Greed may have played a huge part in the demise of our much-grieved Celtic Tiger, but it appears that this same greed will be the stimulus the market needs to move forward.
Since April, the market has spoken and it tells us that investors, both Irish and international are back in force, armed with cash and they want to buy residential and commercial investments in Ireland.
From our experience some investors who are buying in the current market are now achieving yields of around 8pc. Furthermore with our expertise we have been able to negotiate prices which will generate yields of as much as 15pc.
However, property is an expensive hobby and if you are not prepared to manage your investment as a business, it might not be the investment for you.
Some key tips for investors are:
Mortgage lending has fallen through the floor this year, with recorded drops of 53pc since last year.
The total value of new mortgage lending in the first quarter of was €577m.
This should not affect the fire sale auction market as, anecdotally within the industry, cash buyers have been as prevalent in the market as mortgaged buyers for the first half of the year. This trend is likely to continue through 2011 and early 2012. With personal savings in Ireland estimated at €90bn, this is realistic.
However, investors looking to get involved with larger projects or multi-unit purchases might find the auction scenario too competitive and might be assured of a better deal outside of such a public forum.
Cash investors will find that their key strengths, quick decision-making and ready access to funds, will be rewarded off-market.
While NAMA may have an obligation to dispose of property through a public process, non-NAMA banks still have a huge stock of completed properties that are ready to go and in need of buyers.
It appears that the investment market has found its floor without much need for government assistance.
The auctioneers AllsopSpace will be hoping to replicate their earlier auction success on July 7 when Bank of Scotland (Ireland) and other non-NAMA banks will offer a second round of around 200 distressed properties.
It is absolutely my belief that greed will get us out of this state. It may be distasteful but every loss is someone else's gain!
Carol Tallon, is the author of the recently published Irish Property Buyers Handbook 2011 and managing director of Buyers Broker Ltd