Back to the grindstone

THE end of the summer is nigh and the beginning of a new school year heralds potential change — not just for the little ones. The autumn season traditionally marks the beginning of a busy time in the property market as both buyers and sellers look to make their move before year’s end.

The property scene so far in 2016 has been very challenging with huge supply issues at play. The number of properties sold nationally in the first six months was down 15pc on the previous year, primarily due to lack of stock. Significant distractions of both the political and social kind have played their part of course, including a General Election, that unexpected Brexit result, the European soccer championships, the recent Olympic Games saga and now the Government biting off more than it can chew, so to speak, with Apple.

In the midst of all this we had the publication of the 115-page ‘Rebuilding Ireland’ housing document at the end of July which outlined the ambitious plan by Housing Minister Simon Coveney. Much of the content of this proposal had been leaked in advance. As a result, it contained few surprises.

On a positive note it highlighted just how seriously the Government is now taking the housing crisis. The minister promised that monthly updates would be provided by his department. It is vital that this happens to reconfirm the Government’s commitment to the challenge and ensure that local authorities deliver on the proposed 47,000 social housing units by 2021. The reluctance of the local authorities to construct new social housing has been very evident over the last three years and the delivery of these homes is essential.

The Government has also confirmed it will be introducing a new tax-based incentive scheme for first-time buyers in the forthcoming budget. It is anticipated that this will be in the form of a potential tax break worth up to €10,000 for those buyers.

We are all familiar with the expression: location, location and location. But clearly, the most important current needs of the Irish property market are supply, supply, supply!