Friday 22 September 2017

On track to cash in with the new arrival of Luas and student lettings

Capreit bought properties in a number of areas of Dublin, including Smithfield
Capreit bought properties in a number of areas of Dublin, including Smithfield

DUBLIN 7

Phibsboro, North Circular Road, Cabra, Stoneybatter, North City Centre, Arbour Hill.

Up 15%

One Year Forecast: Up 8%

Average Price: €230,000

Assessing Agent: Douglas Newman Good

The Market:

Two types of buyer are propelling the D7 market forward: buy-to-let investors seeking healthy rental returns from an area with close proximity to the city centre and the Mater hospital and first-time buyers looking to get a quick foothold before that first rung slips away.

Prices have risen around 20% over the past year in D7 with dual starter home and investor interest particularly strong in Cabra and Stoneybatter.

Pre-63 period homes on North Circular Road have attracted particular interest. New ordinances from Dublin City Council entail significant investment to bring them up to scratch for rental and many landlords appear happier to wash their hands of these properties rather than go through the hassle.

Ciaran Jones of DNG says any such buildings that are compliant are attracting now a premium with investors eager to pick them up at rock bottom prices and refurbish them for bigger rental units. He recently sold one containing eight units for €470,000 – but most such properties on the market are fetching around €230,000 with an additional €170,000 required to bring them to standard. These numbers add up strongly for investors who can find the cash.

The prospects of a Luas line and the imminent building of a new Dublin Institute of Technology campus at Grangegorman are providing further impetus to a market that has always been traditionally popular with buy-to-let investors. The prospect of all the DIT colleges gathered in one place at Grangegorman has serious potential to knock the student lettings markets in D1, D6 and D8 for six with D7 cashing in on the rental benefits.

The Prices:

1-bed apartment:

Jan 2013: €117,000

Jan 2014: €135,000

Jan 2015: €147,000

2-bed apartment:

Jan 2013: €160,000

Jan 2014: €185,000

Jan 2015: €202,000

2-bed cottage:

Jan 2013: €148,000

Jan 2014: €170,000

Jan 2015: €185,000

Ex-corporation 2-bed:

Jan 2013: €156,000

Jan 2014: €180,000

Jan 2015: €196,000

Ex-corporation 3-bed:

Jan 2013: €170,000

Jan 2014: €195,000

Jan 2015: €213,000

3-bed townhouse:

Jan 2013: €260,000

Jan 2014: €300,000

Jan 2015: €327,000

3-bed semi:

Jan 2013: €239,000

Jan 2014: €275,000

Jan 2015: €300,000

4-bed semi:

Jan 2013: €283,000

Jan 2014: €325,000

Jan 2015: €354,000

Period 2/3 storey over basement:

Jan 2013: €304,000

Jan 2014: €350,000

Jan 2015: €382,000

Period 4/5 storey over basement:

Jan 2013: €348,000

Jan 2014: €400,000

Jan 2015: €436,000

Irish Independent

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