High cost of financing preventing house building
The Davy Stockbrokers homebuilder survey found the cost of financing is putting developers off building and consequently contributing to the major imbalance between supply and demand that currently exists.
“Some of respondents, to the homebuilder survey, had said that they weren’t participating in the market because if they were to get financing it would cost a double digit percentage per year in terms of borrowing that money to develop,” said Davy analyst Colin Sheridan.
