Nationally, the most recent MyHome.ie Quarterly Property Report reported that annual asking price inflation was at 9%, in a market starved of supply. It forecast that actual sales prices will rise by low double-digit levels for 2021 as a whole.
In short, Myhome.ie found that the market is still starved of supply, and prices are being bid-up aggressively by homebuyers, looking for a permanent home. We in Global Properties in Cork agree fully with this, and have seen first-hand the strong demand for homes.
The Q3 MyHome report, in association with Davy, found that annual asking price inflation rose by 9% nationwide, by 7.3% in Dublin and by 10.1% elsewhere around the country.
This means the mix-adjusted asking price for homes nationally is now €308,000.
The author of the report, Conall MacCoille, Chief Economist at Davy, said that the findings of the report would provide little respite for homebuyers.
“The market is still starved of supply, with prices being bid-up aggressively by homebuyers. This behaviour is evident in transactions being settled well above asking prices. For a limited pool of 450 properties sold during the summer, Davy calculated the transaction price was 6.5% higher than the asking price, compared with a premium of 2.7% in the second quarter of 2021. Hence, Myhome/Davy decided to raise their forecast for residential property index inflation at end-2021 to 10% from 8% previously.
They go on to say that “unfortunately, there has been only a marginal improvement in housing market conditions for homebuyers. There are currently only13,500 properties listed for sale on MyHome.ie, up slightly from 12,700 in Q2 2021 and well down on circa 20,000 average number of listings pre-pandemic.” “Although new listings have recovered through 2021, the underlying picture is that vendors have only gradually returned to the market whereas demand has remained robust.”
That is a flavour of the national picture, but the important question for any of us is, what is happening in my area?
According to the Property Price register (up to 17th Nov. ) there were 132 properties sold in Ballincollig so far this year, 2021. 10 of these were new homes, the other 122 were a mix of second-hand homes, apartments, semi-detached, bungalows and detached properties. (source ppr.ie)
Demand for homes is very strong in Ballincollig with the Global Properties office fielding in excess of 10 mortgage approved enquiries every day. Many of these potential buyers are working in Dell, VMware, or Ballincollig’s numerous employers.
Rentals in Ballincollig are also in very strong demand. Ballincollig is in a Rental Pressure Zone (RPZ), which severely restricts the rent one can charge, leading to many landlords selling their property. With over 90 enquiries for each property to let, the goal is to get the best tenant possible for our property owners. There are a lot of bad tenants out there and every week we hear horror stories from landlords who let their property themselves and are seriously regretting their choice of tenant, and often losing out on 12/24 months of rent.
If you are thinking of selling or letting a property, Global Properties will provide you with a “no obligation” analysis of your properties value and provide a marketing plan to get you the best results.
Global Properties are locally based auctioneers with offices in Ballincollig and Cork City and have been advising sellers and landlords for almost five decades.
At present enquiries are greater now than they were during any time over the last 5 years. Con Nagle of Global says that “There are more buyers out now than at any other time in the last five or ten years. Surprisingly, the months of December and January can be good months to sell as there is less homes on the market, and any viewers are deadly serious.”. So give Global a call and we can get started on marketing your property.
Bottom Line: If you are waiting for spring to list your home because you think that’s when the buyers will be out in force, perhaps you should reconsider. Buyers are out right now!
Call us in Global Properties now (on 021-4877133), and we will sell/let your property fast, efficiently, hassle free, and for a good price.