'Unlikely' property tax to rise by €250
Arklow house prices rising but not at rate suggested by figures
Recently released figures suggesting that Arklow property prices have risen so much that Local Property Tax could rise by an average of €250 have been questioned by a local councillor.
Cllr Pat Fitzgerald said that the figures have given rise to much worry amongst local people, who are now fearful that their tax band will jump from €90 to €315 once the current property tax freeze comes to an end in 2019.
The figures were gleaned from analysis of average property prices recorded by the Central Statistics Office.
While the property market appears to be improving slowly, Cllr Fitzgerald said that Arklow properties are not reaching much higher values yet.
'The suggestion is that many houses which were in the €0 to €100,000 valuation band will now move to the third band which is between €150,000 and €200,000. This would mean that the homeowner would be liable for a tax payment of €315. It is my view that Arklow property has not increased by anything that would justify this increase,' he said.
According to local estate agent Ronan Mills of Peter Mills Property in Arklow, the market is seeing green shoots but not to the extent suggested.
'A lot of people were scraping in under the €100,000 valuation threshold but the expectation is that they would most likely move into the next band of €100,000-€150,000 for which the Local Property Tax is €225,' he said.
Mr Mills said that the Arklow market is not as buoyant as other areas of Wicklow nearer to Dublin, such as Bray and Delgany, and that when it comes to rental properties, landlords are seeking rates that rival those more expensive areas.
'Prices in Arklow are driven by the market in those areas. Landlords will see what is being asked for properties in the north of the county and apply them to properties here, which many people would not be able to afford.'