Housing market set to implode, warns IMF

AN International Monetary Fund analysis has added to the increasing concern that the housing market is about to implode.

Recently Davy Stockbrokers warned we were in a “bubble” of dotcom proportions while the Central Bank this week said recent home buyers were at risk as interest rates start to rise.

One economic model used by the bank suggested prices could be overvalued by 30%. But it said the lack of a proven forecasting model made it difficult to stand up any claims about the threat facing the Irish market.