Friday 20 September 2019

Waterford: Buyers put off by tardy response from banks

Average price: €230,000
Areas: Waterford City, Dungarvan, Lismore, Tramore, Dunmore East
Up: + 9%
One Year Forecast: + 5%
Assessing Agent: Palmer Auctioneers

Warren Palmer of Palmer Auctioneers has seen the price of an average four-bed detached house in Waterford increase by 12pc this year.

He says investors looking to spend up to €100,000 were active during 2014, particularly in the latter part of the year. 

Kylmore, Castlewoods, Ballinamona sold for €625,000
Kylmore, Castlewoods, Ballinamona sold for €625,000

The market for larger family homes at over €230,000 has been busy too.

"But the first-time buyers, who would typically be looking at properties priced between €100,000 and €230,000 have been quiet enough," he says.

Waterford
House Types201420152016
3-bed semi in town, €90,000 €110,000 €116,500
3-bed semi out of town, €120,000 €135,000 €142,000
4-bed semi in town (estate house), €220,000 €230,000 €241,500
4-bed detached in town, €230,000 €280,000 €294,000
4-bed detached out of town, €270,000 €300,000 €315,000
5-bed detached, €310,000 €350,000 €367,500
3-bed bungalow in town, €110,000 €130,000 €136,500
3-bed bungalow outside town, €140,000 €160,000 €168,000
4-bed bungalow in town, €185,000 €210,000 €220,500
4-bed bungalow outside town, €215,000 €250,000 €262,500
Detached 2000+ sq ft, €350,000 €400,000 €420,000
Holiday Home, €110,000 €160,000 €168,000
2-bed apartment, €55,000 €60,000 €63,000
3-bed terrace, €60,000 €75,000 €79,000
2-bed cottage (coastal), €125,000 €160,000 €168,000
Ex-corporation 2 bed, €50,000 €60,000 €63,000
Ex-corporation 3 bed, €65,000 €75,000 €79,000

Palmer puts this down to restrictions on mortgage lending.

During 2014 properties on the outskirts of the city and in the more rural areas have mainly sold to cash buyers looking for retirement homes, and Dunmore East in particular has been very busy for holiday homes, most of which are purchased for cash.

WATERFORD CITY CENTRE: Anything central in Waterford City is selling quickly. Catherine St and Cathedral Square on the Viking triangle are bang in the middle of the tourist area and popular with investors, as are small townhouses off The Mall. Dunmore East properties are also quick to sell.
WATERFORD CITY CENTRE: Anything central in Waterford City is selling quickly. Catherine St and Cathedral Square on the Viking triangle are bang in the middle of the tourist area and popular with investors, as are small townhouses off The Mall. Dunmore East properties are also quick to sell.

Palmer notes that much of the property on the market at the moment is being sold by banks and receivers, and that the time it takes for the institutions to come back with a response to a buyer's offer is getting in the way of deals being closed.

"It can take anything up to two months to get a response and by then the prospective purchaser is long gone.

The banks and receivers are too slow," he says.

Palmer also observes that the lack of supply is chronic.

"People can't afford to sell, either because they paid huge money for the property in the first place and they can't afford to take the loss, or because they can't afford to give up their tracker mortgage."

Independent.ie Guide to House Prices in Ireland

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Irish Independent

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