First-time house buyers 'being ripped off'

Almost half of those living in Dublin will not be able to afford a home in two year's time, according to a new study by a Trinity College Economics Professor.

Professor P.J. Drudy says first-time buyers are being ripped off.

An average three-bed-semi detached house in Dublin costs no more than €100,000 to build, but sells for up to €300,000.

Therefore, landowners and developers gain huge profits from a house sale.

Even the Government take a considerable cut in stamp duty and VAT.

Professor Drudy found that developers, financial institutions, estate agents, and the Government are 'ripping off’ tenants, first-time buyers and couples who cannot afford to have children.

Although salaries are rising at 3% each year, the price of a new home rockets between 11% and 19% a year.

With cheap rent almost impossible to find, and 48,000 families on Dublin's housing list, Professor Drudy stated that it could take two decades just to deal with the current problem.