Perhaps to be accompanied by a grain or two of salt..?
Points of note arising from the survey are the relative uptake in activity in the residential market in the latter part of 2009 in Dublin City and County, Wicklow, Cork City, Galway City, and Longford; and the surprising levels of inactivity in Kildare and Waterford City and County. Unsurprisingly, the majority of buyers throughout 2009 were first-time buyers. New homes aimed at that very market were not very well received, with buyers favouring second hand, three bedroom semi-detached houses over apartments. Gillian Nelis did a good synopsis in the Sunday Business Post last Sunday, 17th January 2010 for anyone interested in further details.
The general consensus among the IAVI members appears to be that the property market in some areas has already bottomed out and the remaining areas are close to that point. Of course, the reality is that we will only know this definitively when we have seen at least three months of positive growth. Any buyers or investors watching the market with intent will be interested to know this, as waiting for three months of positive growth will likely lose them the early opportunities. Particularly in the current climate, where any growth, however minimal, is only likely to appear after a long stabilization period, possibly up to six months in areas, depending upon demand.
The good news is that you no longer have to wait to see a trend emerging. Here at Buyers Broker we do not follow the herd – we lead it. We do not wait to hear about the price reductions, we actively seek out the most motivated of sellers and broker great deals. Since spring 2009, we have seen pockets of opportunities dotted around the country (both urban and rural) where prices hit rock bottom, the stabilization period was particularly brief and slight increases have been recorded (for example, parts of Galway, Kilkenny and Dublin cities). This is true of two and three bedroom houses, not apartments, appealing to first-time buyers that were priced to sell. To buy in some level of equity (to future-proof investment and protect against further short-term drops), we are urging buyers to look at four bedroom houses that are in less demand and in many cases can be purchased at the same levels as neighbouring three bedroom houses – the power of negotiation has never been greater!