Tag Archives: real-estate
Irish property prices up over 16% year on year amid bubble concerns
Residential property prices in Ireland increased by 16.3% year on year in December 2014, up marginally on the 16.2% recorded in November, the latest index data shows. But it is a substantial increase on the 6.4% recorded in the 12 months to December 2013, according to the figures from the Central Statistics Office. So, at a national level the 0.4% rise in the month of December compares with an increase of 0.5% recorded in November and an increase of 0.3% recorded in December of last year. A breakdown of the data shows that in Dublin residential property prices rose by 0.2% in December and were 22.3% higher than a year ago. Also, Dublin house prices rose by 0.3% in the month and were 22.5% higher compared to a year earlier. Dublin apartment prices were 21% higher when compared with the same month of 2013. However, a CSA spokesman pointed out it should be noted that the sub-indices for apartments are based on low volumes of observed transactions and consequently suffer from greater volatility than other series. The price of residential properties in the rest of Ireland rose by 0.7% in December compared with a rise of 0.1% in December of last year and prices were 10.2% higher than in December 2013. House prices in Dublin are still 35.6% lower than at their highest level in early2007 while apartments in Dublin are 44.9% lower than they were in February 2007. Residential property prices in Dublin are 37.7% lower than at their highest level in February 2007 and the price of residential properties in the rest of Ireland is 41.4% lower than their highest level in September 2007. Overall, the national index is 37.6% lower than its highest level in 2007 but there are still concerns about the annual rate of price growth and Ireland’s Central Bank is poised to introduce new mortgage rules, mainly aimed at raising deposit levels to try to ward off a bubble. According to the Society of Chartered Surveyors Ireland (SCSI), the rebound will moderate substantially this year as tighter lending rules exert a downward pressure on prices. It’s annual review and outlook report for 2015, which is based on a nationwide survey of members, predicts that the pace of property price inflation would moderate to 5% to 10% this year. However, the SCSI believes that a threshold of 20% deposits for residential buyers seeking a mortgage is too restrictive and members favour a 10% to 15% level. The SCSI report also suggests that property values rose by 14% nationally in 2014 and by 19.5% in Dublin. It also shows that rents increased by an average of 11% nationally and are now just 5% to 10% off peak levels in some prime Dublin locations. The society report also shows a 33% increase in housing completions last year, but said that this figure is still less than half of what is required annually. ‘The lack of supply of family type homes in the… Continue reading
UK regional prime property markets outperform London
For the first time since the credit crunch, the UK’s prime regional property markets marginally outperformed London in 2014 with growth averaging 3.2%, according to the latest analysis. The new rates of stamp duty introduced by the Chancellor in his Autumn Statement in December 2014 brought mixed blessings for different parts of the market, the analysis report from real estate firm Savills shows. ‘For all buyers below £937,500, stamp duty rates have fallen and this is reflected in levels of annual price growth. Above this margin, the increased rates of stamp duty resulted in an adjustment in values at the top end of the market in the final quarter, most notably in the higher value extended commuter belt of London,’ said Lucian Cook, director residential research Savills. He also pointed out that given a strong performance earlier in the year, these commuter markets showed the highest level of annual growth. Prices rose by 4.6% in the London suburban markets such as Esher, Rickmansworth and Loughton and by 3.7% in the inner commuter zone in the likes of Sevenoaks, Guildford and Beaconsfield. While the markets within the commuter zone, up to an hour from London, are all now at or above their 2007 peak, the regions beyond these areas are some way below this level. Prices remain on average 10% below their 2007 peak across the remainder of the South of England and over 20% below across Scotland as an average. The markets of the Midlands and the North falls between the two with a decline of 14.8%. In the sub £1 million prime market that predominantly benefits from a cut in stamp duty, average prices rose by 4.6% in 2014, fuelled by particularly strong growth in the first six months of the year. ‘These lower value prime markets, particularly those well connected to London, are forecast to see the strongest growth over the next year and into the midterm,’ explained Cook. Higher value homes in the £2 million plus range recorded marginal 0.8% falls over 2014, but values fell by 3.1% in the last three months of the year. The report also says that the other overriding feature of the regional market remains the stronger performance of properties in urban locations. Annual growth in prime cities across the UK, such as Oxford, Cambridge, Bath, York, Chester and Edinburgh, averaged 5.8% price growth over 2014 compared to an average increase of 3.1% in their surrounding villages and 0.9% in rural locations. Meanwhile, prime London house prices rose by an average of 2.6% in 2014. However, 2014 was a year of two halves with prices rising by 4.9% in the first half and falling by a net figure of 2.2% in the second half. Savills said this was predominantly due to the stamp duty changes introduced in the Autumn Statement which particularly impacted the higher value markets. The strongest performers in 2014 were the markets up to £1 million and in the £1 million to £2 million… Continue reading
Family home sales in Miami reach all time annual record, latest index shows
Miami home sales increased again in December with single family home sales setting an all-time annual record in 2014 and median sales prices continuing to increase at a more moderate rate, the latest data shows. Year-end sales of single family home sales in 2014 set an all-time record, increasing 4.8% and while condominium sales were the second highest in history, they decreased 4.3% compared to the previous year. Combined sales for the year decreased a negligible 0.4%, the data from the Miami Association of Realtors shows. ‘The Miami real estate market again reflected great demand in 2014. More single family homes were sold in Miami-Dade County than ever in history, while condominium sales marked their second strongest year ever despite competition from new construction supply,’ said Christopher Zoller, MAR residential president. Single family home prices, which again increased in December year on year, remain at affordable 2004 levels despite more than three years of consistent year on year increases. Condo prices also increased in December, marking 42 months of growth in the last 43 months. The median sale price for single family homes increased 3.6% to $255,000 from $246,180 in December 2013. The average sale price for single family homes decreased 1.7% from $414,560 in December 2013 to $393,340 last month. Compared to December 2013, the median sale price for condominiums increased 9.6% to $195,000 from $175,000 a year prior. The average sale price for condominiums increased 19.9% to $409,707 from $341,687 in December 2013. The report also shows that Miami properties continue to sell rapidly and at nearly asking price, reflecting strong demand. The median number of days on the market for single family homes sold in December was 45 days, an increase of 9.8% from December 2013. The average percent of original list price received was 94.7%, down 1.7% from a year earlier. The median number of days on the market for condominiums sold in December was 57 days, an increase of 9.6% compared to the same period in 2013. The average sale price was 93.8% of the asking price, a decrease of 3.3%. The median days on market for properties sold in 2014 were 45 days for single family homes, an increase of 9.8% and 57 days for condominiums, an increase of 23.9%. The average sales price was 95% of the asking price, a decrease of 0.6% for single family homes and 94.7%, a decrease of 1.7%, for condos. Cash sales in Miami continue to decline as more financing becomes available. Still, access to mortgage loans for condominium buyers remains limited, impeding further market strengthening. In Miami-Dade County, 55.9% of total closed sales in December were all-cash transactions, compared to 57.2% in December 2013. Cash sales in Miami are still double the national figure of 26%. All-cash sales accounted for 41.8% of single family home and 68.5% of condominium closings, compared to a year earlier when cash sales were 41% of single family home sales and 70.3% of condominium… Continue reading
