Property hype is overblown

During the so-called Celtic Tiger years, we had the Government, the banks, the ESRI and other groups helping to stoke the fire that led us into the financial ruin we are now in.

Unlike the long-awaited green shoots that have as of yet failed to sprout, some of these vested interest groups are once again sprouting up and starting on a similar path of incitement as before, by predicting a significant rise in house prices this year.

They are trying to convince people that the property rollercoaster train is about to leave the station and that the time has come for the people to buy their tickets before it is too late.

Of course their recent headline statements and newly resurrected hype regarding property sales failed to highlight that the vast majority of recent sales are to cash customers who do not have to seek mortgages. They are once again trying to create a false security and illusion without observing the financial reality facing so many people and families on the ground. Do they not realise that up to 200,000 families are having serious problems with their mortgage repayments, with 20% of mortgages in arrears, many of whom are facing possible eviction, along with a situation where austerity is raging, with more permanent austerity to be the norm in the years ahead?

The ESRI are one of the groups engaged in the present property hype, but are also promoting the necessity for the continuation of austerity. How do they think ordinary people on reduced incomes and increased costs will be able to keep pace with this hype? Of course in many cases it is cash-laden vultures that are stalking the market and are making it more difficult for those not in a position to do so.

The ESRI economist David Duffy was quoted recently saying “we are seeing signs of stabilisation in the economy”. Does he not realise, that for the majority of ordinary working class people, the economy is at a standstill and for too many it is in reverse?

Christy Kelly

Templeglantine

Co Limerick