Wednesday 13 December 2017

Dublin 13: First-time buyers take coastal route in Sutton

'Ouvane', Greenfield Road, Sutton, went for sold for €1.2m last September
'Ouvane', Greenfield Road, Sutton, went for sold for €1.2m last September

The market in Dublin 13 - which includes a rump of middle income family-sized estate homes - seemed an unlikely one to be hit by Brexit, but that's just what happened in the last six months; 2016 started out quietly, and there was uncertainty after Brexit in June.

"We had some more expensive sales fall through in the two or three weeks immediately after Brexit," says David Kelly of JB Kelly Property Team. "Anyone buying with sterling or with funds linked to the British stock market was affected."

A 'flat' period followed, but year's end has since showed a slight improvement thanks to changes in conditions via the Central Bank's change to deposit rules for FTBs (they require 10pc on all properties from November instead of 20pc above a certain price).

"The last few weeks of 2016 saw a surge in interest from first-time buyers. We had multiple bidders on properties (which we hadn't had in a while), and there was a bit of spike in prices. In that period we got rid of properties that had been on the market for six months. The deposit reduction caused much greater numbers at viewings and bidding started to kick off," says Kelly.

At the upper end of the market, Kelly says that there were still sales over €1m, but that above €1.2/3m, "things were extremely tight".

"One-off houses need one-off buyers," says Kelly.

Most in demand in Dublin 13 is Binn Eadair View, where houses sell quickly regardless of condition and were achieving 10pc over asking price by December. "The Sutton address and being within walking within distance of Sutton Cross are big attractions," says Kelly. "It's an entry to the peninsula."

Kelly also saw high demand for family homes in mature locations in Donaghmede.

"Older houses in Donaghmede were asking €270k and making €290k," says Kelly. "New properties in Clongriffin, close to Donaghmede, were priced at between €290k and 320k, but first-time buyers preferred Donaghmede because it's closer to services and the houses are more mature."

In Dublin 13, the biggest price increases occurred for three-bed semis, and Kelly thinks that will trickle up to increases in four-bed semis this year. Houses in good condition attracted a premium, as there is diminished borrowing power for refurbishments.

"The focus is definitely on properties in turnkey condition," he said.

Irish Independent

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