REA welcome new Chairman at AGM

REA held their AGM in Buswells Hotel in Dublin, on Friday, 26th November 2010. The appointment of Patrick J. Riney, Director of Orchard Real Estate Alliance in Rathfarnham as Chairperson of the national property group and Seamus Carthy of Carthy Real Estate Alliance, Roscommon as Vice-Chairperson were ratified by the grou

Real Estate Alliance offer a National Property Service to their clients. Read more on our SERVICES page. http://www.realestatealliance.ie/our-services/national-property-services/

Eoin Dillon reports some recent sales

Eoin Dillon REA in Nenagh has reported a number of sales in the last few weeks. Afew were bought by first time buyers. One was a 2 bed end of terrace for €110,000 and the other was a 3 bed mid terrace for €107,500 which was only on the market 3 weeks.
Also a 5 bed new detached dormer was sold for €285,000 and a 4 bed bungalow for €165,000. A 3 bed detached holiday home was sold on the lake for €150,000

Paul Grimes auction success raised €20,500 for Charity

Paul Grimes, Director of Grimes REA in Ashbourne & Skerries and Board member of REA conducted a Charity Auction on behalf of The Paul Stafford Foundation in the Mansion House on Friday the 5th of November. He raised €20,500 alone in the Auction and all proceeds will be given to 1Life, a suicide prevention 24 hour helpline
The Paul Stafford Foundation was established in 2007 to raise awareness and address the serious issue of suicide in Ireland. It was founded by a group of people who were directly affected themselves by suicide and had lost someone they loved to this ever increasing problem. www.paulstaffordfoundation.com
1life is a dedicated 24 hour freephone national suicide prevention helpline 1800 247 100 www.1life.ie

Good time to Buy

AN economist who was the only person in the property industry to label the housing market a bubble said yesterday that now is the right time for new buyers to enter the market.Derek Brawn, whose book on the property market predicted the bursting of the bubble, said first-time buyers should buy now once they find a property at the right price.The optimal time to buy a house was not at the bottom of the market but just before the market hit the bottom, Mr Brawn said. A year before the bottom of the housing market is the ideal time to buy, he said.

Real Estate Alliance defer National Property Auction

Real Estate Alliance, the national property group, who held the first National Property Auction in April 2010, has announced that they are deferring their next National Property Auction until Spring 2011. In a statement, the group point out that "the current economic climate is not conducive for such an auction".
The Real Estate Alliance group have extensive knowledge of the market and have concluded that "the time is not right due to a myriad of reasons from the upcoming budget to availability of suitability properties.

AGRICULTURAL LAND SELLS FOR €16,000 PER ACRE AT STRAFFAN, CO. KILDARE

AGRICULTURAL LAND SELLS FOR €16,000 PER ACRE
AT STRAFFAN, CO. KILDARE



Coonan Real Estate Alliance of Maynooth and Celbridge have sold 38 acres of land located at Barberstown, Straffan, Co. Kildare at Auction today for € 610,000 which represents € 16,000 per acre.

Will Coonan, Auctioneer, looked for bids and bidding opened at €400,000 and moved quickly to the €610,000 when it was put on the market and subsequently sold. There were five active bidders most of whom were farmers.

The land is in one large rectangular field on the Celbridge/ Barberstown road c. 4 miles Celbridge, 5 miles Maynooth and 1.5 miles from Straffan,. Dublin City is just 13 miles away. The land is of prime quality and is presently in tillage.

The price achieved is a healthy one particularly in the present economic climate and is a good indication of the value of agricultural land in the North Kildare area.

Hynes REA selling former PTSB offices in Athlone

The unusual octagon-shaped former Permanent TSB offices at 22 Mardyke Street, Athlone, is being offered for sale with an €850,000 price guide. The 310 sqm three-storey over-basement premises became surplus to requirements following the bank's consolidation into the John Broderick Street premises.The Mardyke Street property offers about 170 sqm of retail and financial services space at ground floor as well as access to first and second floor office suites, so it could suit a retailer with an option to generate investment income.Healy Hynes, of agents Hynes Real Estate Alliance, says the building is located in the heart of Athlone's commercial area, near the Athlone Town Centre and Sheraton Hotel, and there are more than 2,000 parking spaces available within a five-minute walk.

A good time to buy Irish Commercial property?

There is no shortage of buyers of Irish commercial investment property, despite arguments that no market exist

TE Potterton REA in Trim sold Farm at Auction

T E Potterton Real Estate Alliance Trim
52 acres at Clongowney Crossakiel Kells with Full Planning Permission for a residence of c.2,800 sq ft SOLD AT AUCTION for €360,000

REA commercial listing for Dublin area online now

Check out our lastest listing for Dublin Commercial Property http://www.realestatealliance.ie/assets/files/commerciallisting.pdf

T&J Gavigan Kells reporting 14 sales over last three months

T&J Gavigan REA in Kells are reporting an increase in sales activity over the last few months. According to Cara Gavigan, "if the price is right, the properties are moving". Since the M3 opened, we are experiencing an increase in the level of inquiries".

Ashfield house, Slane on the market for €465,000

Ashfield Cottage & Mews, Beauparc, Slane is a delightful original stone built cottage which has been sympathetically restored and extended (196 sq m / 2,110 sq ft) with an abundance of style and attention to detail and incorporating all the requirements for a most comfortable 21st century lifestyle. Ashfield Cottage is on the market with an asking price of €465,000 and viewings are by appointment through the joint selling agents O’Brien Collins REA (041 987 5444) & TJ Gavigan REA (046 902 3232).

REA reviews property market for first six months of 2010

A new survey by nationwide property consultants Real Estate Alliance agents reports signs of increased demand for properties from First Time Buyers Market in recent weeks. While the group agrees that prices “achieved” are down by an average of 50% from early 2007, they predict that prices are levelling off and expect very little decrease in prices for the remainder of 2010 as there are signs of stability in certain sectors of the property market.Real Estate Alliance sale agreed over 600 properties in first six months of 2010 with levels tailing off slightly in the month of April after an encouraging first three months of the year. In recent weeks, levels of activity have increased again and members are reporting over 150 sale agreeds for the month of May and approximately 115 for the month of June.

Stunning House new to market in Ardmore, Co. Waterford

http://www.irishtimes.com/newspaper/property/2010/0617/1224272686208.html

Coonan REA sell 68 acre farm for €1.26m

The 68 acre tillage farm at Broomfield, Ballyboughal, North Co. Dublin attracted considerable interest over the past few weeks in the run up to the auction particularly from the local farming community.

Coonan Real Estate Alliance offered the farm for sale in lots as follows
LOT 1 : Farmyard on 23 acres
LOT 2 : Lands c. 30 acres
LOT 3: Lands c. 15 acres
LOT 4:|Entire , yard and lands c. 68 acres

The lots were put up first and then the entire was offered.
Initially, the lots were bid as follows by 8/9 bidders;

LOT 1 ; Bid to €420,000
LOT 2: Bid to €380,000
LOT 3: Bid to €230,000

The entire was then offered looking for bids over these cumulatives.

Three bidders for the entire then battled it out until the hammer finally fell at
€ 1,260,000 representing € 18,529 per acre

The farm located just 1 mile from the village of Ballyboughal, 6 miles from Swords and 13 miles from the city centre is a superb tillage farm with over a mile of road frontage and five gateway access points to road. The farm was in five main divisions and was primarily in tillage with 8 acres in pasture. There was a farm yard with cattle shed, crush , outhouse and sheep pen along with an old mobile home in yard.


The purchaser was believed to be a farmer from North County Dublin.


Coonan Real Estate Alliance 2nd June 2010

Sothern REA sell 41.5 acreas of land at Auction for €466,000

At the auction of a 41.5 acre holding on the edge of Rathdowney it was apparent that most Irish men or women still want to own an acre. Over 50 people attended the auction and there were 5 active bidders. The hammer eventually fell at a figure of €466,000 or an average price of over €11,000 per acre.

The holding bordered on one side by the Erkina River and the other side by Rathdowney Golf Club has been in permanent pasture for many years.

All of the bidders were farmers and it shows that people are still of the opinion that land is best as no more of it is being made and as a long term investment is better than shares or other funds which we have seen decimated over the last couple of years.

George Sothern of Sothern REA was obviously very pleased with the result and he feels that this shows the sound investment land is and the backbone of our economy and country

Coonan REA sold Pub & Adjoining Land for €900,000

The Royal Oak public house at Mainham, Clane, Co Kildare, together with three small adjoining lots of land, has been sold for around €900,000. It is one of a number of licensed properties which have changed hands in the Greater Dublin Area in recent times.

The Royal Oak, on 19 acres of agricultural land near Clongowes Wood College, went for auction last month and one of the lots -- consisting of 3.5 acres -- went under the hammer for €125,000
http://www.independent.ie/business/commercial-property/pub-and-adjoining-land-lots-pull-in-8364900000-2194086.html

Real Estate Alliance now on Facebook

Visit our facebook page set up as Real Estate Alliance Ireland http://www.facebook.com/realestatealliance

At least 10 further properties under offer

Real Estate Alliance hope to announce a further 10 sale agreeds in the next week or so as at least 10 lots are currently under offer.

REA National Auction deemed a success despite difficult market conditions

Real Estate Alliance held the first ever giant property auction in Ireland today at Dublin's Shelbourne Hotel. The auction was deemed a success with 27% of the 61 lots selling amounting to 16 properties raising €3.9 million. In summary, a total of 16 lots were sold on the day today, with further lots potentially being sold post auction in the coming days

Legals online now

The majority of the legals are online now for the REA National Property Auction.

REA Auction - Online Catalogue available now

Check out our online catalogue on http://www.realestatealliance.ie/national-property-auction/

71 LOTS Confirmed for REA National Auction.

Real Estate Alliance, has received a phenomenal response from those looking to sell property. Real Estate Alliance has just announced that a massive 71 lots have just been confirmed. 65% of the 70 lots comprise of residential properties presenting superb value for those looking to capitalise on low prices, ranging in AMV from just €60,000 to €1.5 million. Commercial properties comprise of commercial, retail opportunities, industrial units and land. The auction, the first of its kind, will take place in Dublin’s Shelbourne Hotel on Friday 30th April and is expected to attract a broad mix of buyers including those looking for good commercial business opportunities and also those hoping to secure a residential bargain.
http://www.realestatealliance.ie/national-property-auction/

First Carlow Land Auction 2010 was a successful outcome

Dawson Real Estate Alliance held their first land auction of 2010 this week on the 24th of March offering 24.6 acres in three divisions. There was good interest on the day mostly coming from local and neighbouring farmers. The lands were sold to three purchasers from the locality and made an average of €10,264 per acre.
John Dawson commented after the auction that he was satisfied with the outcome and that the land values appear to be settling, and he also said he had a number of clients looking for good quality land.

ACC bank sells within four weeks

ACC bank sells within four weeks

The former ACC bank premises at Main Street, Roscommon, was sold this
week by Carthy and Associates Real Estate Alliance, with the sale being agreed within four weeks of going to the market.

The building was sold for €575,000, €75,000 over the guide price of €500,000. The purchaser was a local professional businessman.

Speaking to Roscommon People, auctioneer Seamus Carthy
of Carthy & Associates REA in Castlerea, said, “I can confirm that we
agreed the sale within four weeks of it going on the market. The
property, without any huge advertising campaign, generated substantial interest and Carthy and Associates conducted in excess of
20 viewings.

“Due to the quality of the building and the attractive guide price of €500,000, over sixteen bids came in on the property. As part of the requirement from ACC Bank, each bid had to confirm that they had funds in place. All interest in the property was local as it preceded any national advertising campaign.

“ACC Bank comprised of a relatively new building measuring 255 sq. metres, over three floors, finished internally and externally to a very high specification. As such from any potential purchaser’s point of view, it was a building that was ready to go with very little outlay to be incurred once purchased.”

The three storey end-of-terrace building with a single storey extension to the rear enjoys a prime location on the Main Street of the county town. Noting that the former bank premises achieved in excess of €100,000 over the guide price, Mr. Carthy said, “If properties are priced correctly, there is substantial interest out there from buyers who have funds in place.”

Carthy and Associates now have a substantial list of people who have expressed interest in quality properties at the right price. These people have funds in place and are actively seeking property opportunities. Seamus Carthy is available in confidence to talk to any parties who wish to sell properties in the currently climate. Good advice and approaching the market correctly is the key to successfully selling property in the current climate. Sellers need quality professional advice and Seamus Carthy is available at (094) 96 25990 (office) or (086) 8035538.

Successful Opening Launch at Hazelwood Celbridge Co.Kildare

Hazelwood Celbridge built by Maplewood developments had a very successful opening launch last Saturday and Sunday. With huge crowds around on both days Coonan Real Estate Alliance reserved 17 houses in total and expect to reserve some more over the next day or two. An estimated 400 people viewed the houses over the weekend.
The three and four bedroom showhouses received great praise for their bright and spacious accommodation including a host of standard features such as solar panels, recessed lights on the ground floor, maintenance free exteriors and front and back gardens. The buyers were very impressed with the standard of finish and the fact that each house comes with a minimum B1 energy rating.
With prices from €265,000 buyers felt they were getting good value considering the three bedroom houses measure 1206 sqft and the four bedroom houses 1550 sqft. The buyers were a mix of young families trading up as well as first time buyers and people trading down.

As Phase 1 is now sold out Coonan Real Estate Alliance are taking reservations on the second Phase.

For Further details contact Coonan Real Estate Alliance 01-6288400.

First National Property Auction Set To Stimulate Market

REA is to host a National Property Auction featuring a wealth of residential, commercial and investment properties from right across the country. The auction, the largest and first of its kind to be held in Ireland, which will feature both residential and commercial lots, will take place in Dublin’s Shelbourne Hotel on Friday 30th April http://www.realestatealliance.ie/national-property-auction/
The auction’s announcement is timely with Real Estate Alliance members having seen positive movement in the market since the turn of the year. The property group believes the formula, having worked particular well in the UK, will act as a positive catalyst to help stimulate the market nationwide.
The April auction will feature a broad mix of both residential and commercial property lots from all sectors of the market but with one thing in common – they will offer excellent value for buyers. The residential opportunities will appeal to first time buyers, those looking to trade up and those looking for renovation projects.

REA, has called on banks not to increase bank interest rates.

National Property Group, Real Estate Alliance, has called on banks not to increase bank interest rates. Commenting on the rising of certain rates, Michael Boyd, recently appointed Chairperson of Real Estate Alliance and Director of Boyd’s Real Estate Alliance in Kilkenny, “the Irish property market is in a precarious position and we believe that raising bank interest rates will be counterproductive”.

REA website re-launched

Commenting on the re-launch of Real Estate Alliance, Eimer O’Keeffe, CEO of Real Estate Alliance, commented; “Realestatealliance.ie is designed to be a must see for anyone thinking about buying or selling a property or land, whether they are a first time buyer, trading up or an investor. The website will also be an important marketing tool for our Agents to promote their offices and to inform people of their services.”

Mr. Michael Boyd of Boyd’s REA and Chairman of REA further commented, “This is a period of unprecedented change right across the spectrum of property from the fluctuating values of your home to the issues NAMA raise for all of us in the years ahead. Real Estate Alliance has set itself the task of being at the forefront of professional advice on every aspect of property in these difficult times. This new website shows the range of advice and services we offer you, the standards to which we aspire and our pride in giving you the best advice available”.

houses down by over 30%

Mr. Boyd pointed out that there is evidence to indicate some positivity in the market, “With stocks of houses down by over 30% and signs of price stabilisation being seen in parts of the country, the bottom of the market is starting to emerge”. He continued, “Lending levels are at an all time low as indicated by the most recent Central bank reports which showed that there is more being paid back in mortgages on existing mortgages was more than what’s been given out in new mortgages”.
Mr Boyd suggested that, “It’s this stability of ECB rates remaining low, coupled with a continuation of the pattern established in the market over recent months, both in buyer confidence and vendors expectations that will allow the market to return to a more normal activity level over 2010”. He feels, “however, recent increases in rates by PTSB, if followed by other banks may well act to endanger this stability and spark a fresh round of price drops”

According to Vice Chairman Patrick Riney, “the banks are acting against their own best interests by increasing rates when their customers are at their most vulnerable. The ECB has recognised this by leaving base rates at their historic low and by acting against this direction; the banks will endanger any recovery and may precipitate a longer term revival”. “The increase of rates will only act to further punish those in difficulty and frighten those that are reticent to spend,” he continued.

The Real Estate Alliance group are aware that the banks claim they are losing money due to the relatively low interest margin now being achieved by Irish bank.
However true this may be, it’s a relatively new phenomenon for Irish banks that historically enjoyed such high level of margins and deposits that foreign banks and institutions were attracted into the system in recent years.

Real Estate Alliance recommends that reducing deposit rates by 0.5% instead of raising interest rates will widen the spread on rates improving the banks net margins.
According to Real Estate Alliance analysis, 12 months deposit rates in Irish banks are now at 3.2%, 220 basis points above ECB rates, 200 basis points above Euribor lending rates and only 49 points below the new PTSB variable lending rate.
In addition, the most recent figures by Consumer Market Monitor show that Irish savings are at an all-time high with people putting away 11pc of their disposable income in 2009, compared with just 3pc in 2007. According to Mr. Riney, “increased consumer confidence and spending will be the stimulus that drives an overall economic recovery according to Real Estate Alliance and instead of increasing lending rates; the banks should be reducing deposit rates”.

“Banks may argue that they need these deposit to improve their balance sheets however we cannot allow the €400bn of state guarantees, €11bn of recapitalisation and €77bn of assets being acquired by NAMA to go unacknowledged,” according to Mr. Riney. He continued,” we all realise that historically low rates like these cannot continue forever, but the timing of rate rises has to be done in conjunction with a more holistic view of the economy. Raising rates in advance of economic ability to repay can only lead to increased levels of arrears, further erosion of any equity that owners may possess and downward pressure on market recovery.”

The members of the Group agree as PTSB has not applied to access NAMA funding, nor has it been recapitalised, it remains largely outside the remit of Finance minister and his offices. And whereas if the Minister for Finance cannot explicitly instruct the banks not to increase their rates, as a substantial shareholder and stakeholder in the sector with directors on the boards of most of the major institutions, it can be made clear to the executives that actions such as this will not be tolerated and may endanger the working relationship of the department and the banks.

REA shows 30% few homes on the market than 12 months ago

The nationwide survey by Real Estate Alliance shows 30pc fewer homes on the market than 12 months ago. “In all sectors, we are seeing significant decline in homes available.” According to the Real Estate Alliance chairman Michael Boyd. “On average, there are 30% less homes on the market now than there were 12 months ago.”

In the second hand sector, Real Estate Alliance study estimates the supply of apartments fell 19%, bungalows by 32%, detached homes by 35%, terraced by 18 % and semi detached homes by 34%.
With bank lending particularly focussed on the first time buyer sector, this last figure is of particular interest to the national property group.

Michael Boyd elected as new chairman for REA

The appointment of Michael Boyd, Director of Boyd’s Real Estate Alliance in Kilkenny as Chairperson of the national property group and Patrick Riney of Orchard Real Estate Alliance of Rathfarnham as Vice-Chairperson took place on the 27th of November 2009.

“We have the experience to guide our clients through this”, said the incoming Chairman, Michael Boyd. “Our members are long-standing in their communities and have the expertise to get through these challenging times. We were never under any illusions that the property sector is cyclical. We have been through recessions before and come out the other side. Many of the Real Estate Alliance agents are lucky in that they are not overly dependent on the residential market, which has been hardest hit and as such they are busy doing valuations, rating appeals and giving professional services to our clients

REA welcome in a new era of high quality valuations

Real Estate Alliance, the national property group comprised of some of the country’s longest established estate agents, held their AGM in The River Court Hotel in Kilkenny, on Friday, 30th November. The whole area of how the banks are now taking a much more professional view of how valuations are been carried out were key items on the agenda as the group looked at what the year ahead may bring for the property sector. The appointment of Michael Boyd, Director of Boyd’s Real Estate Alliance in Kilkenny as Chairperson of the national property group and Patrick Riney of Orchard Real Estate Alliance of Rathfarnham as Vice-Chairperson were also ratified by the group.

Real Estate Alliance members met after one of their hardest years yet but found many reasons to be positive. There was 100% attendance by the members at the AGM, no agents left the group in 2009 and the Group has no debt. The Group have recently acquired large valuation contracts for banks, various litigation cases and a number of Government departments.

The banks were on everyone lips during the day as some of the country’s longest established estate agents agreed that because the whole area of credit assessment criteria has now to be taken seriously by the banks and a consequent of this, valuation standards will have to rise. Real Estate Alliance has been calling for Irish valuation standards to match international criteria for years. According to the incoming Chairman, Michael Boyd, “the impending NAMA regime should result in the valuation process being put at the central of the credit assessment system.

Follow us now on Twitter

Real Estate Alliance is now in twitter. Follow us on www.twitter.com/REAIreland.

Windfall Tax will have a devasting effect on the market.

REA agents think the proposed 80% windfall tax will have a devastating effect on the Market for one off sites as well as for any proposed sale of land in the future close to towns/cities which could be developed.

Many people through no fault of their own have land close to towns frozen for proposed by-passes for 10 + years and now that could be subject to the 80% tax. They could have sold or developed it if it was not frozen.

As sure as night follows day, we will slowly come out of this recession and if the 80% tax stays it will drive up the price of houses again because land will not be released for sale because of punitive taxes.
The 40% capital gains tax of the 1980’s and early 90’s prevented the release of land for development so we can only speculate what will happen if the 80% windfall tax is introduced.

Hynes believes the worst in over and things are straightening out

"We've seen a steady improvement in house sales since the start of this year, particularly since last August and September," said Hynes. "Confidence is a bit better. People realise there's value to be had out there. Sales are thousands of times better than this time last year."

Hynes believes the property market went into recession about a year before the rest of the economy, and is more likely to recover before other sectors. "There is an upturn slowly coming through," said Hynes. "The worst of the downturn is gone."

September activity increased slightly

Real Estate Alliance report slightly increased buying activity around the country in September, mainly among first time Buyers.REA’s Barometer of members shows 34 offices reports that 171 sales were agreed in September. This compared to 150 in March and 164 in April, spring months which provide comparative activity periods.
Of the latest sales agreed, 114 were for second-hand properties and 57 for new properties. According to CEO Eimer O’Keeffe, second-hand homes fared better because they tended to be in better locations. “However, it all comes down to price. The vendor for a second-hand property can be keener to lower its price to move into their new home so there is a lot of room here for negotiation”, she said.The total number of enquiries recorded by the 38 Estate Agencies within the group was 4560, an average of 120 per month. This demonstrates a 15pc increase compared to March 2009.
In terms of contracts signed, REA can report a total number of 165 contracts signed for September divided between 76 second-hand homes and 89 new homes. Ms O’Keeffe added; “There seems to be a positive shift with more viewers looking to buy, all under the €250,000 bracket. There is a marked improvement in activity in South West County Dublin. “Our agents in Rathfarnham, Orchard REA reported a 20pc increase in enquiries, five sale agreed and four contracts signed in September. According to Kevin Riney of Orchard REA, “prices are down by 50% and buyers know there is good value”.

Jeanne Walshe of Cumisky REA said the Balbriggan second-hand market is quite slow with properties priced above €200,000 experiencing difficulty. She said, “Purchasers have a huge range of options at great value and schemes such as Dun Saithne Green sold quite fast. Two bed there from €128,000 and three beds from €140,000 sold out in less than two weeks, with only four mid terrace units available.

Has the economy paused your Redecorating plans?

Fear not, 10 Top “R” Tips to transform your home from the doom and gloom during this Recession.

In today’s economic downturn, cost cutting and drastic budgeting, all plans to redecorate our homes are put on the back burner for the time being. Just The thought of redecorating our home sounds crazy! In reality, redecorating our homes doesn’t need to cost a lot. All you need to do is plan wisely.

Make a plan today, pick a paint colour or throw out those old pictures tha­t are fading. Piece by piece, you'll get into the groove of t­urning the house into your designer home! Read more on NEWS section

Traffic up 30% on website since August

On our google analytics, we have noticed an increase in traffic to both our websites. Traffic is up by 30% on last month's traffic

REA agrees a further 150 house sales in May

THE Real Estate Alliance Group agreed a further 150 house sales nationwide last month. But enquiry and viewing levels tailed off a little.
While sales agreed matched the previous month, the latest REA Property Barometer for the month of May shows that finalising deals remains a slow process with the figure for contracts signed at 114. REA chief executive Eimer O'Keefe reports that 4,000 enquiries were processed by the 38 group member firms around the country last month -- down five pc. The total number of viewings was down three pc at 1,350.
Ms O'Keefe noted that the level of enquiries are back to March levels, but pointed out that activity traditionally slows during the summer months.

REA members reported considerable evidence that the residential property prices are decreasing at a much slower pace in the last three months. Price decreases are near to static since March 2009. However, Real Estate Alliance agents can report an overall average decrease of 35% since June 2007 to now. There was evidence of a fall of 15% between Jan and March 2009 and a maximum of 5% decrease since March 2009. In some areas no decrease was reported for this period.

According to Eimer O’Keeffe, CEO of Real Estate Alliance, “Most locations saw an average decrease of 38% in the sale of New homes. Kilkenny, Bundoran, Navan, Kells, Ashbourne and Balbriggan all reported decreases of up to 40% in new homes prices since June 2007. Smaller decreases of around 25% were experienced in Leitrim, Cavan, Carlow, Nenagh, Killarney and Nenagh”

Top Tips to survive the recession

TOP TIPS TO SURVIVE THE RECESSION


BE POSITIVE
It’s important to look beyond the short term to the medium and longer term:
n Stay positive about what makes your business great
n Stay positive about your passion for the business
n Stay positive about the future you will create for your business and yourself
n This will have a knock-on effect on other people in the business, your customers and your suppliers

BE DISTINCTIVE
n Ensure that what you offer is distinctive and that your customers are prepared to pay for that distinctiveness
n Hold fast to that distinctiveness and articulate it at every opportunity.
n Without it your offering will be treated like a commodity and you will come under severe price pressure
n Unique Selling Point Must be clear, unique, distinct and known!

BE BRAVE
n It might be tempting to reduce your prices to win business, you’re probably better off increasing prices, even if it means losing business
n Here’s why: if your gross margin is 20% and you drop your prices by 10%, you have given away half your profit. To achieve the same profit in € you have to generate twice as much revenue, that’s just not feasible, and to do so would probably mean taking on more staff and increasing overheads which would then probably need to be paid for before payment is received from the customer, resulting in cash flow shortages.
n If, on the other hand, you raise your prices by 10%, you will either make 50% more profit
n or you can afford to lose about a third of your sales volume while maintaining your current profit. You should then be able to reduce overheads too since you will be a smaller business.

KEEP COSTS VARIABLE
n Some costs vary with the amount of sales volume while others are fixed irrespective of sales volume
n In times when sales volume is unpredictable, try to ensure that as many costs as possible vary with sales
n For example, costs of associates or sub-contractors are variable whereas the cost of employed staff tends to be fixed.


REDUCE FIXED COSTS
n At the same time, it makes sense to reduce fixed costs where you can
n Go through each cost in turn and ask yourself whether it could be reduced,
eliminated or done in a more flexible way

FOCUS ON CASH
n Never is the saying ‘cash is king’ more pertinent than in a downturn
n Make sure you manage your cash very closely
n Make someone specifically responsible for it

GET PAID QUICKLY
n Get invoices out on time and do everything you can to ensure customers pay on time, from forging strong relationships with their accounts payable,to finding out when they do their payment runs
n Call them a week before the payment run to check your invoice is on the list
n At the outset of projects, negotiate a payment schedule that includes upfront and/or interim payments.

NEGIOTATE DEALS WITH YOUR CREDITORS
n It may be worth paying suppliers early to secure discounts - even if you have to borrow from the bank to do so
n Say, for example, the normal payment term for a supplier is 45 days, but that supplier agrees to offer a 2.5% discount for settlement within 10 days, the saving you will gain by making early payments is 26% per year
n The same considerations, but in reverse, apply to the discounts you allow your customers

STAY CLOSE TO YOUR BEST CUSTOMERS
n Do you know who they are?:
n Offer to partner with them – you are both in the same boat
n Suggest ways to help your customers to
n Save money at this time
n Make money at this time
n Be prepared to renegotiate contracts
n Give customers something extra free!

KEEP SELLING
n Offer prospective customers choices
n Sell small at the start of new relationships
n Keep your sales message simple & clear –what’s in it for the customer?

KEEP WORKING ON YOUR CUSTOMER SERVICE
n Deliver quicker
n Under-promise & over-deliver
n Train, train & train to be the best you can be at what you do!
n Like Barack Obama, create your own possibility!

First Time Buyers on the move

House sales activity perked up slightly in April with first time buyers to the fore, according to latest statistics from Real Estate Alliance.
A total of 164 residential sales were agreed by Real Estate Alliance members during the month, an increase on the figure for March.

The REA April Property Barometer reveals that the sale price remained at around €180,000 on average, some 85pc of the asking price sought. The total number of enquiries recorded by REA estate agencies within the group was 4,200; 5% better than in March.

“All REA agents are reporting an uplift in first time buyer interest and sales”, CEO Eimer O’Keeffe comments. “Offers are coming in for second hand houses, but mostly at well below asking prices. Vendors are still holding on to unrealistic expectations. They won’t accept prices at market level. On average, we are seeing prices around the country at 40pc of the level prevailing at the height of the market. In certain areas, apartments are down by 50pc and second hand houses are down by 35pc”.

Sales inquiries up.

150 sales were agreed at the 38 REA offices throughout the country in March, with enquiries up 15pc on the month before.
REA chief executive Eimer O'Keefe reports 1,350 viewings in total over the month (35 per office). The average sale price achieved -- €180,000 -- was 90pc of the asking price and the average time it takes for a house to sell is now 20 weeks

Real Estate Alliance, today issued a warning to the Government on the potential negative impact of a property tax. Members of the property group have warned against any property tax instead advocating a property market stimulus, which could increase Government tax takings from property activity. Taking steps to boost confidence in the property market, rather than undermine it with further tax burdens, will help to get the market moving again benefiting all.

Any form of property tax has the potential to impact negatively on an already delicate market. Especially as the government have already introduced a €200 property tax in the last budget, just 6 months ago. Continuing to beat this horse may result in crippling a market that is on the precipice of recovery the group stated.
Suggestions for a market stimulus package included abolishing or halving stamp duty on all residential property for a set period of one year. Many members were citing what happened when capital gains tax was reduced from 40% to 20% and believe that a similar impact could be seen in stamp duty if the right stimulus package could be found. A reduction in stamp duty combined with the Government’s

First Time Buyers are ready to buy

The majority of this group are between 25 and 30 years old. 48% are renting while 31% live with their parents. 66% of those renting are paying between €600 and €700 per month. A large majority (68%) of these potential buyers want to buy in the next year and most are motivated by “seeing the right house”. 54% are buying alone and 41% are buying with a spouse or partner. Interestingly, most of them have no preference between a newly built or a second hand house. The most popular budget is between €200,000 and €249,000. Most of these buyers (54%%) are holding off buying because they believe prices will fall in the months ahead and 22% are have problems obtaining finance. A considerable number of this group (59%) haven’t applied for a mortgage yet. Most First Time Buyers feel that the Home Choice loans will have little effect on the market. 79% of First Time Buyers think there is value in buying a house at the moment. 37% believe that property prices will bottom out by mid 2009. Most First Time Buyers (35%) believe that house prices will decrease by 5% in 2009. The majority of First Time Buyers believe that building energy ratings will have no effect on house prices and most don’t agree with carbon taxing homes.

REAL ESTATE ALLIANCE VIEW OF THE MARKET FOR 2009

With the expectation that prices are leveling out and the floor is forming in 2009, Real Estate Alliance agents expect to operate in a market with less speculation. Crucially, it seems that interest rates are going to reduce further. In fact, many anticipate that rates will fall close to 1.5% in Q2 2009. Coupled with the increase in mortgage interest relief for first time buyers, housing affordability will improve substantially in 2009. “These factors will combine to breathe confidence into the first time buyer market in the later part of 2009”, according to Paul Grimes, Chairman of Real Estate Alliance.

REA seeks buyer's perspective

Real Estate Alliance Seek Buyer’s Perspective
- National Property Group Launch Second Buyer Survey – February 2009 will see the results of the second Real Estate Alliance Buyer Survey, an exciting offering from the national property group that will reveal buyer attitude towards the property market. To be a part of the Real Estate Alliance Buyer survey and to be in with a chance to win a €500 Brown Thomas vouchers log onto www.realestatealliance.ie or drop into your local Real Estate Alliance office.The Real Estate Alliance Buyer Survey, an extensive survey of the buying public around the country, will offer Real Estate Alliance members and their clients an insight into buyers currently active in the marketplace. The survey will target a cross-section of property purchasers including first time buyers, those trading up/down and investors, revealing invaluable information about their property requirements and priorities when it comes to purchasing.

Banks need to pass on rates

“High EURIBOR rates have been cited by Irish banks as a reason why interest rate cuts have not been passed on in recent weeks and there must be firm measures made to encourage to the marketplace to re commence lending.” Said Healy Hynes of Hynes Real Estate Alliance, Athlone. In its 10-year history, the ECB has not cut rates below 2 percent, nevertheless Mr. Hynes is anticipating the ECB to drop rates at the January meeting seeing a target of 1.5% by mid-2009. “Although it was on the cards before this week, in light of the Feds historic move to a rate of 0.25%, the ECB only has one place to go, and that’s down”