Real Estate Alliance

Kerb Appeal

2012-01-26T12:14:00.001Z

KERB APPEAL

Whether the market goes up, down, or remains static that is outside any one persons control. Therefore a vendor looking to maximise his price must look at what can be done internally and externally to make his property more appealing.

A Canadian couple I once acted for were our clipping, sweeping and washing windows at the front of their house when I came to take photos. On asking the reason for such industry he replied “Harry this house must have kerb appeal,” advice I have often passed on to vendors over the years. A good first impression is most important.
Internally all the usual apply – toys cleared away, clean and neat presentation, beds made, animals tied up or in kennels.

The other area I want to highlight (which only applies to estate dwellers) is the condition of the estate itself.

To get an estate looking well it requires collective responsibility, which also involves a small investment. It astonishes me to hear that so many residents associations have difficulty in obtaining payments of just €100 or €150 from households considering the value that such a contribution makes to their property. It is easy to adopt a “me fein” attitude – I am not selling so why should I bother but at some stage that attitude is likely to bite back.

A purchaser viewing property first visits the estate and if there isn’t a “kerb appeal” to the estate itself then often they may not wish to pay an internal visit to the house chosen. A poorly kept estate with graffiti, broken trees, un-mowed greens gives a really bad impression and irregardless of how any one individual might keep their house its value is greatly undermined by the estate itself. You are not talking small money here it could be €10/20,000.

A well-kept estate sends out a very positive message – we care, the kids are well behaved, your neighbours are likely to be decent, there won’t be vandalism. Whilst some of those may not be borne out non-the less those are the qualities that most purchasers want to find.
There are many examples of well kept estates in Carlow, probably the most eye catching being Heatherfield Court. It is no surprise therefore that houses sell quickly in this area.

Harry Sothern, F.I.A.B.C.I.
Director REA.

REAL ESTATE ALLIANCE Announce New Chairman for 2011/2012

2011-10-27T22:10:00.003+01:00

Real Estate Alliance, welcome their new Chairman, Mr Michael Boyd of Boyds REA, Kilkenny, coupled with a wealth of property experience, Michael has a special interest in protected structures and period buildings and the planning and legal environment within which they are owned, operated and developed. He is a long term member of the Irish Georgian Society, An Taisce, and the Kilkenny Archaeological Society

Newbridge Farm sold at auction for €2.37 million

2011-10-27T21:27:00.004+01:00

Brophy Farrell, Newbridge, Co Kildare sold a c.197 acre farm was sold today at auction for €2.37 million. Well done Brian.

CHAIRMAN OF REA RE-APPOINTED TO THE BOARD OF THE VALUATION TRIBUNAL

2011-08-08T12:23:00.000+01:00

Real Estate Alliance welcomes the recent Government Re-Appointment of Patrick Riney to the Board of the Valuation Tribunal, which he has been a Member of since 1994. He is the Chairman of Real Estate Alliance, a Director of Orchard REA, Dublin, and Vice-President of the Irish Chapter of FIABCI, the International Real Estate Federation.
Pat’s experience of the Irish and International Property Business spans over 30 Yrs. and as a respected Chartered Surveyor, he has extensive experience in Commercial, Industrial, Residential, and also has considerable experience in the Social Housing Sectors.
Pat deals with Valuations, Sales, Lettings, Property Management and all other aspects of the Property Market.

Philip Farrell announced

2011-08-03T10:28:00.001+01:00

Real Estate Alliance is delighted to announce the recruitment of Philip Farrell to the position of Business Development for the Group. Philip, a recognised expert in the field of property will be responsible for the continuing development of the REA Group across Ireland and abroad.

Boom property details at last laid bare

2011-08-03T10:22:00.001+01:00

Vast scale of operations of a State agency vital to Ireland’s recovery is disclosed in a timely and transparent way, writes SIMON CARSWELL, Finance Correspondent in the Irish Times.
FROM ZERO to a working State agency with €72.3 billion in loans and a staff of 150 people in just 20 months is quite some feat.Add to this the fact the National Asset Management Agency is one of the most controversial political creations and one of the most unpopular, and you get an idea of the work completed.
It was timely therefore that Nama should disclose more information than ever before when it published its first annual report, covering 2010, at the Treasury Building in Dublin yesterday

Great value properties on www.realestatealliance.ie

2011-07-20T14:19:00.000+01:00

Check out the lower end of the market on the website as there are alot of properties under 200,000 for sale throughout Ireland

House prices continue to decline

2011-07-12T14:46:00.000+01:00

House prices continued to decline in the second quarter of the year, two new surveys showed today.Property site MyHome.ie said property prices fell 4 per cent over the three months, bringing the total fall since the peak to 40 per cent.

Boots To Open First Store in County Roscommon

2011-05-24T12:29:00.001+01:00

Seamus Carthy of Carthy REA has confirmed Boots, the international Pharmacy Led, Health & Beauty Retailers have taken occupation of a 4,100 Sq.Ft Retail Unit situated on Main Street, Roscommon Town. Boots have taken occupation of a unit that was provided to a shell specification by Mr. Carthy clients and a Full Fit out of the shop which will take approx. 8 weeks and will provide a state of the art pharmacy led, health and beauty shop is underway. Seamus Carthy of Carthy REA acted for the Landlord and Karl Stewart of DTZ acted for the Tenant

It's a Buyer's Market

2011-05-10T10:59:00.001+01:00

According to REA market activity will remain sluggish throughout 2011 into 2012. “Until such time as the macro economic situation improves, employment increases and banks start to lend again it will remain a buyers market. Sales, if and when they occur, will be achieved by the vendors that offer buyers the best value for their money. Cash is king.” Concluded Mr. Riney

Prices down by 50%

2011-04-26T10:40:00.000+01:00

A new survey by REA, agrees that prices “achieved” for private treaty sales are down by an average of 50% from early 2007. The group surveyed their 35 nationwide offices on actual sales in the first quarter of the year, looking to compare prices with the market peak. According to CEO of Real Estate Alliance, Eimer O’Keeffe, “to truly ascertain the level of the marketplace it is important to look at actual sales at private treaty, rather than examining asking prices in various reports.

Increase in interest from Investors

2011-04-26T10:37:00.000+01:00

Estate agents in Ireland have reported an increased number of people viewing properties since the auction and an improvement in consumer sentiment, but they’re conscious that any improvement in activity levels is dependent on the availability of finance.
‘‘It’s been fairly uplifting following on from the auction, it’s been the talk of the town since. It’s very positive for the market," said Lisney director John O’Sullivan

Changing repayments on mortgage to bi-monthly

2011-04-04T09:50:00.001+01:00

Irish consumers are conditioned to pay their mortgage on a monthly basis but this can cost a lot of money. If, instead of paying monthly, you pay your mortgage every two weeks then you could easily dramatically cut its cost over the full term.
If someone has a €300,000 mortgage taken out over a 30-year term and they make a monthly repayment, it will cost €1,610.46 every month, based on an average interest rate today.If they pay twice a month, it will cost them €805.23 each time. So they are paying exactly the same amount every month.
But when a person pays monthly, the total interest on that loan over the full 30 years is €279,767.35 or €777.13 a month. If, however, that person pays off the mortgage twice a month then the total interest falls to €226,466.56 or an interest payment every bi-weekly period of €289.60.

Unfair on First Time Buyers

2011-03-29T11:27:00.002+01:00

MORTGAGE experts have criticised as "unfair" the decision to abolish mortgage interest relief for first-time buyers.Those new home buyers will lose more than €30,000 if they do not purchase a property before June when mortgage interest relief is to be stopped. Currently mortgage interest relief is available to first-time buyers for up to seven years after they buy their property. The changes to the relief — also known as Tax Relief at Source (TRS) — are outlined in the Programme of Government. The new measures include an increase in TRS for people who bought properties between 2004 and 2008.

REA national property auction.

2011-03-14T10:44:00.001Z

REA intend on running National Property Auction at the end of May 2011. Further details to be released soon.

Low percentage borrowing in South East

2011-02-15T11:34:00.003Z

Sothern REA in Carlow has reported a number of sales in recent weeks. They sold 4 rent to buys away in the last 2 weeks and 3 small property sales with properties under 150k. According to Harry Sothern, "there seems to be a trend towards low % borrowing as purchasers are afraid of job security and they don't want to leave themselves exposed.

Properties under 150k selling for REA agents

2011-02-02T12:19:00.003Z

Seamus Carthy of Carthy REA in Roscommon is reporting a number of sales so far in 2011. A Traditional 3 Bed cottage in Mount Druid, Ballinagare sold for €110,000. A 3 Bed Semi Detached in Ballinagare Village, Co. Roscommon sold for €85,000. A 3 bed Semi Detached (unfinished) in the Tarmon Manor Residential Development in Castlerea sale agreed at €100,000. A Traditional Cottage with 22 Acres in Ballinlough, Co. Roscommon sale agreed at €170,000.

The Property Market near the bottom

2011-01-12T14:54:00.002Z

THE IRISH commercial property market is finally showing signs of bottoming out after three disastrous years.Overall returns for 2010 published yesterday by Jones Lang LaSalle in its long-running Irish Property Index recorded a fall of 1.6 per cent – a vast improvement on the drop of 19.2 per cent recorded in 2009.

REA welcome stamp duty reform

2010-12-09T09:29:00.002Z

The Group believe it will help the residential sector recover somewhat in volume and give the property sector a much needed boost. Although stamp duty reduction makes movement easier the Group are unsure if it applies to commercial property which is key for business flow . According to Board Member Michael Gavigan, “the u turn on s 23 expiring in 2014 has not factored in that most investors are heavily in debt on their investments which were made in good faith at inflated values to factor in the tax benefit . The government promoted these schemes which created much employment & revenue for the country and now announce that they expire in 2014 which will greatly reduce their value and lead to a far higher rate of default which the taxpayer will ultimately have to foot the bill. This u turn is ill considered and does not factor in peoples risk taking and debt”

National Property Policy

2010-12-06T11:55:00.001Z

"In view of the severe downturn in the property market, it would be grossly unfair to expect property owners to sustain such proposed increases in Taxes and Reductions in Tax Allowances as indicated in the Four Year National Recovery Plan. It is important for the Government to realise that Property can contribute to the Recovery. It would be our suggestion that a National Property Policy be prepared by Business owners, Landlords & Tenants, Property Professionals as well as the Legal community”, according to Patrick J. Riney.

REA welcome new Chairman at AGM

2010-11-29T15:58:00.000Z

REA held their AGM in Buswells Hotel in Dublin, on Friday, 26th November 2010. The appointment of Patrick J. Riney, Director of Orchard Real Estate Alliance in Rathfarnham as Chairperson of the national property group and Seamus Carthy of Carthy Real Estate Alliance, Roscommon as Vice-Chairperson were ratified by the grou

2010-11-23T11:34:00.001Z

Real Estate Alliance offer a National Property Service to their clients. Read more on our SERVICES page. http://www.realestatealliance.ie/our-services/national-property-services/

Eoin Dillon reports some recent sales

2010-11-22T16:35:00.001Z

Eoin Dillon REA in Nenagh has reported a number of sales in the last few weeks. Afew were bought by first time buyers. One was a 2 bed end of terrace for €110,000 and the other was a 3 bed mid terrace for €107,500 which was only on the market 3 weeks.
Also a 5 bed new detached dormer was sold for €285,000 and a 4 bed bungalow for €165,000. A 3 bed detached holiday home was sold on the lake for €150,000

Paul Grimes auction success raised €20,500 for Charity

2010-11-08T12:27:00.000Z

Paul Grimes, Director of Grimes REA in Ashbourne & Skerries and Board member of REA conducted a Charity Auction on behalf of The Paul Stafford Foundation in the Mansion House on Friday the 5th of November. He raised €20,500 alone in the Auction and all proceeds will be given to 1Life, a suicide prevention 24 hour helpline
The Paul Stafford Foundation was established in 2007 to raise awareness and address the serious issue of suicide in Ireland. It was founded by a group of people who were directly affected themselves by suicide and had lost someone they loved to this ever increasing problem. www.paulstaffordfoundation.com
1life is a dedicated 24 hour freephone national suicide prevention helpline 1800 247 100 www.1life.ie

Good time to Buy

2010-11-04T10:13:00.001Z

AN economist who was the only person in the property industry to label the housing market a bubble said yesterday that now is the right time for new buyers to enter the market.Derek Brawn, whose book on the property market predicted the bursting of the bubble, said first-time buyers should buy now once they find a property at the right price.The optimal time to buy a house was not at the bottom of the market but just before the market hit the bottom, Mr Brawn said. A year before the bottom of the housing market is the ideal time to buy, he said.

Real Estate Alliance defer National Property Auction

2010-10-04T10:06:00.000+01:00

Real Estate Alliance, the national property group, who held the first National Property Auction in April 2010, has announced that they are deferring their next National Property Auction until Spring 2011. In a statement, the group point out that "the current economic climate is not conducive for such an auction".
The Real Estate Alliance group have extensive knowledge of the market and have concluded that "the time is not right due to a myriad of reasons from the upcoming budget to availability of suitability properties.

AGRICULTURAL LAND SELLS FOR €16,000 PER ACRE AT STRAFFAN, CO. KILDARE

2010-09-30T17:30:00.000+01:00

AGRICULTURAL LAND SELLS FOR €16,000 PER ACRE
AT STRAFFAN, CO. KILDARE

Coonan Real Estate Alliance of Maynooth and Celbridge have sold 38 acres of land located at Barberstown, Straffan, Co. Kildare at Auction today for € 610,000 which represents € 16,000 per acre.

Will Coonan, Auctioneer, looked for bids and bidding opened at €400,000 and moved quickly to the €610,000 when it was put on the market and subsequently sold. There were five active bidders most of whom were farmers.

The land is in one large rectangular field on the Celbridge/ Barberstown road c. 4 miles Celbridge, 5 miles Maynooth and 1.5 miles from Straffan,. Dublin City is just 13 miles away. The land is of prime quality and is presently in tillage.

The price achieved is a healthy one particularly in the present economic climate and is a good indication of the value of agricultural land in the North Kildare area.

Hynes REA selling former PTSB offices in Athlone

2010-09-29T09:43:00.000+01:00

The unusual octagon-shaped former Permanent TSB offices at 22 Mardyke Street, Athlone, is being offered for sale with an €850,000 price guide. The 310 sqm three-storey over-basement premises became surplus to requirements following the bank's consolidation into the John Broderick Street premises.The Mardyke Street property offers about 170 sqm of retail and financial services space at ground floor as well as access to first and second floor office suites, so it could suit a retailer with an option to generate investment income.Healy Hynes, of agents Hynes Real Estate Alliance, says the building is located in the heart of Athlone's commercial area, near the Athlone Town Centre and Sheraton Hotel, and there are more than 2,000 parking spaces available within a five-minute walk.

A good time to buy Irish Commercial property?

2010-09-13T12:15:00.000+01:00

There is no shortage of buyers of Irish commercial investment property, despite arguments that no market exist

TE Potterton REA in Trim sold Farm at Auction

2010-08-31T16:33:00.000+01:00

T E Potterton Real Estate Alliance Trim
52 acres at Clongowney Crossakiel Kells with Full Planning Permission for a residence of c.2,800 sq ft SOLD AT AUCTION for €360,000

REA commercial listing for Dublin area online now

2010-08-09T10:56:00.001+01:00

Check out our lastest listing for Dublin Commercial Property http://www.realestatealliance.ie/assets/files/commerciallisting.pdf

T&J Gavigan Kells reporting 14 sales over last three months

2010-08-09T10:45:00.002+01:00

T&J Gavigan REA in Kells are reporting an increase in sales activity over the last few months. According to Cara Gavigan, "if the price is right, the properties are moving". Since the M3 opened, we are experiencing an increase in the level of inquiries".

Ashfield house, Slane on the market for €465,000

2010-07-20T13:58:00.001+01:00

Ashfield Cottage & Mews, Beauparc, Slane is a delightful original stone built cottage which has been sympathetically restored and extended (196 sq m / 2,110 sq ft) with an abundance of style and attention to detail and incorporating all the requirements for a most comfortable 21st century lifestyle. Ashfield Cottage is on the market with an asking price of €465,000 and viewings are by appointment through the joint selling agents O’Brien Collins REA (041 987 5444) & TJ Gavigan REA (046 902 3232).

REA reviews property market for first six months of 2010

2010-07-05T12:37:00.000+01:00

A new survey by nationwide property consultants Real Estate Alliance agents reports signs of increased demand for properties from First Time Buyers Market in recent weeks. While the group agrees that prices “achieved” are down by an average of 50% from early 2007, they predict that prices are levelling off and expect very little decrease in prices for the remainder of 2010 as there are signs of stability in certain sectors of the property market.Real Estate Alliance sale agreed over 600 properties in first six months of 2010 with levels tailing off slightly in the month of April after an encouraging first three months of the year. In recent weeks, levels of activity have increased again and members are reporting over 150 sale agreeds for the month of May and approximately 115 for the month of June.

Stunning House new to market in Ardmore, Co. Waterford

2010-06-17T10:22:00.001+01:00

http://www.irishtimes.com/newspaper/property/2010/0617/1224272686208.html

Coonan REA sell 68 acre farm for €1.26m

2010-06-08T09:42:00.001+01:00

The 68 acre tillage farm at Broomfield, Ballyboughal, North Co. Dublin attracted considerable interest over the past few weeks in the run up to the auction particularly from the local farming community.

Coonan Real Estate Alliance offered the farm for sale in lots as follows
LOT 1 : Farmyard on 23 acres
LOT 2 : Lands c. 30 acres
LOT 3: Lands c. 15 acres
LOT 4:|Entire , yard and lands c. 68 acres

The lots were put up first and then the entire was offered.
Initially, the lots were bid as follows by 8/9 bidders;

LOT 1 ; Bid to €420,000
LOT 2: Bid to €380,000
LOT 3: Bid to €230,000

The entire was then offered looking for bids over these cumulatives.

Three bidders for the entire then battled it out until the hammer finally fell at
€ 1,260,000 representing € 18,529 per acre

The farm located just 1 mile from the village of Ballyboughal, 6 miles from Swords and 13 miles from the city centre is a superb tillage farm with over a mile of road frontage and five gateway access points to road. The farm was in five main divisions and was primarily in tillage with 8 acres in pasture. There was a farm yard with cattle shed, crush , outhouse and sheep pen along with an old mobile home in yard.

The purchaser was believed to be a farmer from North County Dublin.

Coonan Real Estate Alliance 2nd June 2010

Sothern REA sell 41.5 acreas of land at Auction for €466,000

2010-06-08T09:41:00.001+01:00

At the auction of a 41.5 acre holding on the edge of Rathdowney it was apparent that most Irish men or women still want to own an acre. Over 50 people attended the auction and there were 5 active bidders. The hammer eventually fell at a figure of €466,000 or an average price of over €11,000 per acre.

The holding bordered on one side by the Erkina River and the other side by Rathdowney Golf Club has been in permanent pasture for many years.

All of the bidders were farmers and it shows that people are still of the opinion that land is best as no more of it is being made and as a long term investment is better than shares or other funds which we have seen decimated over the last couple of years.

George Sothern of Sothern REA was obviously very pleased with the result and he feels that this shows the sound investment land is and the backbone of our economy and country

Coonan REA sold Pub & Adjoining Land for €900,000

2010-05-26T09:27:00.001+01:00

The Royal Oak public house at Mainham, Clane, Co Kildare, together with three small adjoining lots of land, has been sold for around €900,000. It is one of a number of licensed properties which have changed hands in the Greater Dublin Area in recent times.

The Royal Oak, on 19 acres of agricultural land near Clongowes Wood College, went for auction last month and one of the lots -- consisting of 3.5 acres -- went under the hammer for €125,000
http://www.independent.ie/business/commercial-property/pub-and-adjoining-land-lots-pull-in-8364900000-2194086.html

Real Estate Alliance now on Facebook

2010-05-13T15:00:00.005+01:00

Visit our facebook page set up as Real Estate Alliance Ireland http://www.facebook.com/realestatealliance

At least 10 further properties under offer

2010-05-05T15:23:00.001+01:00

Real Estate Alliance hope to announce a further 10 sale agreeds in the next week or so as at least 10 lots are currently under offer.

REA National Auction deemed a success despite difficult market conditions

2010-05-01T18:57:00.001+01:00

Real Estate Alliance held the first ever giant property auction in Ireland today at Dublin's Shelbourne Hotel. The auction was deemed a success with 27% of the 61 lots selling amounting to 16 properties raising €3.9 million. In summary, a total of 16 lots were sold on the day today, with further lots potentially being sold post auction in the coming days

Legals online now

2010-04-26T17:08:00.001+01:00

The majority of the legals are online now for the REA National Property Auction.

REA Auction - Online Catalogue available now

2010-04-13T12:54:00.002+01:00

Check out our online catalogue on http://www.realestatealliance.ie/national-property-auction/

71 LOTS Confirmed for REA National Auction.

2010-04-01T00:50:00.001+01:00

Real Estate Alliance, has received a phenomenal response from those looking to sell property. Real Estate Alliance has just announced that a massive 71 lots have just been confirmed. 65% of the 70 lots comprise of residential properties presenting superb value for those looking to capitalise on low prices, ranging in AMV from just €60,000 to €1.5 million. Commercial properties comprise of commercial, retail opportunities, industrial units and land. The auction, the first of its kind, will take place in Dublin’s Shelbourne Hotel on Friday 30th April and is expected to attract a broad mix of buyers including those looking for good commercial business opportunities and also those hoping to secure a residential bargain.
http://www.realestatealliance.ie/national-property-auction/

First Carlow Land Auction 2010 was a successful outcome

2010-03-26T11:09:00.000Z

Dawson Real Estate Alliance held their first land auction of 2010 this week on the 24th of March offering 24.6 acres in three divisions. There was good interest on the day mostly coming from local and neighbouring farmers. The lands were sold to three purchasers from the locality and made an average of €10,264 per acre.
John Dawson commented after the auction that he was satisfied with the outcome and that the land values appear to be settling, and he also said he had a number of clients looking for good quality land.

ACC bank sells within four weeks

2010-03-24T15:02:00.000Z

ACC bank sells within four weeks

The former ACC bank premises at Main Street, Roscommon, was sold this
week by Carthy and Associates Real Estate Alliance, with the sale being agreed within four weeks of going to the market.

The building was sold for €575,000, €75,000 over the guide price of €500,000. The purchaser was a local professional businessman.

Speaking to Roscommon People, auctioneer Seamus Carthy
of Carthy & Associates REA in Castlerea, said, “I can confirm that we
agreed the sale within four weeks of it going on the market. The
property, without any huge advertising campaign, generated substantial interest and Carthy and Associates conducted in excess of
20 viewings.

“Due to the quality of the building and the attractive guide price of €500,000, over sixteen bids came in on the property. As part of the requirement from ACC Bank, each bid had to confirm that they had funds in place. All interest in the property was local as it preceded any national advertising campaign.

“ACC Bank comprised of a relatively new building measuring 255 sq. metres, over three floors, finished internally and externally to a very high specification. As such from any potential purchaser’s point of view, it was a building that was ready to go with very little outlay to be incurred once purchased.”

The three storey end-of-terrace building with a single storey extension to the rear enjoys a prime location on the Main Street of the county town. Noting that the former bank premises achieved in excess of €100,000 over the guide price, Mr. Carthy said, “If properties are priced correctly, there is substantial interest out there from buyers who have funds in place.”

Carthy and Associates now have a substantial list of people who have expressed interest in quality properties at the right price. These people have funds in place and are actively seeking property opportunities. Seamus Carthy is available in confidence to talk to any parties who wish to sell properties in the currently climate. Good advice and approaching the market correctly is the key to successfully selling property in the current climate. Sellers need quality professional advice and Seamus Carthy is available at (094) 96 25990 (office) or (086) 8035538.

Successful Opening Launch at Hazelwood Celbridge Co.Kildare

2010-03-15T15:35:00.000Z

Hazelwood Celbridge built by Maplewood developments had a very successful opening launch last Saturday and Sunday. With huge crowds around on both days Coonan Real Estate Alliance reserved 17 houses in total and expect to reserve some more over the next day or two. An estimated 400 people viewed the houses over the weekend.
The three and four bedroom showhouses received great praise for their bright and spacious accommodation including a host of standard features such as solar panels, recessed lights on the ground floor, maintenance free exteriors and front and back gardens. The buyers were very impressed with the standard of finish and the fact that each house comes with a minimum B1 energy rating.
With prices from €265,000 buyers felt they were getting good value considering the three bedroom houses measure 1206 sqft and the four bedroom houses 1550 sqft. The buyers were a mix of young families trading up as well as first time buyers and people trading down.

As Phase 1 is now sold out Coonan Real Estate Alliance are taking reservations on the second Phase.

For Further details contact Coonan Real Estate Alliance 01-6288400.

First National Property Auction Set To Stimulate Market

2010-03-01T10:16:00.003Z

REA is to host a National Property Auction featuring a wealth of residential, commercial and investment properties from right across the country. The auction, the largest and first of its kind to be held in Ireland, which will feature both residential and commercial lots, will take place in Dublin’s Shelbourne Hotel on Friday 30th April http://www.realestatealliance.ie/national-property-auction/
The auction’s announcement is timely with Real Estate Alliance members having seen positive movement in the market since the turn of the year. The property group believes the formula, having worked particular well in the UK, will act as a positive catalyst to help stimulate the market nationwide.
The April auction will feature a broad mix of both residential and commercial property lots from all sectors of the market but with one thing in common – they will offer excellent value for buyers. The residential opportunities will appeal to first time buyers, those looking to trade up and those looking for renovation projects.

REA, has called on banks not to increase bank interest rates.

2010-02-16T16:20:00.002Z

National Property Group, Real Estate Alliance, has called on banks not to increase bank interest rates. Commenting on the rising of certain rates, Michael Boyd, recently appointed Chairperson of Real Estate Alliance and Director of Boyd’s Real Estate Alliance in Kilkenny, “the Irish property market is in a precarious position and we believe that raising bank interest rates will be counterproductive”.

REA website re-launched

2010-02-12T11:36:00.000Z

Commenting on the re-launch of Real Estate Alliance, Eimer O’Keeffe, CEO of Real Estate Alliance, commented; “Realestatealliance.ie is designed to be a must see for anyone thinking about buying or selling a property or land, whether they are a first time buyer, trading up or an investor. The website will also be an important marketing tool for our Agents to promote their offices and to inform people of their services.”

Mr. Michael Boyd of Boyd’s REA and Chairman of REA further commented, “This is a period of unprecedented change right across the spectrum of property from the fluctuating values of your home to the issues NAMA raise for all of us in the years ahead. Real Estate Alliance has set itself the task of being at the forefront of professional advice on every aspect of property in these difficult times. This new website shows the range of advice and services we offer you, the standards to which we aspire and our pride in giving you the best advice available”.

houses down by over 30%

2010-02-09T14:22:00.000Z

Mr. Boyd pointed out that there is evidence to indicate some positivity in the market, “With stocks of houses down by over 30% and signs of price stabilisation being seen in parts of the country, the bottom of the market is starting to emerge”. He continued, “Lending levels are at an all time low as indicated by the most recent Central bank reports which showed that there is more being paid back in mortgages on existing mortgages was more than what’s been given out in new mortgages”.
Mr Boyd suggested that, “It’s this stability of ECB rates remaining low, coupled with a continuation of the pattern established in the market over recent months, both in buyer confidence and vendors expectations that will allow the market to return to a more normal activity level over 2010”. He feels, “however, recent increases in rates by PTSB, if followed by other banks may well act to endanger this stability and spark a fresh round of price drops”

According to Vice Chairman Patrick Riney, “the banks are acting against their own best interests by increasing rates when their customers are at their most vulnerable. The ECB has recognised this by leaving base rates at their historic low and by acting against this direction; the banks will endanger any recovery and may precipitate a longer term revival”. “The increase of rates will only act to further punish those in difficulty and frighten those that are reticent to spend,” he continued.

The Real Estate Alliance group are aware that the banks claim they are losing money due to the relatively low interest margin now being achieved by Irish bank.
However true this may be, it’s a relatively new phenomenon for Irish banks that historically enjoyed such high level of margins and deposits that foreign banks and institutions were attracted into the system in recent years.

Real Estate Alliance recommends that reducing deposit rates by 0.5% instead of raising interest rates will widen the spread on rates improving the banks net margins.
According to Real Estate Alliance analysis, 12 months deposit rates in Irish banks are now at 3.2%, 220 basis points above ECB rates, 200 basis points above Euribor lending rates and only 49 points below the new PTSB variable lending rate.
In addition, the most recent figures by Consumer Market Monitor show that Irish savings are at an all-time high with people putting away 11pc of their disposable income in 2009, compared with just 3pc in 2007. According to Mr. Riney, “increased consumer confidence and spending will be the stimulus that drives an overall economic recovery according to Real Estate Alliance and instead of increasing lending rates; the banks should be reducing deposit rates”.

“Banks may argue that they need these deposit to improve their balance sheets however we cannot allow the €400bn of state guarantees, €11bn of recapitalisation and €77bn of assets being acquired by NAMA to go unacknowledged,” according to Mr. Riney. He continued,” we all realise that historically low rates like these cannot continue forever, but the timing of rate rises has to be done in conjunction with a more holistic view of the economy. Raising rates in advance of economic ability to repay can only lead to increased levels of arrears, further erosion of any equity that owners may possess and downward pressure on market recovery.”

The members of the Group agree as PTSB has not applied to access NAMA funding, nor has it been recapitalised, it remains largely outside the remit of Finance minister and his offices. And whereas if the Minister for Finance cannot explicitly instruct the banks not to increase their rates, as a substantial shareholder and stakeholder in the sector with directors on the boards of most of the major institutions, it can be made clear to the executives that actions such as this will not be tolerated and may endanger the working relationship of the department and the banks.

REA shows 30% few homes on the market than 12 months ago

2010-01-25T11:47:00.001Z

The nationwide survey by Real Estate Alliance shows 30pc fewer homes on the market than 12 months ago. “In all sectors, we are seeing significant decline in homes available.” According to the Real Estate Alliance chairman Michael Boyd. “On average, there are 30% less homes on the market now than there were 12 months ago.”

In the second hand sector, Real Estate Alliance study estimates the supply of apartments fell 19%, bungalows by 32%, detached homes by 35%, terraced by 18 % and semi detached homes by 34%.
With bank lending particularly focussed on the first time buyer sector, this last figure is of particular interest to the national property group.

Michael Boyd elected as new chairman for REA

2009-12-07T14:59:00.001Z

The appointment of Michael Boyd, Director of Boyd’s Real Estate Alliance in Kilkenny as Chairperson of the national property group and Patrick Riney of Orchard Real Estate Alliance of Rathfarnham as Vice-Chairperson took place on the 27th of November 2009.

“We have the experience to guide our clients through this”, said the incoming Chairman, Michael Boyd. “Our members are long-standing in their communities and have the expertise to get through these challenging times. We were never under any illusions that the property sector is cyclical. We have been through recessions before and come out the other side. Many of the Real Estate Alliance agents are lucky in that they are not overly dependent on the residential market, which has been hardest hit and as such they are busy doing valuations, rating appeals and giving professional services to our clients

REA welcome in a new era of high quality valuations

2009-12-07T14:57:00.001Z

Real Estate Alliance, the national property group comprised of some of the country’s longest established estate agents, held their AGM in The River Court Hotel in Kilkenny, on Friday, 30th November. The whole area of how the banks are now taking a much more professional view of how valuations are been carried out were key items on the agenda as the group looked at what the year ahead may bring for the property sector. The appointment of Michael Boyd, Director of Boyd’s Real Estate Alliance in Kilkenny as Chairperson of the national property group and Patrick Riney of Orchard Real Estate Alliance of Rathfarnham as Vice-Chairperson were also ratified by the group.

Real Estate Alliance members met after one of their hardest years yet but found many reasons to be positive. There was 100% attendance by the members at the AGM, no agents left the group in 2009 and the Group has no debt. The Group have recently acquired large valuation contracts for banks, various litigation cases and a number of Government departments.

The banks were on everyone lips during the day as some of the country’s longest established estate agents agreed that because the whole area of credit assessment criteria has now to be taken seriously by the banks and a consequent of this, valuation standards will have to rise. Real Estate Alliance has been calling for Irish valuation standards to match international criteria for years. According to the incoming Chairman, Michael Boyd, “the impending NAMA regime should result in the valuation process being put at the central of the credit assessment system.

Follow us now on Twitter

2009-11-02T15:35:00.003Z

Real Estate Alliance is now in twitter. Follow us on www.twitter.com/REAIreland.

Windfall Tax will have a devasting effect on the market.

2009-11-02T11:42:00.002Z

REA agents think the proposed 80% windfall tax will have a devastating effect on the Market for one off sites as well as for any proposed sale of land in the future close to towns/cities which could be developed.

Many people through no fault of their own have land close to towns frozen for proposed by-passes for 10 + years and now that could be subject to the 80% tax. They could have sold or developed it if it was not frozen.

As sure as night follows day, we will slowly come out of this recession and if the 80% tax stays it will drive up the price of houses again because land will not be released for sale because of punitive taxes.
The 40% capital gains tax of the 1980’s and early 90’s prevented the release of land for development so we can only speculate what will happen if the 80% windfall tax is introduced.

Hynes believes the worst in over and things are straightening out

2009-11-02T09:23:00.000Z

"We've seen a steady improvement in house sales since the start of this year, particularly since last August and September," said Hynes. "Confidence is a bit better. People realise there's value to be had out there. Sales are thousands of times better than this time last year."

Hynes believes the property market went into recession about a year before the rest of the economy, and is more likely to recover before other sectors. "There is an upturn slowly coming through," said Hynes. "The worst of the downturn is gone."

September activity increased slightly

2009-10-12T16:36:00.001+01:00

Real Estate Alliance report slightly increased buying activity around the country in September, mainly among first time Buyers.REA’s Barometer of members shows 34 offices reports that 171 sales were agreed in September. This compared to 150 in March and 164 in April, spring months which provide comparative activity periods.
Of the latest sales agreed, 114 were for second-hand properties and 57 for new properties. According to CEO Eimer O’Keeffe, second-hand homes fared better because they tended to be in better locations. “However, it all comes down to price. The vendor for a second-hand property can be keener to lower its price to move into their new home so there is a lot of room here for negotiation”, she said.The total number of enquiries recorded by the 38 Estate Agencies within the group was 4560, an average of 120 per month. This demonstrates a 15pc increase compared to March 2009.
In terms of contracts signed, REA can report a total number of 165 contracts signed for September divided between 76 second-hand homes and 89 new homes. Ms O’Keeffe added; “There seems to be a positive shift with more viewers looking to buy, all under the €250,000 bracket. There is a marked improvement in activity in South West County Dublin. “Our agents in Rathfarnham, Orchard REA reported a 20pc increase in enquiries, five sale agreed and four contracts signed in September. According to Kevin Riney of Orchard REA, “prices are down by 50% and buyers know there is good value”.

Jeanne Walshe of Cumisky REA said the Balbriggan second-hand market is quite slow with properties priced above €200,000 experiencing difficulty. She said, “Purchasers have a huge range of options at great value and schemes such as Dun Saithne Green sold quite fast. Two bed there from €128,000 and three beds from €140,000 sold out in less than two weeks, with only four mid terrace units available.

Has the economy paused your Redecorating plans?

2009-10-05T09:21:00.000+01:00

Fear not, 10 Top “R” Tips to transform your home from the doom and gloom during this Recession.

In today’s economic downturn, cost cutting and drastic budgeting, all plans to redecorate our homes are put on the back burner for the time being. Just The thought of redecorating our home sounds crazy! In reality, redecorating our homes doesn’t need to cost a lot. All you need to do is plan wisely.

Make a plan today, pick a paint colour or throw out those old pictures that are fading. Piece by piece, you'll get into the groove of turning the house into your designer home! Read more on NEWS section

Traffic up 30% on website since August

2009-10-05T09:18:00.001+01:00

On our google analytics, we have noticed an increase in traffic to both our websites. Traffic is up by 30% on last month's traffic

REA agrees a further 150 house sales in May

2009-07-07T15:23:00.001+01:00

THE Real Estate Alliance Group agreed a further 150 house sales nationwide last month. But enquiry and viewing levels tailed off a little.
While sales agreed matched the previous month, the latest REA Property Barometer for the month of May shows that finalising deals remains a slow process with the figure for contracts signed at 114. REA chief executive Eimer O'Keefe reports that 4,000 enquiries were processed by the 38 group member firms around the country last month -- down five pc. The total number of viewings was down three pc at 1,350.
Ms O'Keefe noted that the level of enquiries are back to March levels, but pointed out that activity traditionally slows during the summer months.

2009-07-07T15:21:00.000+01:00

REA members reported considerable evidence that the residential property prices are decreasing at a much slower pace in the last three months. Price decreases are near to static since March 2009. However, Real Estate Alliance agents can report an overall average decrease of 35% since June 2007 to now. There was evidence of a fall of 15% between Jan and March 2009 and a maximum of 5% decrease since March 2009. In some areas no decrease was reported for this period.

According to Eimer O’Keeffe, CEO of Real Estate Alliance, “Most locations saw an average decrease of 38% in the sale of New homes. Kilkenny, Bundoran, Navan, Kells, Ashbourne and Balbriggan all reported decreases of up to 40% in new homes prices since June 2007. Smaller decreases of around 25% were experienced in Leitrim, Cavan, Carlow, Nenagh, Killarney and Nenagh”

Top Tips to survive the recession

2009-05-05T12:22:00.000+01:00

TOP TIPS TO SURVIVE THE RECESSION

BE POSITIVE
It’s important to look beyond the short term to the medium and longer term:
n Stay positive about what makes your business great
n Stay positive about your passion for the business
n Stay positive about the future you will create for your business and yourself
n This will have a knock-on effect on other people in the business, your customers and your suppliers

BE DISTINCTIVE
n Ensure that what you offer is distinctive and that your customers are prepared to pay for that distinctiveness
n Hold fast to that distinctiveness and articulate it at every opportunity.
n Without it your offering will be treated like a commodity and you will come under severe price pressure
n Unique Selling Point Must be clear, unique, distinct and known!

BE BRAVE
n It might be tempting to reduce your prices to win business, you’re probably better off increasing prices, even if it means losing business
n Here’s why: if your gross margin is 20% and you drop your prices by 10%, you have given away half your profit. To achieve the same profit in € you have to generate twice as much revenue, that’s just not feasible, and to do so would probably mean taking on more staff and increasing overheads which would then probably need to be paid for before payment is received from the customer, resulting in cash flow shortages.
n If, on the other hand, you raise your prices by 10%, you will either make 50% more profit
n or you can afford to lose about a third of your sales volume while maintaining your current profit. You should then be able to reduce overheads too since you will be a smaller business.

KEEP COSTS VARIABLE
n Some costs vary with the amount of sales volume while others are fixed irrespective of sales volume
n In times when sales volume is unpredictable, try to ensure that as many costs as possible vary with sales
n For example, costs of associates or sub-contractors are variable whereas the cost of employed staff tends to be fixed.

REDUCE FIXED COSTS
n At the same time, it makes sense to reduce fixed costs where you can
n Go through each cost in turn and ask yourself whether it could be reduced,
eliminated or done in a more flexible way

FOCUS ON CASH
n Never is the saying ‘cash is king’ more pertinent than in a downturn
n Make sure you manage your cash very closely
n Make someone specifically responsible for it

GET PAID QUICKLY
n Get invoices out on time and do everything you can to ensure customers pay on time, from forging strong relationships with their accounts payable,to finding out when they do their payment runs
n Call them a week before the payment run to check your invoice is on the list
n At the outset of projects, negotiate a payment schedule that includes upfront and/or interim payments.

NEGIOTATE DEALS WITH YOUR CREDITORS
n It may be worth paying suppliers early to secure discounts - even if you have to borrow from the bank to do so
n Say, for example, the normal payment term for a supplier is 45 days, but that supplier agrees to offer a 2.5% discount for settlement within 10 days, the saving you will gain by making early payments is 26% per year
n The same considerations, but in reverse, apply to the discounts you allow your customers

STAY CLOSE TO YOUR BEST CUSTOMERS
n Do you know who they are?:
n Offer to partner with them – you are both in the same boat
n Suggest ways to help your customers to
n Save money at this time
n Make money at this time
n Be prepared to renegotiate contracts
n Give customers something extra free!

KEEP SELLING
n Offer prospective customers choices
n Sell small at the start of new relationships
n Keep your sales message simple & clear –what’s in it for the customer?

KEEP WORKING ON YOUR CUSTOMER SERVICE
n Deliver quicker
n Under-promise & over-deliver
n Train, train & train to be the best you can be at what you do!
n Like Barack Obama, create your own possibility!

First Time Buyers on the move

2009-05-05T12:21:00.000+01:00

House sales activity perked up slightly in April with first time buyers to the fore, according to latest statistics from Real Estate Alliance.
A total of 164 residential sales were agreed by Real Estate Alliance members during the month, an increase on the figure for March.

The REA April Property Barometer reveals that the sale price remained at around €180,000 on average, some 85pc of the asking price sought. The total number of enquiries recorded by REA estate agencies within the group was 4,200; 5% better than in March.

“All REA agents are reporting an uplift in first time buyer interest and sales”, CEO Eimer O’Keeffe comments. “Offers are coming in for second hand houses, but mostly at well below asking prices. Vendors are still holding on to unrealistic expectations. They won’t accept prices at market level. On average, we are seeing prices around the country at 40pc of the level prevailing at the height of the market. In certain areas, apartments are down by 50pc and second hand houses are down by 35pc”.

Sales inquiries up.

2009-04-07T11:19:00.000+01:00

150 sales were agreed at the 38 REA offices throughout the country in March, with enquiries up 15pc on the month before.
REA chief executive Eimer O'Keefe reports 1,350 viewings in total over the month (35 per office). The average sale price achieved -- €180,000 -- was 90pc of the asking price and the average time it takes for a house to sell is now 20 weeks

2009-03-30T10:34:00.001+01:00

Real Estate Alliance, today issued a warning to the Government on the potential negative impact of a property tax. Members of the property group have warned against any property tax instead advocating a property market stimulus, which could increase Government tax takings from property activity. Taking steps to boost confidence in the property market, rather than undermine it with further tax burdens, will help to get the market moving again benefiting all.

Any form of property tax has the potential to impact negatively on an already delicate market. Especially as the government have already introduced a €200 property tax in the last budget, just 6 months ago. Continuing to beat this horse may result in crippling a market that is on the precipice of recovery the group stated.
Suggestions for a market stimulus package included abolishing or halving stamp duty on all residential property for a set period of one year. Many members were citing what happened when capital gains tax was reduced from 40% to 20% and believe that a similar impact could be seen in stamp duty if the right stimulus package could be found. A reduction in stamp duty combined with the Government’s

First Time Buyers are ready to buy

2009-03-23T11:41:00.000Z

The majority of this group are between 25 and 30 years old. 48% are renting while 31% live with their parents. 66% of those renting are paying between €600 and €700 per month. A large majority (68%) of these potential buyers want to buy in the next year and most are motivated by “seeing the right house”. 54% are buying alone and 41% are buying with a spouse or partner. Interestingly, most of them have no preference between a newly built or a second hand house. The most popular budget is between €200,000 and €249,000. Most of these buyers (54%%) are holding off buying because they believe prices will fall in the months ahead and 22% are have problems obtaining finance. A considerable number of this group (59%) haven’t applied for a mortgage yet. Most First Time Buyers feel that the Home Choice loans will have little effect on the market. 79% of First Time Buyers think there is value in buying a house at the moment. 37% believe that property prices will bottom out by mid 2009. Most First Time Buyers (35%) believe that house prices will decrease by 5% in 2009. The majority of First Time Buyers believe that building energy ratings will have no effect on house prices and most don’t agree with carbon taxing homes.

REAL ESTATE ALLIANCE VIEW OF THE MARKET FOR 2009

2009-01-27T12:21:00.000Z

With the expectation that prices are leveling out and the floor is forming in 2009, Real Estate Alliance agents expect to operate in a market with less speculation. Crucially, it seems that interest rates are going to reduce further. In fact, many anticipate that rates will fall close to 1.5% in Q2 2009. Coupled with the increase in mortgage interest relief for first time buyers, housing affordability will improve substantially in 2009. “These factors will combine to breathe confidence into the first time buyer market in the later part of 2009”, according to Paul Grimes, Chairman of Real Estate Alliance.

REA seeks buyer's perspective

2009-01-27T12:20:00.000Z

Real Estate Alliance Seek Buyer’s Perspective
- National Property Group Launch Second Buyer Survey – February 2009 will see the results of the second Real Estate Alliance Buyer Survey, an exciting offering from the national property group that will reveal buyer attitude towards the property market. To be a part of the Real Estate Alliance Buyer survey and to be in with a chance to win a €500 Brown Thomas vouchers log onto www.realestatealliance.ie or drop into your local Real Estate Alliance office.The Real Estate Alliance Buyer Survey, an extensive survey of the buying public around the country, will offer Real Estate Alliance members and their clients an insight into buyers currently active in the marketplace. The survey will target a cross-section of property purchasers including first time buyers, those trading up/down and investors, revealing invaluable information about their property requirements and priorities when it comes to purchasing.

Banks need to pass on rates

2009-01-05T13:45:00.002Z

“High EURIBOR rates have been cited by Irish banks as a reason why interest rate cuts have not been passed on in recent weeks and there must be firm measures made to encourage to the marketplace to re commence lending.” Said Healy Hynes of Hynes Real Estate Alliance, Athlone. In its 10-year history, the ECB has not cut rates below 2 percent, nevertheless Mr. Hynes is anticipating the ECB to drop rates at the January meeting seeing a target of 1.5% by mid-2009. “Although it was on the cards before this week, in light of the Feds historic move to a rate of 0.25%, the ECB only has one place to go, and that’s down”

REA welcomes new ECB rate reduction

2008-12-09T13:39:00.001Z

The most recent announcement by the ECB slashing their interest rates by seventy-five basis points has been warmly welcomed by Healy Hynes of Hynes Real Estate Alliance. The ECB move now makes their benchmark rate less than half of what is was in October when it stood at 5.25%
The European Central Bank 0.75% cut to its main lending rate brings the bank's rate down to 2.5%. This decrease comes on top of two previous cuts of half a percentage point each over the past two months.
The reduction is aimed at reducing mortgage repayments, making borrowing cheaper and putting more money in the pockets of consumers. A number of Irish banks have already promised to pass the reduction on to their customers.
Healy Hynes of Hynes Real Estate Alliance has welcomed the move saying it will help to bolster the property market. “It’s a buyers market out there and any move that makes housing more affordable to buyers has to be welcomed.”
The next step according to Mr. Hynes is for the banks to ensure that lending is made available to buyers who wish to take advantage of the massive improvement in housing affordability that has taken place in recent months.

Yields from residential properties are up on average 18%

2008-12-09T13:36:00.001Z

Yields from residential rental properties are up on average over 18% on last year. While average rental rates are down between 5% , there has been no decrease in certain areas such as Athlone, Killarney and Tralee and yields have improved nationwide. Average yields for 2008 are at 4.25% up by 15% on last year. In 2007 the group reported average returns at 3.7%, compared with returns of between 2.8% - 3.2% at the end of 2006. Yields this year are as high as 5.4% in areas such as Balbriggan and are at the 5% mark in Ashbourne and Nenagh, according to figures released by Real Estate Alliance. Yields are between 4% and 4.5% in Drogheda, Newbridge, Lucan, Maynooth, Longford, Tipperary, Trim, Cork (Charleville), Callan, Blessington and Tralee. Cavan and Navan are reporting yields of 4.8%.

REA welcomes rate cuts

2008-11-24T16:28:00.000Z

Real Estate Alliance has welcomed Mondays announcement by AIB to slash their homeloan rates to match the current ECB rate of 3.5%.
The new rate which is around 2 percentage points lower than the next nearest competitor is available to first time buyers and is fixed for 12 months.
“This announcement by AIB is a recognition that interest rates are on a continuing downward cycle and offers an incredible deal to first time buyers”.
The cut, equivalent to 4 ECB rate moves, further increases the affordability of housing which has been gathering pace throughout 2008. The cost of a €230,000 mortgage over 30 years under this scheme is now just €1,032 a month – before mortgage interest relief, over €300 a month less than the next nearest competitor.

First tip to deal with the recession

2008-11-24T16:23:00.002Z

BE POSITIVE
It’s important to look beyond the short term to the medium and longer term:
- Stay positive about what makes your business great
- Stay positive about your passion for the business
- Stay positive about the future you will create for your business and yourself
- This will have a knock-on effect on other people in the business, your customers and your suppliers

We have the experience to guide our clients

2008-11-19T10:03:00.001Z

Real Estate Alliance consists of 40 offices around the country with each member in business for an average of 45 years each. “We have the experience to guide our clients through this”, said the incoming Chairman, Paul Grimes. “Our members are long-standing in their communities and have the expertise to get through these challenging times. We were never under any illusions that the property sector is cyclical. We have been through recessions before and come out the other side. Many of the Real Estate Alliance agents are lucky in that they are not overly dependent on the residential market, which has been hardest hit and as such they are busy doing rent reviews, rating appeals and giving professional services to our clients.”

steps in budget were good for first time buyers

2008-11-19T10:01:00.000Z

“The steps in the budget to increase mortgage interest relief, combined with interest rate reductions, means that first time buyers can take full benefit of the reduced prices the market is now offering”, said Mr. Hynes.

REA welcomes EBS affordability study

2008-11-19T10:00:00.001Z

Real Estate Alliance members welcomed the results of the EBS affordability study published last week. According to the joint EBS / DKM report the average working couple buying their first home is now paying around 20% of their net income in mortgage repayments, compared with 26% two years ago. This 30% improvement in affordability is expected to strengthen even further once the most recent round of interest rate reductions is passed on to consumers. With more interest rate reductions in the offing, first time buyers will find themselves better off than they have been in many years.

banks need to recapitalise

2008-11-19T09:59:00.000Z

As long as transactions cannot be completed the situation in this country will not improve and the implications of this are far reaching”, commented, Michael Boyd, incoming Vice-Chairman of Real Estate Alliance. “The recapitalisation of the banks is now being accepted as inevitable. The sooner this happens the bettter as the country will be taken off hold and business, and personal transactions can recommence, benefittting the economy as a whole”, said Mr Boyd.

Paul G.Grimes appointed as Chairman

2008-11-19T09:58:00.000Z

Real Estate Alliance, the national property group comprised of some of the country’s longest established estate agents, held their AGM in The Heritage Hotel in Killenard, Co. Laois on Friday, 14th November. The availability of funds and affordabilty were key items on the agenda as the group looked at what the months ahead may bring for the property sector. The appointment of Paul G. Grimes, Director of Grimes Real Estate Alliance in Ashbourne and
Skerries, as Chairperson of the national property group and Michael Boyd of Boyd's Real Estate Alliance of Kilkenny as Vice-Chairperson were also ratified by the group.

Now is a great time to buy a house - prices are down

2008-11-12T13:02:00.000Z

STEP AHEAD OF THE CROWD

Now is a great time to buy a house. Prices are down, interest rates are falling and vendors are anxious to sell. The house that you’ve had your eye on for a while is better value now than it’s even been.
Not only that but if you’re looking to trade up from your current home, the price difference between the two is smaller now that ever. So even if the value of your house has fallen, the value of the house you really want has fallen even more, making it even more affordable than ever.
The changed economic climate means that right now buyers have an opportunity not presented in decades and once the market does, recover, which undoubtedly it will, you will look back and smile at the decision you made.
Now that’s one way to look at it. You could also so that right now is a terrible time to buy. Prices might drop even more and if more homes come on the market, will buyers get desperate? The why not wait them out.
The fact is that right here, right now, sellers outnumber buyers. Market sentiment is negative and as a result it can be confusing for buyers, hence they might be inclined to wait a few more months.
“People are worried that they’ll buy too soon and have negative equity by the time the deal is done”. Said Healy Hynes of Hynes Real Estate Alliance.
“What they really need to do is decide if they’re serious about buying, because their concerns are also vendors concerns. The same newspapers are being read and same radio chatter being listened to by both sides.
By getting active about buying, rather than waiting passively for prices to drop even further, you can get ahead of the market, because waiting is exactly what the crowd is doing.
It’s the people who get in first that make the greatest deals in any marketplace. Be it in shares, equity or homes. “By the time the papers are saying the market has recovered and prices are going back up again, the smart buyers will already have made their deals and will be reaping the rewards.” Continued Mr. Hynes.
The questions you need to ask yourself is do you want to be one of the crowd or do you want to be one step ahead of them?
“If you get out there now you can negotiate a much better deal from the anxious vendors that you will if you wait until the papers say the market is picking up, because the vendors are reading the same papers you are and will therefore feel they can negotiate from a stronger position and will be less inclined to deal.”
Mr. Hynes has this analogy to make. "It's like when you find a dress that you really, really like. It’s the right cut, right size and right colour for you, so you wait for it to be on sale. Then the sale starts and they don't have your size. Theoretically, you’ve saved 30% but you don't have your dress! The only difference is in this case you might still get it at the same price."
“Right now is a perfect time to buy, because of a concrete significant and accumulating increase in buying power," says Healy Hynes. Interest rates are lower now than they have been in years and will continue to drop for quite a while yet. And if you’ve been living in your current home for a while, you’ve build up a significant amount of equity, regardless of the state of the current market.”
Mr. Hynes recommends that buyers check out the websites and call the auctioneers to find out exactly what’s on the market right now. By not being aware of what’s out there, the house that you’ve been looking for could be sitting there waiting for you.
Mr. Hynes is particularly pointing his advice to first time buyers and families looking to trade up.
“Historically speaking it’s the investors who are really attuned to getting into the market.” Mr. Hynes pointed out. “They’re the ones who are used to dealing and normally snap up all the bargains when they come available.”
For many years, they were berated for squeezing out other sectors; particularly first time buyers, and steps were taken by the government to address this situation.
According to Mr. Hynes, the market itself has now presented an even better opportunity to homebuyers to get one up, as they say.
“Investors normally use the equity in their portfolio to gear up to buying” said Mr. Hynes “and families release equity by selling their existing homes. The former approach is a lot more costly and as such the families now have an edge which they can use to their significant advantage”.
The one certainty in life is that one side of the market will never stay on top forever. As we all know, it can turn very quickly and a market like this that’s been low for a while is ripe for a comeback as lower prices stimulate investors.
Healy Hynes is a director of Hynes Real Estate Alliance, Athlone and chairman Real Estate Alliance, Ireland’s leading network of qualified property consultants.

Credit Cards - What you need to know

2008-11-12T11:17:00.001Z

What You Need to Know about Credit Cards.

If you’ve been thinking about moving house and have been put off by thoughts of a higher mortgage and how that may affect your lifestyle, it could be an opportune time to look at your current expenditure, not only what you’re spending, but also where are how you’re spending it. Credit card debt is the most expensive form of financing available, and although quick and easy to use, there are ways and means of reducing your expenditure and freeing up your cash for more worthwhile endeavours for example, how much do you actually know about the rate your being charged and how it’s calculated on your card? Understanding just how interest rates work can help you see how important small differences in rates and payment amounts can be.

Interest Rates are Compound.

It is important to remember that what you owe is compounded – that means you pay interest on the interest you owe from the month before. That means that if you’re paying 2% per month in interest, you’re not paying 24% per year – you’re actually paying 26.82%. Charging interest monthly instead of yearly is a trick to make it feel like you are paying a very low price for your borrowing.

A Thought Experiment.

Here’s a question: would you rather have €1 million, or €10,000 in a savings account earning 20% per year in compound interest?

Well, let’s see how that €10,000 would grow. After 10 years: €61,917. 20 years: €383,375. 30 years: €2,373,763. 40 years: €91,004,381. 50 years: €563,475,143.

So after fifty years, you’d have over €500 million?! Well, not so fast. Of course, you have to take inflation into account – if we say inflation is 5%, then that money would have the buying power that €10,732,859 does today. Still, that’s not a bad return on your investment of €10,000, is it?

That’s the power of compound interest, and the way the credit card companies make their money (it’s also the way pensions work, and the reason the prices of things seem to rise massively as you get older). Be very, very afraid of compound interest. Or, of course, you could start saving, and be very glad of it…

Compound Interest Adds Up.

Let’s work through an example on a more real kind of scale. Let’s say you have an average unpaid balance of €1,000 on a card at 15% APR.

You will owe €150 in interest for the first year you borrow. However, this amount is then added onto the balance, and interest is charged on that. The second year, you’d owe another €172.50, for a total of €1322.50. It goes on, with totals like this: €1,520.88, €1,749, €2,011.35.

After just five years at 15%, you’d owe double what you borrowed. And after 10 years, you’d owe four times what you borrowed! Bet you weren’t expecting that. If you let something like that carry on for long enough, you’ll end up paying back that credit card for years afterwards, paying back what you borrowed many times over and still not clearing the debt. Most people don’t work this out, and feel that the payments must simply be their fault for spending too much money to begin with.

One Percent of Difference.

One more thing. You might think there’s not that much difference between a card that charges 15% APR and one that charges 12% APR. Let’s see the difference the lower rate would make to that €1,000 borrowed for five years. Remember, after five years at 15%, you owed €2,011.35.

At 12%: €1120, €1254.40, €1404.93, €1573.52… €1762.34 after five years. So you’ve saved €249.01 from that 3% difference in APR – in other words, you’ve paid almost 25% less interest.

When you’re dealing with credit cards, you’re playing with fire. Unfortunately, there are plenty of people out there who don’t realise that, and make all sorts of dangerous mistakes with their credit cards every day.

Paying Late.

If you don’t set up any kind of automatic payment, then it can be tempting to just put your credit card bill on a pile and get to it when you have time. Before you know it, a few weeks have gone by and you’re late. If you leave it to the deadline, you might find that the payment won’t get there quickly enough – it’s not a deadline for sending the money, it’s a deadline for them receiving it.

Paying late is a big mistake for an awful lot of reasons. You will almost certainly be charged a late payment fee, and your late payment will go on your credit report for everyone to see. You may also find that you lose any good rate you had, and your debt is automatically thrown onto the very worst rate the company offers.

To avoid late payment, you should always post your payment a long time before the due date (at least a week). If you’ve left it to the last minute, phone up and try to pay that way.

Being Taken in By Rewards.

It is never, ever worth getting a higher-interest card simply because it offers some kind of loyalty points, flight miles or whatever. Even if it offers a cash reward, it is unlikely to be more than you would pay in extra interest – after all, why would they give you free money? All ‘rewards’ do is pay you off with your own money to make you feel like you’re getting something for nothing. You’re not.

Collecting Cards.

Seeing some people opening their wallet or bag is a scary experience. It looks like they have about a hundred credit cards in there, some of which they haven’t used in years. They have trouble keeping track of all the different cards, balances and interest rates. Don’t be one of these people. Too many cards makes you look over-committed in your credit report, and could get you turned down for a home loan.

Maxing Them Out.

Your limit is just that: a limit, not a minimum! Whatever you do, don’t get a card and immediately spend your whole limit. This looks very bad. It is better to spend about halfway regularly and pay it back. Wait for the company to increase your limit (which they quickly will), and then you’ll get that extra money without the stigma of having a maxed-out card.

Not Reading the Terms and Conditions.

Don’t sign anything you haven’t read! I know it’s hard going and you’re busy and all, but if you can’t manage to read the terms and conditions then you shouldn’t get the card. Pay special attention to any future increases in rates, and what kind of fees you can be charged.

When you’re looking at a credit card offer, take a look at the small print – it seems like a maze, but it’s vitally important. With the trend nowadays towards easier-to-read ‘summary boxes’, there aren’t as many excuses for ignoring the terms as there used to be. Anyway, credit card lenders are devious, and there are plenty of things there designed to catch you out – here’s what you should be on your guard against.

Annual Fees.

Even though you’re already paying them interest, many credit cards still charge you an annual fee. It’s not as common as it once was, but it’s still around. You should be especially careful to check for fees on Gold and Platinum cards – even though they’re not that hard to get any more, they still tend to charge much higher fees than normal cards.

Penalty Charges.

Pay attention to what kind of fees you’ll be charged for a late payment, or if you take a cash advance, or if you accidentally exceed your limit on the card. Some cards have unjustifiably high fees, and you shouldn’t sign up for them.

Interest Method.

This is one of the most overlooked of all the things in the small print, just because it’s so hard to understand. Essentially, every company has a slightly different way of working out how much interest you should pay each month. There are three main methods:

With the ‘adjusted balance’ method, you are charged interest on whatever your balance was when the company sent the bill. Another version of this is the ‘previous balance’. You’re charged interest on your balance as it stood at the end of the billing cycle before this one, regardless of how much you’ve spent or paid off since. Odd, but easier to understand.

Then there’s the average daily balance. This is the most complicated, but also the most common now. Your balance from the end of each day in the billing cycle is added up, and then divided by how many days there were, and interest is charged on this amount. This method is only good for you if your balance jumps around a lot, as it avoids you paying lots of interest on a balance that just happened to be large on the billing date.

Also, make sure you look at the rate of interest each month, they can change.

Grace Period.

Check that the card you’re looking at has a grace period on purchases. Otherwise, you could end up being charged interest from the minute you spend. Almost no cards have a grace period on cash advances or credit card cheques, however.

Currency Conversion Fees.

If you plan to use your card abroad, you should take a look at how much the card charges for transactions made in other currencies. Some cards can be much more expensive than others.

Take a look at your credit card and how much your spending on it. There are many great offers out there from other providers and by examining them, you may well find yourself saving a lot of money.

Making the most of your viewing - Donna Hynes

2008-11-12T11:15:00.001Z

In a changing residential marketplace, it’s more important than ever to make sure that you maximise every opportunity presented and viewing are a great opportunity for both the buyer and the seller. It gives the seller the chance to showcase their home and the buyer can view the home in all its glory. Buyers love to scope out potential homes and many offers have been made at viewings. After all, viewings are really sales presentations. In order to have a successful viewing and make sure that the buyer gets the best impression possible of your house, there are some tasks that should be completed by the seller beforehand.

The most obvious task is cleaning. The house should be spotless, including appliances. If you work full time and don’t have the time to get the house cleaned, hire a house cleaning service. The money spent is well worth it if you are able to sell quickly. It might be hard to keep it clean if you are still living there, but you should make a concentrated effort to try.

Keep foul and mysterious odours away.
The first thing a potential buyer will notice is an offensive odour and you will probably never see them again. Regularly inspect your home for potential odour sources and keep a steady supply of candles and air fresheners on hand. If you have an indoor cat, keep the litter box out of sight and scooped out daily.

Clutter is a major turnoff to potential buyers.
It just isn’t comforting to see piles of clutter everywhere. Keep small appliances stored instead of out on the countertops. Remove photographs and knick-knacks. You want people to envision their belongings in the house. Clean out and organize the closets. If there is no reason for something to be displayed, get rid of it.

If you can, remove non-essential furniture to make the rooms appear larger.
Spacious rooms are more appealing to the eyes. Keep your boxes of junk stored out of sight. It is a good idea to start figuring out what you need and what you can live without. It would be a good idea to have a garage sale before you put the house on the market. If you can’t bear to part with anything, rent a temporary storage unit.

You cannot ignore the outside of the house.
The outside presentation has a major impact on the buyer. Clean the leaves out of the drain gutter, don’t let garden hoses or other tools pile up outside. Pick them up and store them elsewhere. Make the effort to beautify the front entry. If the door handle is rusty or the whole door looks junky, clean it, repaint it, or if necessary, get a new one. Keep the flower beds neat and free from weeds.

Look at the walls and try to put yourself in the buyers’ shoes.
How would you look at the walls in someone else’s house? Is the paint chipping or is the colour outdated? It would be well worth your time to give the walls a fresh coat of paint. Nothing makes a room come alive more than a fresh coat of paint. Give the rooms a little bit of a makeover with new décor that compliments the wall colours. If you have a garden, bring in some fresh flowers and put them in attractive vases.

Establish a pleasant atmosphere by baking bread or biscuits.
Candles add a nice touch along with background music. Classical or jazz music are both good choices. You want to convey style and elegance to your audience. First impressions go a long way.

When trying to sell your house, you should be prepared for a showing at any time. Last minute requests are very common and can turn into offers. You have the option to request 24 hours notice before a showing, but in doing so you may limit your home’s exposure. Try to be as flexible as possible. Accommodating the hectic schedules of a potential buyer will make you and your home look that much better.

It is a good idea to not be present for the showing. Buyers might not feel comfortable in your presence or they might be afraid to ask a particular question for fear of offending you. If they can’t view the house fully, they will probably just move on to the next one. You don’t want that. They are supposed to fall in love with your house.

For more tips on selling your house contact Donna Hynes, Hynes Real Estate Alliance, Church Street, Athlone on 090 6473838.

A Challenging Economic Adjustment - Jim Power, Chief Economist Friends First

2008-11-12T11:10:00.003Z

Economic Backdrop
The latest official growth data on the Irish economy do not make for pleasant reading. The data show that in the first quarter of 2008, GDP contracted by 1.5% compared to the first quarter of 2007, while GNP expanded by just 0.8%, which is the slowest annual growth rate since the first quarter of 2002. The key weakness is in construction activity, which declined by 18%, with the housing component down by 30%. Exports expanded by just 0.5% in the first quarter, which is the slowest growth rate since the third quarter of 2003. Consumer spending increased by 3.5%. This was stronger than expected, but largely reflected spending by Irish residents travelling abroad and spending on services such as health and education. Spending on goods was very weak.

In overall terms, the first quarter data do not suggest an economy in recession, but do suggest an economy that is slowing sharply, with housing the main contributor. It is clear however that the housing weakness is spreading to other areas of the economy. Subsequent evidence would suggest that the economy actually went into technical recession in the second quarter, which is defined as two successive quarters of negative growth,

The main contributor to the slowdown in the economy is the adjustment that is occurring in the housing market. The boom in the housing market in recent years has been a key driver of employment in the economy, tax revenues, consumer confidence, consumer spending, the Irish equity market performance and overall economic activity. Given the key contribution made by the housing sector to economic activity in recent years a housing market adjustment was always going to be a painful experience for the economy and that is turning out to be the case.

However, the pressures arising from the housing adjustment are being exacerbated by rising food and oil prices, the contraction in credit availability as a result of the sub-prime crisis, the sharp slowdown in the US and UK economies, and adverse exchange rate movements.

A decline of 10,000 in the number of houses built knocks up to 1% off economic growth. This sharp slowdown in house building was inevitable at some point, as house building had reached unsustainable levels in recent years. However, the adjustment to more normal housing market conditions is exacting a heavy price, and in particular is having a very negative impact on unemployment, tax revenues, consumer sentiment, and economic activity in general. Furthermore, the sharp hosing adjustment has caused a dramatic crash in the Irish equity market.

It is clear that the housing adjustment is not yet over. Prices are likely to fall further over the coming months and building activity will remain very weak and will continue to act as a drag on economic activity well into 2009.

The Economic Outlook
2008 is certainly turning out to be a challenging year for the Irish economy. Unemployment is rising, consumer spending is weakening, house prices are still falling and house building activity remains very weak. Given the domestic housing market adjustment and the more difficult external environment as a result of the sub-prime crisis, it is looking likely that 2009 will also be a challenging year.

The key message for Ireland at the moment is that while the economy is currently in a challenging situation due to the ending of the residential house building boom and the more difficult external environment, the future is still bright provided policy makers do the right things in terms of policy making.

The return to more normal levels of house building and the reversal in house prices is a positive development because the trends that were emerging were clearly unsustainable. The construction sector will continue to make an important contribution to growth, with public and private sector non-residential activity set to remain reasonably strong. The ESRI estimates that the annual average housing requirement out to 2015 will be 48,000 houses per annum. However, following house completions of around 48,000 this year, completions could fall to 35,000 in 2009.

Consumer spending is slowing, but this too is desirable and easily understandable after five years of aggressive borrowing and spending.

High level manufacturing activities and service exports will become increasingly important drivers of the economy in the medium-term, while there will have to be limitations placed on the contribution from the public sector in a tighter fiscal environment.

To emerge from the current difficulties it is clear that the housing adjustment will have to run its course, oil prices will have to fall and the external economic cycle will have to improve. Most of these developments will happen, but not before 2010 at the earliest. Most importantly, the global credit crisis will have to end and it appears at this stage that global credit availability will not return to more normal conditions until the second half of 2009.

From a Government perspective it is important not to panic and instead try to take a longer-term strategic perspective. In this context, cutbacks in wasteful spending are now essential. This should primarily focus on the day-to-day spending across all sectors. Over the past 5 years current spending has been allowed escalate out of control and the taxpayer has not got very much in return. This needs to change.

In relation to capital spending, continued delivery of the National Development Plan is essential, but there will have to be some prioritisation. Delivery of the physical infrastructure in areas such as road, rail and airports is essential, as is investment in the hopelessly inadequate IT infrastructure. Focused investment in education and training is also the only response to the jobs that are migrating to low cost locations. Postponing some of the ‘nice to have’ but not essential’ elements of the NDP would be warranted.

Government has been one of the biggest contributors to the escalating cost of living and business costs since the beginning of the decade. Much of this has been driven by the inability to control public sector pay. The new wage negotiations will need to deliver serious wage restraint, particularly in the public sector, as market forces will look after wage growth in the private sector.

In relation to revenue raising measures, increasing general taxes in an economic slowdown would be tantamount to economic suicide. However, looking closely at BIK on employer provided parking would be a decent revenue raiser and would also bring greater equity.

In summary, Government must not now panic. Control of current spending, investment in the quality of the labour force, control of state service costs, public sector pay restraint, and delivery of the essential elements of the NDP, would represent the best contribution the Government could make to the longer-term prosperity of the economy. Populist policies in the run up to next year’s local elections must be avoided at all costs.

The following growth outlook is suggested, but is heavily predicated on an improved external economic environment and a freeing up of global credit conditions in the second half of 2009. If these do not materialise, the slowdown in the Irish economy will be more pronounced and of longer duration.

(average)
2007
2008f
2009f
2010f
GDP
6.0%
-1.0
1.2
3.5%
GNP
4.1%
-0.2
0.5
2.5%
Consumption
6.3%
1.5
2.0
3.0%
Investment
-1.8%
-15.0
-6.0
2.0%
Government
6.0%
3.8
3.0
3.0%
Exports
6.8%
4.5
4.5
4.5%
Imports
4.1%
3.0
3.2
3.5%
CPI
4.9%
4.6%
3.5%
3.0%
Unemployment
4.6%
6.3%
7.5%
7.8%
House Completions
78,027
48,000
35,000
40,000
F= forecast

* NOTE: THIS ARTICLE IS BASED ON DATA AVAILABLE UP TO JULY 9th 2008

Keeping Positive - Paul McElhinney explains your options when you find yourself in negative equity

2008-11-12T11:06:00.002Z

WHAT IS NEGATIVE EQUITY?
Negative equity is the term commonly used to describe the situation of having a home that is worth less than your mortgage. The truth about negative equity is that it doesn't matter to most of us unless you have to sell or you have to remortgage. Home ownership is a long-term business and there is no easy solution to the problem of negative equity. You may want a bigger house or need to move to a different area for employment reasons or in the worst case be unable to meet you mortgage and have to surrender you house to your lender. However, for those whose finances and circumstances allow, the answer is to stay put, realising that eventually house prices are likely to go back up again. The following points are suggestions of possible options to explore.

HELP FROM YOUR LENDER
Lenders do not generally want to repossess properties. It is a costly procedure and the end result is that they have to sell the property and so crystallise their loss as well as yours. Even if – as some lenders are currently doing — they keep hold of the property for the time being and let it out, it involves costs and administration problems they would prefer to avoid.
Contact your lender and ask if there are any schemes they run to help with negative equity. Some lenders may have packages for their existing borrowers but usually only if you have a good payment record. There may be a maximum amount of debt on your old mortgage that can be included in your new mortgage. Also you may have to pay off the old mortgage debt over a shorter time period than a usual mortgage, such as ten years rather than 25 years. This is not necessarily a cheap option as the interest rate may be higher and there may be a fee. You are also putting your new home at risk if you cannot keep up the total mortgage payments on the new home. Payments will be larger than normal because of the shortfall having been included.
Some lenders may agree to accept less than the full amount of the shortfall debt by securing part of the debt on a new property as part of your mortgage and writing off the rest. Some schemes ask for a guarantor on the new loan (such as a relative) and may want the loan secured on their home as well as your own. You may be able to clear the negative equity by obtaining an unsecured loan from your bank or building society. This will probably be more expensive than a secured loan because a higher rate of interest is usually charged, but an unsecured loan does not put your new house at risk. The loan may also be over a shorter period which would mean the monthly payments are likely to be larger. A limited number of lenders may run schemes that offer assistance to all borrowers. So you can apply even if your mortgage is with a different lender. Shop around high street banks and building societies and ask about these schemes.

RENTING OUT YOUR HOME
Another option is renting out your house with your lender's permission. Some lenders add an extra percentage on to the mortgage interest rate for allowing you to rent out the property. You could ask them to waive this if it will cause you hardship. You also need to check if your buildings and contents insurance will be affected by renting the house out.
It can be difficult to deal with letting your house if you live far away. You may need to ask an estate agent or letting agency to act for you and find tenants. Your lender may say that you must use a specific agency and type of tenancy agreement. It is also worth approaching local housing associations. These are sometimes willing to take over renting out your property to people on their waiting lists. If you rent out the house then you will have to find alternative accommodation such as a private tenancy or moving in with relatives. This may be useful if your aim is to move to another part of the country. You may be able to buy another property with a new lender if your income is sufficient. Most lenders are likely to be reluctant to do this except in very specific circumstances.

Remember you will still be liable for the mortgage when your tenants leave, and the rent you get may not cover the whole monthly mortgage payment. You will also be responsible for repairs to your property.

SELLING YOUR HOME
You may have to sell your house and you may have to prove to your lender that sale is the last resort and the sale is in everyone's financial interest You will need to persuade them that you have obtained the best possible price for the property. Point out that if the house was sold by the lender they would be likely to get a much lower price as the property would be empty and could fall into disrepair. Provide your lender with full information about your financial circumstances. You will need evidence from several independent estate agents that you have found the best sale price for your home. The lender may ask you to sign an extra agreement saying how you will repay the shortfall debt.

SURVIVAL TIPS
· Treat mortgage payments as if they were rent: you have to pay for somewhere to live and mortgage payments should mean you eventually own an asset

· Do not just walk out on the debt. Lenders can now keep records for longer than before and are unlikely to forget bad debtors.

· Bear in mind that the national average house price remains slightly higher than it was a year ago – and short-term setbacks are unlikely to reverse the long-term upward trend.

· Pay more off some of your mortgage if you can afford it – most flexible mortgages allow you to repay up to 10 pc of the outstanding debt.

· Simple home improvements, such as a lick of fresh paint, can raise the value of a home.
· Take in a lodger and use the money to reduce debt.

REA Take Over Punchestown Races

2008-04-30T11:58:00.002+01:00

- Real Estate Alliance Success With National Hunt Festival -

The great and the good were out in force at this year’s Punchestown Racing Festival thanks to Real Estate Alliance. Racing on Thursday, (24th April), was one of the highlights of the festival featuring the Real Estate Alliance three mile handicap hurdle. The race prize was increased in value to €50,000 this year which lead to much excitement and speculation about the race. On the day Paul Carberry on Hidden Agent won out.

The Real Estate Alliance Handicap Hurdle is an extended handicap hurdle for four year olds and upwards rated 88-130. This is the first race sponsorship that Real Estate Alliance has entered into and they entertained 220 corporate clients on the day also including many people from (insert area) such as (insert names from some people in the pix, well known local people etc).

Commenting on the sponsorship Eimer O’Keefee (CEO) of Real Estate Alliance were delighted to be part of this year’s Punchestown Festival and in particular the Real Estate Alliance Handicap Hurdle. The whole event was a great success and I believe that quite a few of our guests got luck so we all went home happy on the day!”

Real Estate Alliance is a strategic marketing alliance comprising some of the country’s best-established auctioneers and estate agents. All Real Estate Alliance members are members of the Irish Auctioneers and Valuers Institute (IAVI) or The Society of Chartered Surveyors (SCS) and, with one quarter of the alliances firms in business for more than a century, Real Estate Alliance offer thousands of years experience in property in Ireland. Real Estate Alliance member firms draw on vast experience in offering clients a top class service in residential, commercial, valuations, sales, purchases, lettings, agricultural lands as well as land development for housing sites, acquisitions, planning, zoning and professional consultancy, including rent reviews, arbitrations, CPO’s, lease renewals and appraisals.

REA and Punchestown join forces

2008-04-04T10:37:00.000+01:00

Punchestown today announced yet another sponsorship deal for its 2008 festival, this time with Real Estate Alliance, the Irish property group of auctioneers and estate agents. Real Estate Alliance will sponsor the Real Estate Alliance Handicap Hurdle of €50,000run over 3 Miles on Thursday, April 24rd.

The race, run over three miles has been increased in value by €20,000 this year and is sure to complement a super race program for Thursday, April 24th. It is an extended handicap hurdle for four year olds and upwards rated 88-130. This is the first race sponsorship that Real Estate Alliance has entered into and they will be entertaining 220 corporate clients on the day also.

Announcing the sponsorship deal, Dick O'Sullivan, manager of Punchestown commented ‘We are delighted to have Real Estate Alliance on board as sponsors at the 2008 festival. Each sponsor is incredibly important to the festival and its success and I have no doubt that the extra €20k added to the prize value will attract a top class field. We are delighted to see that National Hunt racing continues to attract new sponsors such as Real Estate Alliance.’

60% expect prices to decrease.

2008-02-25T10:08:00.001Z

Approximately 60% of those surveyed expect property prices to decrease this year with 30% expecting no change. Only 40% of respondents expect interest rates to rise in 2008 while over 60% stated that they felt there was value in property in the current climate. The vast majority of those hoping to purchase a home this year will require financial support from a lending agency, however, nearly 40% of the sample had not yet addressed this matter.

Price and Location Key

2008-02-25T10:04:00.001Z

In the results of the Buyer Survey, Price and location emerged as the two most important factors to potential property buyers. Over 60% of people stated that they did not want to be more then 45 minutes journey time from their place of work. Proximity to schools, shops and other amenities were also important. Most purchasers do not appear to be as keenly interested in the type of property they choose (be it new or second-hand), the orientation, the garden size or its eco-credentials. Instead they seem open to a range of different property types provided that both the location and the price are right for them and for the needs of their family.

A Real Insight into a Buyer's Market

2008-02-06T15:57:00.000Z

Real Estate Alliance today revealed the findings of the Real Estate Alliance Buyer’s Survey, which uncovers the opinions of those who are already active or expect to be active in the property market in 2008. The survey gave an insight into the types of buyers active in the market place with 35% of those surveyed looking to trade up, making this group the most active in the market place at the moment. 30% were first-time buyers and 28% were investors with the remainder looking to downsize. 45% of those surveyed did not have a preference over a new or secondhand home. More than half the first-time buyers surveyed plan to buy alone while 65% of investors intend to purchase with a partner or spouse

Outlook for 2008

2008-01-28T16:05:00.001Z

With the uncertainty over stamp duty is now gone, we are operating in a new dynamic, free from speculation. Crucially, it seems that interest rates are no longer rising. In fact, many expect that rates will fall in 2008. Coupled with the increase in mortgage interest relief housing affordability will improve substantially in 2008. These factors will combine to breath confidence into the market in 2008.

Thanks to changes in stamp duty those looking to trade up are now in a stronger position. This is a sector of the market that has been holding off on making the move for the last 12 – 18 months and their reemergence into the market will be a welcome boost. Investors too can take heart with rents on the up and interest rates on the way down.On the upside the cooling off of the market in 2007 has meant that speculation and unrealistic vendor expectations have been removed from the marketplace. Vendors are now more motivated than they have been in recent years to sell. Purchasers who may have put their lives on hold for 18 months are now looking at a much-changed market and are seeing real value emerging.What has been lost sight of in the last number of years and what we may have all gained from this reality check is that a house is not a 12 – 18 month exercise in making money. Over 75% of all buyers opt for mortgages of greater than 20 years, it therefore makes sense to look at property in this timeframe or at least in a 5 – 10 year window when they may be thinking of moving.
So what’s the prognosis for the future you may ask? Well, we are most likely looking at a year of flat prices, followed by a gradual resumption of the upward cycle.

Farming land remains a sound investment

2008-01-02T15:12:00.000Z

All sectors of farming performed well in 2007 with improved demand for grain, milk, potatoes and yields were also good. This resulted in increased confidence amongst farmers when buying and leasing land. 2007 has seen a strong demand for tillage farming land across the country. The market is particularly buoyant and has experienced price increases of 10%, largely due to the scarcity of grain globally which has fueled demand for tillage farming. According to Real Estate Alliance members the cost of an acre now varies between €15 - €20k per acre with some parcels fetching up to €30k per acre. Rental costs of tillage land have also climbed this year across the country.

REA seem buyer's perspective

2007-12-14T14:01:00.000Z

National Property Group Launch Buyer Survey – 2008 will see the results of the first ever Real Estate Alliance Buyer Survey, an exciting new offering from the 45 member-strong national property group that will reveal buyer attitude towards the property market. To be a part of the Real Estate Alliance Buyer survey and to be in with a chance to win a €1,000 Brown Thomas voucher log onto www.realestatealliance.ie or drop into your local Real Estate Alliance office. 359 surveys have been completed within the last three weeks demonstrating a great interest in the survey already. The findings of the first Real Estate Alliance Buyer Survey will be available in January and will reflect buyer’s perception of the property market following Budget ’08. It will give an insightful snapshot of buyer’s minds at the beginning of a new season and New Year.

Positive Sentiment

2007-12-14T13:59:00.000Z

According to Eimer O'Keeffe, CEO of Real Estate Alliance, "there is an air of positivity since the stamp duty announcements. Vendors and buyers are happy with the change but it will take a few months for the market to recover from the battering it has taken over the past 15 months. However enquires have increased and traffic levels on the websites are up about 15% from this time last month. It has certainly given everyone a settling effect. Real Estate Alliance agents around the country feel that the impact of stamp duty changes will really come into effect in the New Year and there is an expectation that viewers will be more active in 2008.”

Cowen delivers for young families looking to trade up

2007-12-06T12:46:00.000Z

National Property Group, Real Estate Alliance, has welcomed the Minister for Finance, Brian Cowen’s move today to reinvigorate the property market. Commenting on today’s budget Healy Hynes, recently appointed Chairperson of Real Estate Alliance and Director of Hynes Real Estate Alliance in Athlone, commented, “Minister Cowen’s budget should be welcomed by the property industry, home owners and those seeking to buy property as a step in the right direction. The relatively flat model of 7% stamp duty up to the value of €1 million was necessary to rid the market of the artificial values set by the previous stamp duty thresholds where buyers were being severely punished if they went over a threshold.”

“Today’s announcement will help to reinvigorate the property market after a slugish 15 months. Minister Cowen understands that what is required in the property market in the current climate is confidence. Confidence that has been slowly eroded since the debate about stamp duty changes began almost 15 months in advance of the last budget. With Budget 2008 Minister Cowen is bringing the process full circle by putting confidence back into the property market”, Mr Hynes commented.

He continued, “Real Estate Alliance members have noted that the changes to stamp duty are geared towards young families and those looking to trade up, particularly in the Dublin region where prices are traditionally higher for family homes. The greatest savings will be for those purchasing a houses valued between €350,000 (saving approximately €5,250) and €400,000 (saving approximately €10,750). As the Dublin property market has been the hardest hit in recent months Minister Cowen seems to be seeking to reinvigorate this market most.”

Strong Rental performance in Carrick on Shannon

2007-11-29T11:22:00.000Z

Carrick on Shannon Co Leitrim and the surrounding areas are seeing residential rental values rising at a steady rate across all submarkets. The rises have been quite consistent between smaller and larger properties and between apartments and houses. One bedroom apartments can now achieve between €475.00 - €500.00, Two Bedroom Apartments with ensuites now let for €575.00 - €600.00, Three Bed houses with ensuites fetch €700.00 per month and four bedroom houses fetch €750.00 or more.
Currently the strength of demand is outstripping supply. Over the last quarter, the lettings market has been very active with record number of deals being done. This has gradually eroded the amount of potentially availability units, subsequently increasing rental values. Furthermore people intending to move within the rental sector have found it difficult to find suitable alternative accommodation or have found that asking rents on other properties are un-favorable compared to their renewal rent. Increases of approximately €15.00 - €25.00 per month are also being agreed where renewals are re-negotiated. Brady Real Estate Alliance are pro-active in seeking renewals, using this opportunity to put in place new lease documents compliant with the most recent PRTB regulations.

Real Estate Alliance Launch New Member Directory

2007-11-29T11:18:00.000Z

Real Estate Alliance recently launched its Property Professional Services Directory, a compendium of all Real Estate Alliance members throughout Ireland and the wide range of services they provide for clients. The directory is essentially a one-stop shop for all those working in the property sector, offering a concise and user-friendly guide to the 45 Real Estate Alliance members around the country. The directory will be invaluable to many organisations including financial institutions, public servants and private firms as it will provide these organisations with a reliable catalogue of expert property advisors. The directory will help users reach a property expert in their area or with a particular expertise. Users can rest assured of the quality and expertise of those listed in the directory as Real Estate Alliance member firms are all members of the Irish Auctioneeers and Valuers Institute (IAVI) or The Society of Chartered Surveyors (SCS).

Landlords and landowners come up trumps in 2007

2007-11-29T10:50:00.000Z

Real Estate Alliance members reported considerable growth in the rental market in 2007 around the country, particularly of three bed houses. In some of the most sought after locations of South Dublin rental increases of 15% were recorded. Maynooth and Cork County saw an average increase of 10% whilst Cork City reported increases of 12%. A three bed, second hand semi-detached in North County Dublin now generates €1200 in rent per month, whilst a similar property in Ashbourne can command €1300 a month. Further away from the capital in Sligo and Killarney, rents of up to €900 and €800 are being offered. The stabilising of property prices and increase in rental costs has led to an increase in yields compared to 2006. The best yields from rental incomes were seen in the commuter belt - West Wicklow (4.69%), Drogheda (4.5%), Lucan (4.33%) and Blessington (4.1%). “Such results clearly emphasise the strengths that exist in the current property market and highlight the fact that investment in property can still offer great returns ” said Mr. Healy Hynes, recently appointed Chairperson of Real Estate Alliance

Launch of second syndicated commercial property investement due to high demand

2007-11-29T10:46:00.000Z

Investing in foreign commercial property is still attractive to Irish investors as Real Estate Alliance and Youngfields OCP launch their second syndicated commercial investment opportunity worth €4.35 million in Sindelfingen, Germany. Sindelfingen is located just outside Stuttgart and the promoters expect that the opportunity will be attractive to investors who want a turn-key geared commercial property with high rental yields from the fully let building. Youngfields OCP and Real Estate Alliance had significant success with their first joint offering in Herrenburg Stuttgart in October of this year. Finbarr Flahive MD of Youngfields was quoted as saying, “We were delighted with the response & support that this offering obtained from the Real Estate Alliance group and we are looking forward to bring more quality commercial investments to the Irish market via the Real Estate Alliance Group.

Real Estate Alliance Buyer Survey

2007-11-29T10:44:00.000Z

Real Estate Alliance announces the group’s new initiative for 2008; Real Estate Alliance Buyer Survey and to identify opportunities in the marketplace in the months ahead.

The Real Estate Alliance Buyer Survey, an extensive survey of the buying public around the country, will offer Real Estate Alliance members and their clients an insight into buyers currently active in the marketplace. The survey will target a cross-section of property purchasers including first time buyers, those trading up/down and investors, revealing invaluable information about their property requirements and priorities when it comes to purchasing.

Potential buyers who complete the online survey before the end of December will be in with a chance to win a €1,000 Brown Thomas voucher. The findings of the first Real Estate Alliance Buyer Survey will be available in January and will reflect buyer’s perception of the property market following Budget ’08. It will give an insightful snapshot of buyer’s minds at the beginning of a new season and New Year.

Click here to complete the surver.

Real Estate Alliance appoints new Board of Directors

2007-11-29T10:40:00.000Z

Real Estate Alliance’s AGM took place this weekend at the Radisson Hotel in Athlone. Top items on the agenda included the appointment of the Real Estate Alliance Board for 2008. Directors include some of the most professional & experienced agents in Ireland. Healy Hynes (Chairman) – Hynes Real Estate Alliance, Athlone; Paul Grimes (Vice-Chairman) – Grimes Real Estate Alliance, Ashbourne; Aine Myler – Cumisky MylerReal Estate Alliance, Balbriggan; Philip Farrell – Brophy Farrell Real Estate Alliance, Newbridge; Harry Sothern – Sothern Real Estate Alliance, Carlow; Eddie Barrett – North’s Real Estate Alliance, Tralee; Michael O’Donoghue – McKenna O’Donoghue Clarke Real Estate Alliance, Cork City; Gabriel O’Brien – O’Brien Collins Real Estate Alliance, Drogheda; Michael Boyd – Boyd’s Real Estate Alliance, Kilkenny.
Pat Riney – Orchard Real Estate Alliance, Rathfarnham.