Flogging dead horses and other efforts to kickstart the property market

[C. Flower]

Apparently the sheep trade, and consequently the sheep population, collapsed in the 1980s and has never really recovered. Kiwis get a bit annoyed at jokes they see as being decades out of date. Especially from Australians. Ozzers making sheep jokes is not appreciated.

There's a Church of Laddermania here too, and a distinct bubble, it'll be fun going through it all over again Sidey's Property Bubble Timeline Calibration Device is suggesting it's currently Q3 2005 in Wellington.

Rugby of course. Fanatical about it. And (whisper it) poor winners too. One of the few national traits I don't like.

Mostly though they seem to obsess over beer. And pies. Very particular about their beer and pies. Which I suppose isn't entirely a bad thing!

Tis far from beer and pies we are here

[Slim Buddha]

Apparently the sheep trade, and consequently the sheep population, collapsed in the 1980s and has never really recovered. Kiwis get a bit annoyed at jokes they see as being decades out of date. Especially from Australians. Ozzers making sheep jokes is not appreciated.

There's a Church of Laddermania here too, and a distinct bubble, it'll be fun going through it all over again Sidey's Property Bubble Timeline Calibration Device is suggesting it's currently Q3 2005 in Wellington.

Rugby of course. Fanatical about it. And (whisper it) poor winners too. One of the few national traits I don't like.

Mostly though they seem to obsess over beer. And pies. Very particular about their beer and pies. Which I suppose isn't entirely a bad thing!

I know a few Kiwis and they are nice people. But avoid talking about rugby (which I guess, when you are in NZ , is really difficult ) They are bad winners and worse losers.

I think the property obsession is more accentuated in English-speaking countries than in non English-speaking countries. It might have something to do with the differing legal systems. In codified legal systems, which is most of Europe, generally speaking, the property market acts in a completely different manner.

In Ireland, we have the worst possible set up. We treat it as a commodity, allow the supply to be controlled by vested interests, allow the construction industry write their own laws, and give carte blanche to cowboys to charge what they want.

Oh, and we give constitution protection to the sanctity of the property market.

[DCon]

NAMA going wild

A PROPERTY scheme that protects buyers from falling prices is to be extended across the country.

The National Asset Management Agency (NAMA) offer aims to insulate homebuyers from negative equity and will now be extended to another 180 houses in 12 counties.

Negative equity is where the mortgage amount is greater than the value of the property.

The deal, which has been developed by the State's bad bank to protect buyers from negative equity if there are more price plunges, is restricted to first-time buyers and movers. Investors are not being offered the deal.

Called the 80:20 deferred payment scheme, NAMA sets aside 20pc of the selling price for five years.

But buyers continue to meet monthly repayments on the entire amount they borrowed.

If after five years the value of the property falls by anything up to 20pc, the buyer will have their overall loan reduced by a corresponding amount.

Started in May, it included 115 houses in three counties but the expansion means there will now be a greater geographical spread.

So far, 41 houses that were part of the original pilot scheme have been sold.

Now another 180 properties, ranging in size from two-bedroom to five-bedroom homes, in 12 counties will be added.

Prices are as low as €100,000.

The new properties are located in Carlow, Clare, Cork, Dublin, Galway, Kerry, Kildare, Kilkenny, Limerick, Meath, Sligo and Wexford.

And the great Lenihan scam!

Nama does not own the properties that are part of the 80:20 offer, but it controls the loans that financed the building of the houses.

http://www.independent.ie/business/p...d-3259693.html

[DCon]

happy days

Constantin Gurdgiev ‏@GTCost

Officially... RT @SiCarswell: CB's Muldoon says 37,000 buy-to-let mortgages with €11bn of debt were in arrears at the end of June 2012

https://twitter.com/GTCost

Simon Carswell ‏@SiCarswell

@GTCost here is the slide of arrears and restructuring figures incl BTLs from presentation by Central Bank's Muldoon

https://twitter.com/SiCarswell

[Dr. FIVE]

Jon Ihle,

Now, from a social point of view, the low level of repossessions is considered a good thing. But in terms of the property market, it creates an artificial floor on prices

http://www.businesspost.ie/#!story/H...9-161384323718

[morticia]

At least the new price register should put limits on estate agents telling porkies about how much they sold the last gaff for.

And, tbh, the biggest factor preventing reinflation of the property market at large is fuel prices. Places near city centres and the Dart and Luas lines may conceivably increase in price. Anywhere that relies on a schwackload of residents driving to and from work for more than 20 minutes is going in only one direction. Down. Incomes are static and prices are going up. So that's less money for servicing a mortgage or rent, and more on fuel and food

[DCon]

Any old straw will be clung to

A RISE in the cost of renting a home means it is now cheaper to buy, new figures show.

Experts say that it could prompt many renters to "look at the maths" and take the plunge in the property market over the next year.

http://www.independent.ie/national-n...t-3286129.html

[Dr. FIVE]

Full report


http://www.daft.ie/report/Daft-Renta...rt-Q3-2012.pdf

[Dr. FIVE]

Tom Parlon is not happy

http://www.cif.ie/news-events/curren...s-out-of-date/

“The Fitch report speaks to the kind of catch all commentary that used to permeate Irish property analysis. That’s not good enough these days. It’s an out of date approach. This country requires more focused, more detailed information to be provided. For that reason we would urge Fitchs to reexamine the way they go about providing Irish residential property commentary in future.”

[PaddyJoe]

Looks like a potential biggie here;

The Finance Bill has made provision for the establishment of real estate investment trusts (Reits)...

At least 75 per cent of the income of the Reit will have to be derived from property rental and each vehicle will be required to have a minimum of three properties on its books.

The Reit will be required to distribute to shareholders “at least” 85 per cent of its income each year, subject to it having sufficient distributable reserves. This will be by way of a property income dividend

xempt from corporation tax on qualifying income, and capital gains tax related to rental investment property.

Sounds like it's tailor made for some broke speculators with a few apartments on their hands..
http://www.irishtimes.com/newspaper/...330011337.html

[DCon]

Looks like a potential biggie here;


Sounds like it's tailor made for some broke speculators with a few apartments on their hands..
http://www.irishtimes.com/newspaper/...330011337.html

So will NAMA be a REIT now?

Could a crafty developer set up a Reit with his offspring as shareholders? Rent the offspring their existing homes, paid for by said crafty developer, and distribute their rental payments to them as income?

[C. Flower]

Grants to do up your Georgian city centre home - starting with Waterford and Limerick.

Unto those that have shall more be given.

[Spectabilis]

Meanwhile at the IT, there is an item suggesting that shipping containers, roof tops and disused lots are a good idea for young people to live in.

From living in a tiny overpriced apartment to living in a concept - dear oh dear.

http://www.irishtimes.com/newspaper/...330004536.html

[Kid Ryder]

Meanwhile at the IT, there is an item suggesting that shipping containers, roof tops and disused lots are a good idea for young people to live in.

From living in a tiny oversized apartment to living in a concept - dear oh dear.

http://www.irishtimes.com/newspaper/...330004536.html

What next? Vermin infestation as 'lifestyle choice'? I'd love to see the Oirish Toimes do that kind of property porn...

[Dr. FIVE]

reits

http://dublinopinion.com/2013/02/20/...e-irish-state/