Wednesday 17th April, 2024
CSO House Prices – Rises Predictable But New Housing Targets Achievable – IPAV
Commenting on today’s CSO House Price Index for February, IPAV, the Institute of Professional Auctioneers & Valuers, said as prices continue to move higher again amid supply challenges and in line with IPAV’s own published findings and expectations, that nonetheless the Taoiseach’s new housing target of building 250,000 homes by 2030 could be met – with new forms of housing finance to encourage building by addressing the excessive cost of funding for SME builders in particular.
Pat Davitt, IPAV’s Chief Executive, said we should and could be drawing on the vast amount of money, currently €153 billion, invested in Irish banks by savers currently earning very low rates of interest.
“The Government could, for example, set up a form of Bond whereby people could have options to invest and get reasonable but more attractive rates of interest, perhaps of the order of 3% to 4%.”
He said this was but one option to bolster building which, except for those builders/developers with very deep pockets, has had excessive and prohibitive rates of interest applied.
Mr Davitt said in terms of house prices generally the market is still moving higher with a lot of interest still from non-nationals and returning diaspora.