Over half of property buyers on today’s market are willing to spend up €350,000 on a home, that is according to the latest AIB Residential Property Outlook Report.
The report finds that three out of four buyers want to buy within the next six months, while 18 per cent want to have a new home in 12 months. According to the report, the most sought after properties people are looking for is a two/three bedroom house, with 45 per cent of those surveyed saying that is their preference, while 22 per cent of the market are looking to buy four bedroom homes.
The report, carried out in partnership with Property Industry Ireland (PII) and Sherry Fitzgerald New Homes, finds that majority of first-time buyers are currently living in rented accommodation at 79 per cent, while 16 per cent are living with a relative.
However the report also finds that there is a market for people looking to trade-up. In Cork, 25 per cent of house-hunters are looking to trade-up for a better home, while 23 per cent of Dublin buyers are looking to do the same. Over 1,600 house hunters were surveyed for the report, with 78 per cent of respondents coming from Dublin.
Director of Property Industry Ireland, Peter Stafford said developers and contractors, planners, architects, estate agents and asset managers, are clear on the issues which are holding back supply.
He said availability of developer and equity finance, a lack of suitable sites on which to develop, and blockages in the planning system are all key issues.
“If we can reduce costs and remedy delays in the pre-construction stages of development, especially in planning, a greater number of properties can be brought onto the market, he said, adding that the Construction 2020 report is a “good starting point”.
Ken Burke, AIB’s Head of Business also welcomed the Government’s Construction 2020 plan, as did Head of Capital Markets and New Homes at Sherry Fitzgerald, Ivan Gaine who said there is a “huge need for urgency and proactivity across all sectors within the residential market stating that “funding is no longer an issue”.
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