"Who is buying Ireland?"

The shortages of supply are at the micro level, eg individual houses and apartments to live in. There is no shortage of supply for investors in larger commercial or residential blocks, hence the opportunities available to the bottom-fishers from abroad.
 


A very simple observation - had you been following the basic rules of investing it would not have matter what the banker and sundry did, you would not have got involved, it as simple as that. Just to recap:

- Property is a high risk asset class, keep a low exposure, single digits at the very least (The Irish: 100%)
- Don't borrow to invest (The Irish: 100% if possible)
- Diversify to reduce risk (The Irish: 100% in to one asset class and within the class one holding)
- Invest in assets to that be easily disposed of in case of a mistake or market correction (A house does not even come near that)

I know it is a lot more comfortable to blame someone else for your situation, but if you don't learn the real lessons of the past then you are doomed to repeat them! And the comments and questions on this forum tell me that that is exactly what will happen.

Anyone who has taken the time to study bubbles, will tell the same thing - at the end of each bubble measures were put in place to ensure that that would never happen again and yet the same cycle has been repeated over and over again for the last few hundred years! People's greet will always lead them to find a way around any provisions that are put in place, so the only chance you have to avoid such situations is to follow best practices.

Successful investing is hard enough, without throwing the rule book out the window.
 
T McGibney said:
How can this happen in a market which is saturated with supply and suffers from very weak demand?

And even if it does, what harm?
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What harm if investors price potential buyers out of the market!!! I think your saying that tongue in cheek unless perhaps you believe that home ownership rates are too high in Ireland?

And I can assure you there is no saturated supply in Dublin....especially Sth Dublin. I've been looking hard for 2 years now and it's a nightmare...most weekends there's nothing even worth going to look at. And what is worth a gander, has hoards descending from the 1st viewing. Bids being made over asking there and then.
Don't want to get into discussion here on prices, but just to give an idea of whats happening, I believe prices are up by 25% to 30% since late 2011.

And this shortage is having a big impact on rents as can be seen from the latest report issued today
 
Jim, personally I'm fine but I know too many people that are in the manure heap. Now I'm not blaming anyone at all, but explain to me this question of mad lunacy by the banks, whence in 2007, on buying a property, I went for a loan the Bank offered me the money (which I accepted) and offered me and fought with me to take another €2 million in case I needed it. I declined it.

How many times did we all hear in 2004/5/6, from the bankers advising us not to keep our money in cash, they had a better route to go down,

They prostituted themselves to the young and old, rich, middle and poor class. It was all about commissions they were earning for themselves, into schemes that couldn't go wrong. Even in equity products they deceived many and misrepresentations were the order of the day.

Coupled this with the fact that many elderly placed their hard earned cash into shares of the Banks. And we all know what happened to the Banks that told all and sundry they did not require any more money.

So the Banks sold the people of the country down the road. The case of the Irish developer will be a long forgotten memory and if anyone would dare to take on the plight of the foreign cheap money, let them, but you won't beat somebody shopping with cheap money, especially when it's not theirs.
 
And in case I forget, Teacher says NO. That's the Irish Government, a load of cretins running a country. Where did you ever see the likes of it. A heap of NATIONAL school teachers running a country.

Think about it !! You know it makes sense.
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And Ireland as a country did so well when an accountant, solicitors and a barrister were running the country before the present incumbents? Please!

Let's not forget who brought the IMF into this country.

Certainly not Primary teachers.

Marion
 
Marion, might I suggest you take off your Party Political Hat for a second.

Who was in control in the main of most of the County Councils in the country and allowed for the overbuilding of homes throughout the State. And in case you have to check, it was Labour and Fine Gael.

Which Political Parties wanted the Government at the time to splash out more and borrow more at the times. This was Labour and Fine Gael who voted with the Governments plan at the time.

Last question for a Gold Star and a sweetie. As the country has been run on the Road Map laid out by the previous Government which was up to the exit of the Bail Out, I like many would love to see the new plan.

Expect next year to be put in detention.
 
My post wasn't about any particular party but the prior profession of the people running the country at any one time.


Marion
 
The Banks caused the meltdown of Ireland. At the time of the emergency, I was the only single person who stated this country required a National Government to include a mixture of Politicians, high powered business men, and a number of academia.

But we're all in this together. Most of the big amounts of Private Irish Money has left the country and never to return, but who knows where we'll all end up ??
 

Who is the accountant you speak of? Charlie McCreevy? (who was gone before the real bubble set in)
 
Was Bertie not an accountant? Maybe he just set himself up as one?

Gas man!


Marion
 
Jim2007 said:
Successful investing is hard enough, without throwing the rule book out the window.
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But I do listen to you, you give great advice. You can be sure I'm going to sell at the next bubble, and I'm just about young enough to make it to then !
 
Marion said:
Was Bertie not an accountant? Maybe he just set himself up as one?

Gas man!


Marion
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Bertie wasn’t a qualified accountant. I though he was a builder; what was all that talk of dig-out's about otherwise?
He didn’t know the first thing about economics either. Though, I would have to grudgingly admit that he did a superb job in Northern Ireland.

Richard Bruton is an economist, with a masters in Oxford on Irish government debt. He’d probably make a good finance minister.
Michael Noonan is a former school teacher with no formal economics training. That doesn’t mean he doesn’t have the same level of expertise (at least) as someone with an academic qualification. He’s done a superb job as minister for finance and he well respected by his peers in Europe.
 

Chateau's in France are not all their cracked up to be, and who can afford, for example, the South of France. And the maintenance If you're now equal on property to mortgage what do you plan on doing with them? Selling, or are they making enough in rent to pay the mortgages? If you sell at a CGT loss, then you can offset a gain, we had a thread on it. Something for you to look at perhaps.

You say you're sorry you didn't abandon the debts, but didn't you do the right thing, paying back that which you owed.

What is a good area for a 2 bed for 300K plus. Actually where ever it is, it's nuts. Based on most 2 beds I've seen built, they are shoeboxes, you maybe should look at a 3 bed in a less desireable area. Irish people are very insular in relation to location, they think in Dublin if it's not SCD than it's not worth having, and it's plainly not true.
 
mercman said:
Where demand will fall off as soon as people realise there is no Fluid banking system in this country and when the cash is gone it's sure gone.
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This will not happen, once the Troika goes we'll see. First off Noonan couldn't resist and has interfered in the property market with the CGT. There's an election coming, before that you can be darn sure there will be further incentives to property investment. If the investors come back in, then those in NE will also gain as they will now be able to sell and move. Whether they can afford to upscale, well that will depend on savings and salaries. But the market is already under massive strain in Dublin due to a chronic lack of supply, and apparently there are land banks being held onto, so perhaps some incentive in that area. Plus banks are back in business, two have already signalled a willingness to entertain the BTL er from abroad.
 
Delboy said:
And this shortage is having a big impact on rents as can be seen from the latest report issued today
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Bet you anything it's worse than you think. This is because PRTB probably does not have price rises of sitting tenants. I very much doubt that landlords bother to go back into PRTB to change the rents when they go up, particularly as the website is not at all user friendly.
 
I watched this program the other night. Its not available on RTE Player, so I can't quote exactly but I was disgusted when Bill McMorrow on being questioned towards the end of the programme about the view that foreign investors were bottom feeders, included in his reply and I'm paraphrasing " Hey, nobody died....." If it comes up on player and you get to see it again, notice how he falters a bit at the end of the sentence as he appears to realise that it was a really crass thing to say.
 
Considering Ireland bought up most of Eastern Europe during the Celtic Tiger years, we are not really in a position to moan about bottom feeders.
 
Its not the "bottom feeders" sentiment that bothered me - thats not what I "moaning" about. It was his thoughtless comment that bothered me. And his smarmy grin while he was saying it............
 
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