The Sunday Times Loves This Blog (kinda)

I was shocked, nay verily stunned, so I was, when I opened my Sunday Times (Ireland) Homes (Section 6), (ST(I)H(S6) and quickly leafed through the property porn to ‘The Market’ section, the only part worth reading. There in ink, not flickering pixels, but good old ink was a reference to this ever so humble blog. Niall Toner, the author and a man who has recently risen highly in my estimation (this morning) wrote these hallowed words in relation to this blog.

‘It makes for an entertaining and occasionally informative look at the market’

Alas Niall also made reference to tents and peeing and armchairs where amateur economists may be found lounging, no doubt resting after all that peeing. And lamentably moan and rant also got a look in. But hey, ain’t no such thing as bad publicity, so thanks Niall for the name check. This particular bear promises not to maul those sheep who have recently noticed a certain, aah….. cognitive dissonance, when pondering the current property mania.


But enough of blogs. Niall makes reference in his section to the fall in clearance rates at last week’s auctions. ‘Fewer than one in four houses put under the hammer actually sold last week’. At one Linsey sales room last Tuesday, nobody at all turned up to bid on three properties on offer’. That’s a pretty good definition of the sound one hand clapping makes for all you Buddhists out there. Has the selling season come to an unseasonably early end? Is the lure of Paraguay v Serbia and Montenegro on the telly stronger than the urge to buy the most expensive real estate on Earth? Have the boys in Bonn in the Bundesbank, put the willies up the buying public? Trees don’t grow to the sky I suppose, but if we are seeing a top, will the lure of 2% net yields be enough to keep investors interest in the market?

What am I talking about? There are no investors in the Irish market. There are speculators who have bet the house (literally in many cases, through equity release on their principle residence) on capital escalation; investors became extinct years ago. What happens next? well look no further than Las Vegas, Phoenix, Florida, The Spanish Costas, New England, or indeed Japan in 1990 for clues.