Revival hope

A SHORT time ago, the suggestion of three-bedroom ‘semis’ dropping below a price of €200,000 in Kerry towns would have been greeted with incredulity.

But now, such houses are on the market in Tralee, for example, for as low as €187,000, and certainly for between €190,000 and €200,000.

In smaller towns and villages around Kerry, there’s also good value to be had. At this stage, such places have a surplus of houses and it’s very definitely a buyer’s market, given the price range and choices that are available.

Auctioneers such as Daire Crowley, of DNG WH Giles, report that inquiries have certainly picked up from the point of view of sales, but buyers are all out to drive hard bargains.

“Prices are very, very important to potential buyers and if people want to sell, they have to be realistic in the prices they are seeking,” she said.

“We find that even if people fall in a love with a place, they won’t go the extra bit to meet the vendor. Getting money from banks is a continuing difficulty. People who have a certain amount of money and don’t have to go for a full mortgage and therefore need to borrow only a relatively small amount are in a strong position when it comes to buying,” she added.

Ms Crowley, who works in both Tralee and Dingle, is, like everybody in the property business, hoping for easing up on credit from the lending institutions.

In Dingle, the market continues to be focused very much on holiday homes and a huge number of such homes have been built in the west Kerry tourism hotspot in the past 15 years, or so.

In Tralee, the demand is more for conventional, permanent homes, with prices now very attractive and a large number of three and four-bedroom houses and apartments for sale.

There is also growing demand in the rental sector, as some people put purchasing plans on hold, and DNG WH Giles is currently seeking good quality three and four-bedroom homes and one and two-bedroom apartments for rent in and around Tralee.

In south Kerry, anyone looking for a holiday home in a scenic location with sea views can find a home at the right price.

According to Caherciveen auctioneer and developer James Hillis, interest is starting to “lift” again in Iveragh Peninsula.

“Things have been very quiet, but we should see a big improvement next year, even by by next Spring. Things are beginning to happen already. The big shock is over, prices are settling and houses are more affordable,” he said.

Holiday home prices in the area have dropped from around €300,000 to €230,000, which is the asking price for three-bedroom houses in Caherdaniel, and to €225,000 for houses in Valentia.

“There are some very good bungalows on half-acre sites with splendid views for around €300,000,” Mr Hillis added.

In a 33-house estate currently being constructed at Lighthouse View, Caherciveen, three-bedroom, detached “semis” are on offer for €235,000, while four-bedroom houses come with a €270,000 price tag.

New houses under construction in Kerry are few and far between, however. The slowdown is reflected in the dramatic fall in the number of planning applications being submitted to Kerry County Council.

Planning applications in Kerry this year have been predicted to fall to the level they were at a decade ago. From a high of around 5,000, at the peak of the construction boom in 2006, applications to Kerry Co Council are expected to come in at around 3,000.

That would be a drop of 37% in planned new homes and there’s no immediate sign of a change in the situation, at the moment.

The difficulty in getting planning in rural areas for one off houses also continues.

Newly-elected Kerry mayor Bobby O’Connell has pledged the address this highly controversial issue, saying that if it is not resolved local people will not be able to build on their own land and live in their own communities.

“This is happening at the moment. This will have major implications for the continuation of our rural population in many parts of the county,” he said.

“Our rural population is an essential part of our unique landscape. Without people, our rural communities will simply die.”

Poor percolation for septic tanks is one of the reasons given for planning refusals, but Mayor O’Connell believes the problem of percolation can be overcome with modern bio-cycle technology.

“I will be addressing this problem immediately. Our planners must set out to help applicants to get planning permission rather than finding ways to refuse them,” he said.

Other councillors have claimed people living in towns such as Tralee and Killarney will never be able to afford their own homes unless they are allowed build in the surrounding countryside.

Current planning policies, however, favour housing people in towns and other well-serviced settlements rather than in one-off houses scattered around the countryside.

There have been calls for a relaxation of planning regulations in rural areas because of the recession, but senior Kerry County Council planning executives have rejected such calls, saying the recession was not an argument for an easing of planning regulations.