-1-
Midland Tribune*
Thursday, 9 March 2017
Page:
13
AVE: 1,936.86€
Circulation:
Area of Clip:
Page 1 of 2
9914
39900mm²
Property Prices Set To Rise
By Average Of 7% In 2017
he development
NATIONAL propertybut
house
prices, . ,
prices are set to rise by an warned that the latter could biggest hurdle while in the
average of 7% in 2017 with not be taken for granted other three iregions
regionssurveysurveyeven higher price increases 8ivei\ . thRe uncertainty ors saw construction costs
and the availability of
predicted for the Leinster Tour oiir Qut of five sur. finance as the main chalregion according to the vey0rs (78%) outside lenges,' O'Hara said.
Society of Chartered Dublin believe Brexit will
Surveyors Ireland, have a negative impact on The Rental Market
According to the SCSI's 0ur economic growth. The report anticipates
Annual Residential While this figure drops to continued and strong rental
Property Review and 50% in Dublin, it shows the price growth over the comOutlook Report 2017, the uncertainty which exists for ing 12 months across all
price of the most popular the coming year,
regions, fuelled by a sushouse type, the 3 bed semi 'The drop in sterling has tained demand combined
detached is predicted to reduced the buying power with a continuing housing
rise by an average of 9.4% of people lookihg to move shortage particularly in and
here and that is probably around the regional cities.
nationally.
Chartered Surveyors in one of the reasons why thir- Overall the greatest
the Leinster region, exclud- ty six per-cent of surveyors increases are forecast for
ing Dublin, anticipate the across the country believe both 2 and 3 bed apartgreatest increases across all that Brexit has already had ments and townhouses at
housing unit types with an a negative impact on resi- over 10%. The survey took
increase of 11% projected dential activity levels. place before the new
for 1 and 2 bed ariartments interestingly, a clear majori- restriction on rent increases
and a rise of 10.6% forecast ^ °f survey (62%) antic- were announced so while
for 3 bed semis. The price of jPate additional coun- increases of over 11.5%
a three bed semi in Dublin nes ™nBv°te m ff?v°Ur were Predicted for 2 a?d 3
• leave the EU over the next 3 HpH units in Dublin, these
is predicted to rise by 9.5%.
'On the other hand, the -11 ^arly not be happenS?JE !
mg now.
residential rents will rise on
average by between 8 to changes which the Central Ronan O'Hara said that
10% outside of the rent con- Bank made to its lending while the proposals to
trol areas of the four local rules and the introduction extend the designated presauthority areas of the of the "Help to buy" scheme sure zones to 20 more
Dublin Region and Cork are likely to contribute to towns might be well intenCity Council area. Annual an increase in activity in the tioned, they were also short
rent increases are capped at short to medium term, sighted. 'In our survey the
4% in these designated Eighty per-cent of respon- introduction of permanent
pressure zones. The dents to our survey believe rent control measures was
Government is reported to "Help to buy" will lead to ranked as the highest negabe planning to extend these price increases in the com- tive measure that will
ing year. While this is good impact upon the supply in
zones to 20 more towns.
Over 380 estate agents news for vendors, strug- the rental market. If this
and Chartered Surveyors gling first time buyers will g0es ahead it will discourtook part in the survey in be disheartened. While ris- age landlord investment in
late November/early ing prices will probably the rental market. Similarly
December. Future Analytics encourage more builders to anyone involved in buy to
start building houses it let properties will exit the
Consulting was commisreally
is up to Government market and it's likely a lot
sioned by the SCSI to carry
to tackle some of the under- Df owner occupiers will
out the research.
lying issues - including purchase them. That might
high construction costs - be good news for them but
Commentary
and to make housing more not for those renting as
Ronan O'Hara Chair of
affordable. rents will continue to rise.
the SCSI's Residential 'The issues shouldn't The Government may be
Agency Group said the lack come as a surprise, putting out one fire, but
of supply, public policy and Surveyors in Dublin nigh- they are simply starting
projected economic growth lighted the shortage of another,' he said.
may continue to inflate
72
-2-
Midland Tribune*
Thursday, 9 March 2017
Page:
13
Housing
According to the report
the estimated figure for
new builds at the end of
2016 will be 14,800. This figure falls significantly short
of the 20 to 30,000 required.
O'Hara said that while
demand for housing is
greatest in Dublin the fact
that commencements outside the capital are running
three times higher is a concern.
The SCSI's Annual
Residential Property
Review and Outlook
Report 2017 is available at
www.scsi.ie .
AVE: 1,936.86€
Circulation:
Area of Clip:
Page 2 of 2
9914
39900mm²