Sunday 22 October 2017

Kildare South: New builds are now badly needed

Blackwood House, Athy, sold for €320,000
Blackwood House, Athy, sold for €320,000

The lack of supply of houses in south Kildare means that agents are relying on receiver sales for activity. Agent Charlie McDermott of Sherry FitzGerald McDermott says that about one third of their sales are now receiver sales and that these properties are never really in good condition.

New builds are badly needed in the area to give buyers that chance to get onto the property ladder. "Lack of supply and lack of building are serious problems for us," says McDermott. "There are plans for a couple of developments in Kildare town but they are still a few years away from completion."

The shortage of properties for sale has had a detrimental effect on the rental market, according to McDermott. "The rental market has gone over the edge. High-demand properties are grossly overpriced here."

However, there is a feeling of optimism in the small towns in the area, along with a sense of recovery, with retail units filling up in 2016, and most town centres getting close to full occupancy. Land is making good prices, with many sales exceeding the asking price.

McDermott believes that banking hampered the market in 2016 so he welcomes the new mortgage rules for first-time buyers, where we've seen a return to the 10pc deposit and the Help-to-Buy scheme, which will see a rebate for buyers of new homes.

At the moment in south Kildare, an average four-bed semi in town would be valued at €248,000 and is expected to rise to €255,000 in the next 12 months.

Increases in prices over 2016 were steady in all house types, with an 8pc increase in most. McDermott predicts bigger rises for two-bed apartments in 2017 of about 22pc, and a more modest increase of 2pc in detached 2,000 sq ft houses.

Irish Independent


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