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irish property set to fall in price

News Posted On: 21 November 2008

The cost of property in Ireland is likely to decline by ten per cent by the end of 2009, an expert has claimed.

According to Jon Moran, incoming managing director for Jones Lang LaSalle, development and land values have fallen between 60 and 70 per cent in secondary provincial locations, reports the Irish Independent.

After falling by 25 per cent this year, he predicted that property values will drop a further ten per cent by January 2009.

However, he understands why overseas property investors may want to wait before acquiring a home in Ireland.

Mr Moran described the falls in value as a "return to normality", adding that banks are often risk averse and examine investment to make certain that repayments can be covered by income.

He believes the price changes could herald a return to a sustainable attitude to property as an investment.

In other news that may be encouraging to overseas property buyers, Aer Lingus recently revealed that it will be reducing its long-haul fuel surcharges, which will make it cheaper to check on property investments in the country.

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