Last week NAMA released an initial list of properties for sale located in England and Ireland, which are either in receivership or administration by them. The list runs to 850 properties and includes everything from pubs to farms, land, three-bed semis, hotels, apartments, some of which are entire apartment blocks, and even an airport.
On release, the list of properties sparked an unprecedented wave of interest and within a few hours more than a thousand people had downloaded the details. It was reported that NAMA’s own switchboard was inundated and its staff fielded hundreds of enquiries – before directing callers to the receivers that are handling the sales.
Not long after the publication of the list, NAMA announced the introduction of a possible deferred payment scheme, which they believe could “kick-start the residential property market” and offer would-be home-buyers protection against negative equity. Under the scheme NAMA would waive 20% of the purchase price on one of its 8,000 Irish residential properties after five years if the property were to fall further in value.
“What we are talking about is a very modest intervention with the objective of getting something moving”, said NAMA Chairman Frank Daly. “If enough people take up the offer and re-engage with the property market, then the risk of further price erosion will be significantly diminished”, added Ciarán Phelan, CEO of the Irish Brokers Association.
Have your say:
- Can NAMA breathe life back into the property market?