Quick fire property sales: Are they value for money?

Quick fire property sales: Are they value for money?

Quick fire property sales: Are they value for money?Receivership sales are becoming more common as the banks try to sell off the surplus of houses and apartment schemes left over by the Tiger.

Last week a quick fire sale of apartments in Carrickmines, one of the large Dublin developments, saw 89 units up for grabs with only 4 left unsold by Monday evening. The sale of these properties would have been eyed closely by other receivership companies planning to sell stock in the coming months.

While low prices may attract buyers to quick-fire property sales do they actually offer real value for money? Carrickmines was probably unique as the apartments were seen to be valued “at extremely keen price for the area” which also benefited from a long list of features. However some unsold developments around the county were built with no proper planning in mind and lack the transport links, amenities and structural guarantees the development Carrickmines offered. Not only that but many unsold developments have lain empty now for over two years and have been described by some as “Mothballed” properties.

Have your say:

  • Quick fire property sales: Are they value for money?
There are 9 comments for this article
  1. john at 8:20 am

    dont buy,its another load of rubbish,its for people who have lots of cash.the houses here were never worth anything like the asking prices.we have been brought up on a culture of thinking we have to own our homes,and thats the prob,there too over priced.i was paying 4500 with a sub prime lender,and had planned to get a normal lender after 18mts or so,then the crash and no lender wants to know,the sub prime sent me the usual letters,and i said here lifes to short have the keys back i can rent the show house beside me for 950 per mt,its a no brainer,then they wanted to be helpfull,so whos got who over a barrel?put it up to the lender and you,ll see there terrified.

  2. Henning Duve at 9:47 am

    Well, despite of the fact that more than 90% of the NEW Irish houses are technically CRAP, because in measures of solidity, insulation, stability, durability, fire and burglar safety they are NOT by far matching average European standards and so have NEVER been worth the money initially asked for, selling those houses now would in many cases not make any sense, because most of them are, because of previous mentioned flaws they are rather ruins than houses. One of the best examples is Legga, near Moyne, Co. Longford. Built 2005 or so (estimated by being overgrown by plants), only two of 19 houses are inhabited – and the 17 uninhabited suffer already severe damages due to bad building quality and gone by time. One house even, built on the edge of a little hill, has a HUGE construction flaw, which could have been avoided with a proper foundation: between kitchen/diner and sitting room there is a large hump of 10cm approx. on the floor. Who would buy such a house anyway, even if new? The access road to the lower situated six houses even has a two-meter gap, where the ground sank down. Upps! In what country in Europe save Ireland this would happen??

  3. Raymond at 9:50 pm

    if you are not cash rich , stay away from properties in ireland period!. if you intend financing the prop purchase with bank borrowings , that if you can get any in the first place, you need to think very well bcos down the line u gonna cough big dough when interest rate starts rising and it will no doubt trust me on this one. so watch your back guys dont fall in to the hole. if u are cash rich I suggest u do your due diligence before you make that crucial decision of your life which seems like a bargain of the century

  4. Terry at 4:39 pm

    The prices that the “quick-fire” sales offer are the only realistic offers available.

    Some naive buyers think that the boom is over – but the truth is that most property is still very over-priced. Buyers should benchmark their expectations against the prices at “quick-fire” sales. Quick fire sales should be called “sane price” sales.

  5. Fiona at 4:09 pm

    No – absolutely not in my opinion. There are crippling cuts ahead of us that most of the ‘sheeple’ in Ireland don’t want to even think about and they’re living in an artificial bubble thinking that all will be okay. People won’t be able to pay their cut-price property mortages and interest rates are likely to soar. So say those in Brussels!

  6. Damien at 1:48 pm

    It is still pure tripe to think that sell off’s such as these are value for money, it is only value for money if you can afford it over the long term…

    What people are forgetting is that intrest rates are artificially low at the moment… we still have a long road ahead in terms of getting this countries finances under control not to mention all the bailouts…

    Interest rates are going to have to rise, either by banks here or ECB long term.. unless the buyers are prepared to fix the mortgage when buying to say 5-10 years, their variable rate will shoot up over the next few years, does anyone not remember the 80’s in Ireland, one guy I knew was paying 13% interest on his mortgage and working 2 jobs to cover it back then….

    I am afraid that these sales are still going to be in negative equity, even if the buyers think they are getting a good deal regardless as the next onslaught of 3 billion worth of cuts kick in not to mention next years cuts and on and on and on…

  7. Catherine OBrien at 1:38 pm

    Any ‘Quick fire ‘property is worth a gamble – depending on a few important eliments.
    Location. Type of property, Quality of finish, Standards and planning adhered to on date property was abandoned by builder,
    10 year homebond, is it covered? Who is responsible for clauses and problems that may arise in new-builds, when the developer has dissapeared and you have paid for , what you believed was a bargin???

  8. Eusebiu Micu at 1:34 pm

    No, as long as I know the constructor had 4-8 times profit on every property (as I read in newspaper) NO there is NO value. And he made that profit by paying not qualified worker € 1400-1600 a week. No way!!! Take only 6 times profit: for a € 300,000/3bed for sale the constructor have spent only € 50,000 (50,000X6=300,000 for sale) So I say, when a 300,000/3bed house will be for sale @€ 80,000-100,000 YES the constructor have minim 100% profit and yes I will get value for money. Now, should I calculate the profit for an apartment? I don’t think so… 🙂

  9. gemma at 1:14 pm

    I think the issue is that many houses/apartments being sold contain fixtures and fittings for which sub contracts have not been. Do the banks take all the proceeds? If they do and are not paying the contractor even a percentage of what they are owed, then it is a form of theft I would have though?

Leave a Reply