225k would not be enough. If I had to wait a few years to get a decent price I would as I'm not financially under pressure to sell it.
 
I've seen some holiday home prices dropping between 20% and 40% and they're still failing to shift.

It amazes me that auctioneers aren't going out of business left, right and centre .... property portfolios can't be moving too quickly these days.
 
Lex Foutish said:
Thanks for the quick reply Senna. 225k would not be enough. If I had to wait a few years to get a decent price I would as I'm not financially under pressure to sell it.
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If its not a financial strain and you dont see your circumstances changing, then your probably best to sit on it. At least you can rent it during summer months and i'm sure you make use of it yourself too.

Just remember that if you HAD to sell it in 1 or 2 years 225k may sound like a great price. Good luck.
 
There's no guarantee that prices will ever return to where they were during the bubble years.
 

All that sounds like good advice. As I said earlier, I'm not financially under pressure to sell the property and the summer rental is pretty good. Thanks Senna.
 
I think the summer holiday period could pick up as people with less money look to stay at home.......
 
Hi,

What country is the holiday home in as this would have a bearing on what price you would get?

Angela59
 
Mr DT said:
I think the summer holiday period could pick up as people with less money look to stay at home.......
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This would make sense if it were cheaper to holiday in Ireland. The reality is, it is not cheaper. Flights are still relatively cheap to Med countries like Spain and Italy and once you are there, accommodation and food is half the price. And a better chance of sun!
 
groom said:
More money would be saved by leaving the country for holidays
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Not always, we've been holidaying in Ireland since my daughter started school and we've been tied to school break time holidays as I hate the madness of airports in July and August especially when paired with flights which are often in the middle of the night. We have had really great holidays (self catering) around Ireland. The price of accomodation is generally about equal to the price any flights may be, so you are already saving that outgoing, right we are not a cheap country for meals out or drink but last summer I noticed a lot of restaurants had Feile Bia meal specials or early bird specials which is what you want with kids anyway. Plus I have found the freedom of throwing everything in the car great and I have never had an unpleasant time holidaying here.....now the weather is another story lol.....
 
Hi,

The last post seems to be going a little of topic as the op asked about selling her holiday home. But about holidaying in ireland - I've done the self catering holidays when kids were smaller and generally over the west and south west and enjoyed them immensly. I travel to spain very regularly with two kids and there is no comparision between ireland and spain. Ireland is lovely if you have the weather mainly - that it is dry and if you have plently of money to throw about. I never found eating out with kids easy in Ireland - several places I went into didn't have high chairs so in that sense I didn't find Ireland child friendly. In Spain I always bring kids out when we are eating in the evening - I'd never have them babysat and they are always welcome wherever you go. Even New Years Eve we celebrated it in style last January with kids in tow and there were no drunken revellers - doubt if you could do the same in Ireland.

Angela59
 
angela59 said:
Hi,

What country is the holiday home in as this would have a bearing on what price you would get?

Angela59
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It's in south Co. Kerry. I heard that property values are holding up reasonably well in Co. Kerry but that may be difficult to confirm if houses aren't selling.
 
Hi Lex Foutish,

You could try the market - interest rates are coming down which can only be a good thing. I'm in south east in rural location and tried to sell mine from March '07 and reduced price by E100,000 - I threw in the towel last June '08. Have since renovated and am not moving. My own experience I found selling stressful - I think to start out with having listened to 4 different auctioneers the price they said I should be getting and what I eventually would have got were very very different - the figures just weren't stacking up as we were hoping to do build. I would hold off putting up your house for sale until next spring when interest rates should have dropped a good bit more - a couple of months could tell a different story.

Angela59
 

Yeah, its terrible when people go OFF topic.
 

Thanks Angela59.

I had thought about testing the market by advertising it on daft.ie but a friend gave me similar advice to yourself about holding off till the new year at least. I also spoke to an auctioneer in the area who (believe it or not) gave me similar advice. He said his normal fee is 2% + vat. Would that be about normal? I presume that in the current climate one could bargain with an auctioneer or agree to a set fee.
 
Lex Foutish said:
I presume that in the current climate one could bargain with an auctioneer or agree to a set fee.
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I would bargain on the percentage but not suggest a set fee. On a set fee, there's no financial incentive for the auctioneer to get th best price for you.
 
Dave Vanian said:
I would bargain on the percentage but not suggest a set fee. On a set fee, there's no financial incentive for the auctioneer to get th best price for you.
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On the other hand if you agree a set fee, there is no incentive for him to try and keep the price of your property higher than the market will bear and thus stuck on the market for an age.
 
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