Marain Finnegan, chief economist with Sherry Fitzgerald, in today’s (19/01/2012) Irish Times:
Marian Finnegan, chief economist at Sherry FitzGerald, says people who can get a mortgage are in a much better position than people who bought a few years ago. “At the height of the market couples spent 45 per cent of their collective net salary on their mortgage repayments. Now they’re spending 22 per cent, which means it has gotten significantly more affordable to buy than to rent, if you can afford the deposit.”
Ok! Sounds like 2012 is a good time to buy!
But wait, this was Marian Finnegan in the Irish Times on 29 December 2005 (i.e. a few years ago):
“All in all, the evidence appears to point in one direction – strong steady demand for the forseeable future. Our young population growth and strong economic performance will mean that demand for homes and the value of those homes will be sustained for many years to come.”
Ok! sounds like 2005 was ALSO a good time to buy!
But wait, this was Marian Finnegan in the Irish Times on 22 January 2010:
“Well, at the risk of oversimplifying, the worst appears to be over, provided the Government delivers another responsible and tough budget next December.
Affordability [in the housing market] has been significantly enhanced by the low interest rate environment and falling prices. Our own affordability index shows that many first-time buyers are now paying 50 per cent less of their net income on their new home than they would have done at the height of the market.
Furthermore, in key urban areas, supply is tightening. Listed second-hand stock for sale in Dublin has fallen by more than 60 per cent from its peak in the first half of 2007.
In my view the market is bottoming out. This is not to suggest a remarkable recovery, rather a stabilisation and a return to a property market serving society, rather than society serving the property market. The indications to this effect outlined above are augmented by anecdotal evidence on the ground.
Ireland is well poised for a recovery. We have faced our worst day and taken the necessary corrective action. The days of the Celtic Tiger may be behind us but valuable lessons have been learnt. We can anticipate a more mature, resilient housing market.”
Ok! Sounds like 2010 was ALSO a good time to buy! It being the year when the worst was finally over and all that.
All these good times, and no-one left to buy.
More from Conor McCabe and the press treatment of property here: