House prices could fall 12% if more homes built – ESRI

44 comments
  1. Someone should come up with a name for a completely new economic theory like that. Maybe like Demand/Supply… there’s probably a better way to say it but since it’s so novel I’ll have to think about it a bit more.

  2. Article is a bit light on details and I would like to read the report but it would too long for me. So maybe the government should take the advice of some on this sub start building up or building a ring world.

  3. With a housing minister like the one we have there’s only going to be year on year increases or a 50 per cent price drop.
    He’s allowing everything built to be bought up by the people who need houses least.

    Just my own opinion from listening to him since he’s been in his role.

    Edit: housing minister facing motion of no confidence today. — in the news

    He’s an absolute farce. The average punter, he gladly has nothing in common with I’d say.
    The amount of times he’s argued with Pat Kenny the indefensible.

  4. The ERSI are a bunch of geniuses for figuring out how to solve the both the housing availability and affordability issues by building more housing.

    Next up they will figure out how to solve the Ukraine war situation by telling people to stop shooting.

  5. > It also says there are ‘question marks’ over whether the financial system in Ireland can provide the credit necessary to meet the demand for residential property.

    Even the ESRI are telling the government to get off their hole and start directly building houses.

  6. This can’t be true. I have been told by Rory Hearne and Mary Lou that more houses mean higher prices!

  7. Oh no! Now I will make only 488% of profit instead of 500% on the sale of my third house that I have bought for peanuts years ago! This is outrageous!

  8. Considering the extent of the shortage, you’d have to build a LOT.

    Plus, when talking about supply and demand, in this case it’s crucial to remember that Ireland is an open system – i.e. people are free to move to Ireland from the UK, and from the EU (and in some cases, beyond), so the “demand” here isn’t just the people in Ireland now who want to buy but can’t, but also anyone who would move here and need to buy/rent. It’s chasing a moving target.

    And not all house prices would fall. Anyone who purchased relatively recently isn’t likely to go into negative equity to sell, they’re just going to hold onto the property.

  9. Unless these are built by the government or sold solely to first time buyers it won’t drop. Funds can afford to outbid anyone and if they build them themself it’s for rent as the ROI is great in the long term

  10. So the government had to get people who were in negative equity out by forcing a housing shortage. The ones that are now out are happily selling. But the ones buying, they will end up in negative equity if the shortage does not continue.

  11. They should fall by 20% in Dublin.

    Speaking as a homeowner.

    House prices are destroying Dublin. The whole county will be like D6W or D4 in about 30 years if not.

    Normal working and middle class people will be forced to other places and the wealthy will wonder why they’ve no teachers or bin men.

  12. Houses shouldn’t be treated like an investment, it’s locking every generation from millennial onward into renting.

    Something happened in the 80s which started an upward trend in prices, and late 90s again it started to sky rocket.

    Figure out what caused those trends and undo it.

  13. Houses should be seen as homes first and foremost, not investments. This will never happen when you have an overwhelming amount of political figures with investment stakes in the housing market. They’re not going to implement policies that damage their investment portfolio.

  14. >House prices could fall 12% if more homes built – ESRI

    I am sure the government who is made up by TDs who are home overs and and landlords will be happy to allow this to happen….

  15. Bring it on. I’m a homeowner. I think absolutely fucking everything should be done to bring down prices. They should make it impossible to make money from selling land: tax the hell out of undeveloped, zoned land and out of unoccupied apartments and they should make it easy to compulsorily purchase land for development or run down buildings.

    If they don’t do this, if property for businesses or residences doesn’t become affordable then this country will go down the tubes – economically and politically. Our growth will stall and smoke sort of toxic populism will take hold. On the other hand if they do fix it, our growth will accelerate and Ireland will become one of the best places in the world to live.

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