Wednesday 7 December 2016

Ask the Experts: How do you see the supply situation panning out this year?

Published 23/01/2016 | 02:30

Patricia Byron, director general of the SCSI
Patricia Byron, director general of the SCSI
Darina Collins, REA
Marian McQuillan, Ceo of Quillsen
Michael Grehan, managing director, Sherry FitzGerald
Pat Davitt, CEO of IPAV
Keith Lowe CEO Douglas Newman Good
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Patricia Byron

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Supply will tighten further because the time lag between applying for planning permission and completing a residential unit can take two years.

Patricia Byron is the director general of the Society of Chartered Surveyors Ireland which has 5,000 members working in the property and construction sector.

Pat Davitt

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I believe more new houses will be built this year.

I'm not convinced the figure of 25,000 houses per year is needed at the moment, I think 15,000 to 18,000 would be closer.

If there were 25,000 new properties on the market right now would there be purchasers? I don't believe there would be sufficient numbers of purchasers.

Pat Davitt is the CEO of the Institute of Professional Auctioneers and Valuers (IPAV). Pat has more than 33 years experience in the sector, spending much of it running a family based auctioneering firm in Mullingar.

Darina Collins

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The uneconomical cost of building new homes represents a major threat to the health of a property market that has only recently returned to normality.

In areas where the average value is below €200,000, supply of new homes will remain reduced due to profitability issues for developers who need houses to sell for above that mark.

Darina Collins is a director of and a founding member of the Real Estate Alliance, a partnership of more than 50 auctioneering firms. She is also a partner in REA O'Brien Collins, the Drogheda based general practice firm.

Michael Grehan

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Traditionally the stock available for sale tightens before year end as sales volumes exceed new stock coming to the market.

This continues into the early part of the new year when demand can very often exceed supply, resulting in increased upward pressure on prices.

The supply of new homes coming to the market should increase at a greater rate in 2016.

Michael is the managing director of the Sherry FitzGerald estate agency group which has a 66 branch network including franchises, He has more than 26 years experience in the sector.

Marian McQuillan

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With employment levels growing in Dublin demand will outstrip supply. The forecast numbers of properties to be built is not enough to cover demand.

Marian McQuillan is the CEO of Quillsen, formerly Gunne Estate Agents and was previously a director of Purcell McQuillan Tax Partners.

Keith Lowe

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I believe that around 12,000 homes will be built this year - similar to last year - but this time mainly new homes starts rather than part-built schemes being completed out.

Dublin should see a sharp rise in new housing schemes as NAMA provides funding and backs their debtors to construct.

Keith Lowe is CEO of Douglas Newman Good, which has 75 offices throughout the country. He has 32 years experience in the property sector having joined the firm in 1984.

Irish Independent

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