News

Property news Jan 2008

This month we take a look at spring cleaning and offer twelve room-by-room tips to get, and keep, you motivated, to spruce up your nest on a daily basis.

The worldwide stock market chaos may not have had all of us on the edge of our seats, but the events of recent days do affect us all, not only if we are in the property market as sellers or buyers, but also as mortgage holders. The European Central Bank (ECB) is expected to cut interest rates by April, following the 0.75pc cut in US rates yesterday. This means that mortgage holders, who have faced eight increases in interest rates over 36 months, look set to benefit from a significant cut in rates. Bank of Ireland Chief executive Dan O'Loughlin said "I have felt for a long time that rates in Europe have peaked. We will get at least a 0.50pc cut," (This would represent a monthly saving of € 90 off the average mortgage)

In October Privateseller.ie predicted that greater certainty over interest rates would help stabilise and rejuvenate a volatile property market. We take a broad overview of what has been happening and what’s predicted to happen next.

Amy, who has just returned from the US and wants to buy a property in her native Limerick, has a query about Escrow accounts addressed by our legal experts.

New planning rules for villages

New planning rules to limit the number of new houses permitted in small towns and villages in Ireland will be introduced later this year. Announced by Minister for the Environment John Gormaly, the aim is to stop rapid overdevelopment by limiting to c12, the number of houses allowed to be built in villages with a population of less than 400.

London calling

One feature of the downturn in construction recently puzzled over by the Irish Independent is that there has not been the predicted surge in unemployment.     

Stocks and scares

It’s been a worrying week on the global stock markets as panic selling set in and hundreds of billions of Euros were wiped off the value of shares. Last Monday saw the biggest one-day drop on European stock markets since September 11, 2001.       

Developers’ cautious approach 

After the drama of last year, recently developers appear to have adopted a ‘wait-and-see approach’ to the property market. In 2007 while asking prices held relatively steady, continuous reduction in the closing prices demonstrated the dramatic shift from a sellers to a buyers housing market.

Practical spring cleaning 

We all like to welcome spring with a clean house. In the past, a thorough spring cleanup was necessary to rid homes of deposits from coal fires and old fashioned ranges. Today’s living spaces, with modern heating systems, seldom present as large a problem, however, this season still inspires us to declutter and dust off after Christmas and those long winter evenings with open fires and scented candles.        

Legal Question

I have just returned home from the States and want to buy a house near my folks in Limerick. I haven’t bought property before, but my friend in the States purchased a property before I left. She advised me to use an Escrow account. I had never heard of one, can you tell me what this is