Brighter Buyer Event
Welcome
MC: Angela Keegan
Managing Director MyHome.ie
Dr. John McCartney
Director of Research
Savills Ireland
Lisa O’Brien
Quantity Surveyor
Hugh Wallace
Architect
Dr. John Mc CartneyDirector of Research
Savills Ireland
Economy & Demographics
0
1
2
3
4
5
6
7
8
Mal
ta
Po
lan
d
Irel
and
Hu
nga
ry
Slo
ven
ia
Latv
ia
Slo
vaki
a
Ro
man
ia
Esto
nia
Cyp
rus
Luxe
mb
ou
rg
Cro
atia
Bu
lgar
ia
Cze
ch R
epu
blic
Lith
uan
ia
Net
her
lan
ds
Spai
n
Gre
ece
Fin
lan
d
Au
stri
a
Den
mar
k
UK
Po
rtu
gal
Swed
en
Fran
ce
Bel
giu
m
Ger
man
y
Ital
y
% C
han
ge y
/y
Q3 2018 GDP Growth
Source: Eurostat
0
0.2
0.4
0.6
0.8
1
1.2
1.4
20
12
20
13
20
14
20
15
20
16
20
17
20
18
% Y
/Y
Population Growth
EU 28 IrelandSource: Eurostat
ESB Connections
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
19
94
Q1
19
94
Q3
19
95
Q1
19
95
Q3
19
96
Q1
19
96
Q3
19
97
Q1
19
97
Q3
19
98
Q1
19
98
Q3
19
99
Q1
19
99
Q3
20
00
Q1
20
00
Q3
20
01
Q1
20
01
Q3
20
02
Q1
20
02
Q3
20
03
Q1
20
03
Q3
20
04
Q1
20
04
Q3
20
05
H1
20
05
Q4
20
06
Q2
20
06
Q4
20
07
Q2
20
07
Q4
20
08
Q2
20
08
Q4
20
09
Q2
20
09
Q4
20
10
Q2
20
10
Q4
20
11
Q2
20
11
Q4
20
12
Q2
20
12
Q4
20
13
Q2
20
13
Q4
20
14
Q2
20
14
Q4
20
15
Q2
20
15
Q4
20
16
Q2
20
16
Q4
20
17
Q2
20
17
Q4
20
18
Q2
20
18
Q4
Acute Undersupply
22,424
30,120
34,205
38,170 37,990 38,730
14,435
18,072
24,000
32,000
34,000 35,000
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
20
17
20
18
20
19
(f)
20
20
(f)
20
21
(f)
20
22
(f)
Requirement Completions
Property Prices
-25
-20
-15
-10
-5
0
5
10
15
20
25
20
07
M1
2
20
08
M0
3
20
08
M0
6
20
08
M0
9
20
08
M1
2
20
09
M0
3
20
09
M0
6
20
09
M0
9
20
09
M1
2
20
10
M0
3
20
10
M0
6
20
10
M0
9
20
10
M1
2
20
11
M0
3
20
11
M0
6
20
11
M0
9
20
11
M1
2
20
12
M0
3
20
12
M0
6
20
12
M0
9
20
12
M1
2
20
13
M0
3
20
13
M0
6
20
13
M0
9
20
13
M1
2
20
14
M0
3
20
14
M0
6
20
14
M0
9
20
14
M1
2
20
15
M0
3
20
15
M0
6
20
15
M0
9
20
15
M1
2
20
16
M0
3
20
16
M0
6
20
16
M0
9
20
16
M1
2
20
17
M0
3
20
17
M0
6
20
17
M0
9
20
17
M1
2
20
18
M0
3
20
18
M0
6
20
18
M0
9
20
18
M1
2
% C
han
ge Y
/Y
Source: CSO
Looking Ahead
Dwelling CompletionsNow Rising Strongly
0
1,000
2,000
3,000
4,000
5,000
6,000
20
11
Q4
20
12
Q1
20
12
Q2
20
12
Q3
20
12
Q4
20
13
Q1
20
13
Q2
20
13
Q3
20
13
Q4
20
14
Q1
20
14
Q2
20
14
Q3
20
14
Q4
20
15
Q1
20
15
Q2
20
15
Q3
20
15
Q4
20
16
Q1
20
16
Q2
20
16
Q3
20
16
Q4
20
17
Q1
20
17
Q2
20
17
Q3
20
17
Q4
20
18
Q1
20
18
Q2
20
18
Q3
20
18
Q4
Dublin Ex. Dublin
• Very low residential output 2010-2015
• Strong supply response now kicking-in…
• 2017 – Dwelling completions up 45.3%
• 2018 – Up 25.4% (+27.5 GDA)
Leading IndicatorsSupply to Increase Further…
Sources: CSO, DHPLG
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
20
14
Q2
20
14
Q3
20
14
Q4
20
15
Q1
20
15
Q2
20
15
Q3
20
15
Q4
20
16
Q1
20
16
Q2
20
16
Q3
20
16
Q4
20
17
Q1
20
17
Q2
20
17
Q3
20
17
Q4
20
18
Q1
20
18
Q2
20
18
Q3
No
. of
Un
its
Co
mm
ence
d
Quarterly Commencement Notices
Greater Dublin Area National ex. GDA
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
20
11
Q1
20
11
Q3
20
12
Q1
20
12
Q3
20
13
Q1
20
13
Q3
20
14
Q1
20
14
Q3
20
15
Q1
20
15
Q3
20
16
Q1
20
16
Q3
20
17
Q1
20
17
Q3
20
18
Q1
20
18
Q3
4q
ma
Dublin Apartment PPs and Completions
Completions Planning Permissions
70
80
90
100
110
120
130
140
150
20
13
Q1
20
13
Q2
20
13
Q3
20
13
Q4
20
14
Q1
20
14
Q2
20
14
Q3
20
14
Q4
20
15
Q1
20
15
Q2
20
15
Q3
20
15
Q4
20
16
Q1
20
16
Q2
20
16
Q3
20
16
Q4
20
17
Q1
20
17
Q2
20
17
Q3
20
17
Q4
20
18
Q1
20
18
Q2
20
18
Q3
20
18
Q4
(00
0s)
Construction Employment
Market Becoming More Balanced
22,424
30,120
34,205
38,170 37,990 38,730
14,435
18,072
24,000
32,000
34,000 35,000
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
20
17
20
18
20
19
(f)
20
20
(f)
20
21
(f)
20
22
(f)
Requirement Completions
Cork Market
Dwelling Units Sold
0
10000
20000
30000
40000
50000
60000
70000
2010 2011 2012 2013 2014 2015 2016 2017 2018
Cork Total Ex. Cork
Source: CSO
Who Was Buying in Cork In 2018?
FTBs24%
Movers44%
Small Investor19%
Corporate13%
Source: CSO
Trend in FTBs
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2010 2011 2012 2013 2014 2015 2016 2017 2018
Source: CSOFirst-time buyers Other buyers
How Are Buyers Financed?
Cash-Only Deals (National)
56
47
76
61
5754
68
5557
53
66
56 5553
63
56
51 51
60
5048
5154
4946
0
10
20
30
40
50
60
70
80
Q3
20
12
Q4
20
12
Q1
20
13
Q2
20
13
Q3
20
13
Q4
20
13
Q1
20
14
Q2
20
14
Q3
20
14
Q4
20
14
Q1
20
15
Q2
20
15
Q3
20
15
Q4
20
15
Q1
20
16
Q2
20
16
Q3
20
16
Q4
20
16
Q1
20
17
Q2
20
17
Q3
20
17
Q4
20
17
Q1
20
18
Q2
20
18
Q3
20
18
%
Source: CSO, BPFI, Savills Research
Financing of Cork Residential Transactions
0
10
20
30
40
50
60
70
80
90
100
FTB Investor Relocation Trading Up Trading Down Second Home
%
Source: Savills Research Cash % Mortgage %
New Vs Second Hand
Cork Housing Completions
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2010 2012 2013 2014 2015 2016 2017 2018
New Vs Second Hand - Cork
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
2010 2011 2012 2013 2014 2015 2016 2017 2018
Cork New Cork SH
Source: CSO
Thank You
@JPMMcCartney
Angela KeeganManaging Director
MyHome.ie
Tips to help you on your Home Buying journey
Talk to your Bank or Lending Provider first
• Understand what you need to do to fulfil the lending criteria
• How much can you potentially borrow
• Different mortgage options available to you
Watch your spending
• Banks will look for ‘clean’ current & savings accounts
• Avoid dipping into your savings
• Curb spending
New or Second hand
• Help to buy scheme is designed to assist First Time Buyers with the deposit required to purchase a new or a self build
• 5% of the purchase value capped at €20k
Be realistic about what you can afford
• Make a list of what’s important to you e.g Garage, garden etc
• Put items in order as buying a home usually involves some sort of compromise
Location - Think of the Future You
• Be mindful of future requirements
• Choose the ‘right’ amenities
Be the first to know when a property comes to the market
• Sign up for Property alerts on MyHome.ie
• Register your interest with local Estate Agents
• Set realistic limits
Count the cost
• Consider all the fees
• Check out Management fees
€
Ask the experts and listen
• Choose the right type of mortgage for you
• Use the services – Mobile Mortgage managers
• Don’t cut corners when it comes to a structural survey
Get to know the neighbourhood
• Walk and Talk!
• Check out the local development plans
Lisa O’Brien Quantity Surveyor
Overview
Desk top Due Diligence
What to do Pre-Launch of a new development
What to expect on the launch day
Viewing the Show House
The importance of The Snag List
The Snag list inspection
Do’s and Don’ts when moving in
Additional costs over and about the purchase price
Buying a 2nd hand home
Grants and Offers available
Desk Top Due Diligence
Location – Amenities, Facilities, Schools, Creches, Social Clubs
Access/Transport Links - Bus Routes, Trains, Primary Roads
Access in and out of the development
Anti-Social Behaviour/Nuisances
Developer/Builder – Duedil check, previous developments
Local Development Plan/Planning department for future development
Current market values of similar properties in the area – Resale and Rental
Pre-Launch
• Register your interest with estate agents
• Print off brochures and house plans – review each house type – select
preferred/affordable
• Print off the site map - Mark the orientation of site (N,S,E,W) Mark your preferred
houses relevant to house type and budget
• Drive around the development – observe existing finishes of houses, roads, kerbs
• Locate play areas/green areas for children
• Locate parking – front or rear to houses
• Ring sales agent and enquire about the booking deposit – how much, who to, does
it have to be paid on launch day
Launch Day
• Arrive early
• Locate sales office and agent
• Confirm cost
• Appliances
• Parking
• Property Maintenance Company
• Service provider for broadband
• Finishes Allowances
• Confirm standard finishes
Viewing The Show House
Room proportions – bring a measuring tape
Standard of finishes – painting, tiling etc.
Storage – under stairs, attic
Bin Storage – front/rear
Potential to extend – rear/side; attic
Take photos of interior
Check your phone coverage in each room
5kDeposit • 21 days
• 25kContract signing
21 days final
payment
Notification of
completion
The Snag List
Snag list Notification of
completion
Architect, Engineer, Building SurveyorHire a professional to complete snag
Practical completion – ask for water, electricity, heating on, drainage
Ensure house is ready for snagging
Step ladder, bulb, radio, 6ft spirit level, torch, bucket, screwdriver and hammerEquipment to snag
The Inspection
• On arrival – turn all on • Drainage
• Electrical
• Heating/Plumbing
• Ventilation
• Attic
• Windows and Doors
• Floors
• Internal finishes – plastering, painting, joinery, tiling
• External Inspection
The Inspection
Drainage Electrical Electrical
Heating/Plumbing Heating
The Inspection
Ventilation Ventilation Attic
Windows and Doors Floors Internal finishes
Moving In
• Know where the isolation valves are for water,
electricity and gas
• O&M manual (operations and maintenance) –
check that all documentation and manuals are
available for all equipment
• Ask for a heating demo
• Register the warranties for your appliances
• Obtain your BER cert
• Check your meter readings for gas and electricity
• Turn all on – appliances, showers etc
• Don’t turn heat on full blast – 16 degrees gradually
Additional Costs
Solicitors Cost Valuation Cost Life Insurance House Insurance
Snag List Flooring
Alarm
Typically Wired For Alarm
Furniture and Soft Furnishings
Blinds, Curtains, Kitchen Utensils Etc
Second Hand Homes
• Price on sales brochure is “Guide Price”
• Place an offer for consideration by the vendor; the offer has to be documented by the Sales Agent
• Vital to look at the value of other properties in the locality
• BIDDING CAN GET EMOTIONAL
• Vendor accepts the offer and a booking deposit is paid
• Sales Agent will request your mortgage approval offer before it goes “sale agreed”
• Forward on Solicitors details to the Agent
• Sales Agent Issues Sales Advice Notice and booking deposit receipt
• Your Solicitor will then contact the vendors solicitors requesting the Contract documents
Site Characteristics
Orientation of the house; potential to extend
Condition of property:
• STRUCTURAL SURVEY RECOMMENDED!!!!
Energy Rating
• BER Cert will be issued
• 1980s - D1
• 1990s - C2
• 2000 - C1
• 2008 – B
Upgrade Costs
• Feasibility study
• Local builder (heating, electrics, windows and insulation)
Site Characteristics
• Position of house on site (bottom of hill)
• Is the land well drained? (flooding issues)
• Services in the area (water, ESB, drainage)
• Over head cables, drainage runs, manholes
Septic Tanks
• Sewage treatment
• Environmental engineer
Teelin Cottage
Teelin Cottage
Teelin Cottage
Teelin Cottage
Teelin Cottage
Grants and Offers
Help To Buy Incentive
•First Time Buyers Scheme
•5% Of Cost Of Purchase Up To 20k
•Revenue.ie
Mortgage Interest Rates
•Low To First Time Buyers
Service Providers
•Check If Bundle Offers/Offers For First Time Buyers
Home Renovation Incentive (HRI)
•Tax relief for homeowners and landlords
•Claimed as a tax credit on the cost of repairs, renovations and improvement work
SEAI – Deep Retro Fit
•Insulation Grants; Heating Control Grants; Solar Electricity Grants; Solar Water Heating Grants; Heat Pump Systems
•www.seai.ie
The Living City Initiative (LCI)
•Is a tax incentive scheme for Special Regeneration Areas (SRA) in Cork, Dublin, Galway, Kilkenny, Limerick & Waterford;
•tax relief refurbishing or converting residential or commercial properties
•ends May 2020
Hugh WallaceArchitect
An Evening With Hugh
Wallace
Design
CostQuality
We hope that you now feel like a Brighter Buyer
Any Questions?Contact us!
(021) 427 1371
[email protected] @Savills.ireland @Savillsireland Savills [email protected]
Thank you!