Sunday 21 January 2018

Limerick County: Flat for second year running

Patrickswell, Co. Limerick. Sold for €446,000.
Patrickswell, Co. Limerick. Sold for €446,000.

Limerick county continues to defy all norms with prices remaining stagnant again for the second year running and no increases or decreases predicted for the year ahead.

That said, supply is fast becoming a big problem for the Limerick county area, with agent John De Courcy noting that he hasn't seen such a shortage in the last 20 years. He believes that bank restrictions for high deposits and high interest rates have had a dampening affect on the upper end of the county area's market.

"The 20pc deposit rule may have been necessary for Dublin, but it definitely wasn't needed in Limerick. The two counties are like two different planets."

There are still a lot of repossessions coming onto the market in Limerick, one of the factors which has prevented prices from rising, and De Courcy finds that these are becoming increasingly complicated to close with property and water charge issues adding to the problems. "Solicitors want these bills cleared before they sell," says De Courcy, "But I don't know where they think the money is going to come from."

Ghost estates were never a problem for Limerick but De Courcy thinks there are plenty of disused council houses that could be released to help with supply. "We have a lot of council houses that are boarded up while you have people screaming out for houses. A lot are in rented accommodation and are getting fed up and want out. Freeing up the council houses could help ease the shortage issue."

De Courcy can't see any big changes in the direction in which the County market is headed in the coming months. "There is still so much negative equity in the county and now with new lending restrictions, people can't move sideways."

Irish Independent

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