Dublin property, how low can it go?

[fullyautomatix]

The problem in Dublin at the moment there are several factors that make that calculation difficult to work out.

• Government is bringing in new property tax, final amount will not be clear for several years.
• As government struggles to repay bailout loans other taxes will be levied.
• Large stock of unsold apartment yet to be released in the market, may force rental values down.

It will be at least 5 years before any real estimates can be made.
Some people can't face 5 years of worry.

Cant the same happen in the UK also ? We are long overdue some correction in house prices. People have made 50K a year while just sitting in their houses.

[alreadypacked]

The best way is to work out what property should cost based on what rent you would get.

If you can make a decent return then the property is fairly or undervalued, you don't really need to worrry about the price, eventually it'll settle around a value wich gives a decent return in the rental market.

The problem in Dublin at the moment there are several factors that make that calculation difficult to work out.

• Government is bringing in new property tax, final amount will not be clear for several years.
• As government struggles to repay bailout loans other taxes will be levied.
• Large stock of unsold apartment yet to be released in the market, may force rental values down.

It will be at least 5 years before any real estimates can be made.
Some people can't face 5 years of worry.

[BlasterBates]

The best way is to work out what property should cost based on what rent you would get.

If you can make a decent return then the property is fairly or undervalued, you don't really need to worrry about the price, eventually it'll settle around a value wich gives a decent return in the rental market.

[Jeebo72]

My mates sister (who is from Ireland) bought a number of BTL's in Dublin in early 2000s. Total outlay was 750,000 euros. Now extimated at circa 250,000. Last I heard she's giving up, handing them back to the bank and buggering off to Canada. Sadly, too easy to do these days, for people who bought into the "free" money of the Blair years.

[sasguru]

Back in the early noughties a few of my friends urged me to buy in Dublin - but that smelt like a bubble even then - and perhaps I'm unique in finding Dublin a dull cliche of a city.

[alreadypacked]

DUBLIN’S BURLINGTON Hotel, bought by property developer Bernard McNamara at the peak of the property boom in 2007 for €288 million, is back on the market with a guide price of €65-€75 million.

I thought I got a bargin paying 30% of peak price, now property is on offer at 25%. I don't think the hotel could have been worth €288 Million. Mr McNamara has been one of the biggest casualties of the property crash with overall debts of €1.5 billion.



Burlington Hotel on market for one-quarter of 2007 price - The Irish Times - Wed, Aug 29, 2012