Geoff Fitzpatrick on Nostr: I have a request for any Macro-Heads out there. I've been thinking about the Irish ...
I have a request for any Macro-Heads out there.
I've been thinking about the Irish real estate market and wanted to get your opinions. It seems to me that investing in real estate in Ireland over the past 17 years might not have been as profitable as it seems. When adjusting for inflation, house prices have experienced a real terms deflation of about 28.33%. In other words, the value of homes has decreased by nearly 28.33% in real terms from 2007 to 2024, despite a cumulative inflation rate of 27.91%.
Given this perspective, do you think investing in Irish real estate during this period was a poor financial decision? Or are there factors I'm missing that would paint a different picture? I'd love to hear your thoughts and any insights you might have on this topic. Maybe there's more to this story that I haven't considered.
I have read the price of tomorrow by Jeff Booth (npub1s05…eyhe) twice!! and absolutely love it. Inflation is 100% happening in Ireland but I am wondering if residential property is an exception to inflation?
To be clear prior to 2000, a home bought for 80k in 1980 was sold for 800k in 1998, so the same house had inflated by 10x. But this trend does not seem to continue over the last 17 years?
In this example I am picking a house price at the peak of the property boom in 2007 and tracking that price to today. So it is possible I am not measuring like for like?
Thanks in advance for sharing your opinions!
I've been thinking about the Irish real estate market and wanted to get your opinions. It seems to me that investing in real estate in Ireland over the past 17 years might not have been as profitable as it seems. When adjusting for inflation, house prices have experienced a real terms deflation of about 28.33%. In other words, the value of homes has decreased by nearly 28.33% in real terms from 2007 to 2024, despite a cumulative inflation rate of 27.91%.
Given this perspective, do you think investing in Irish real estate during this period was a poor financial decision? Or are there factors I'm missing that would paint a different picture? I'd love to hear your thoughts and any insights you might have on this topic. Maybe there's more to this story that I haven't considered.
I have read the price of tomorrow by Jeff Booth (npub1s05…eyhe) twice!! and absolutely love it. Inflation is 100% happening in Ireland but I am wondering if residential property is an exception to inflation?
To be clear prior to 2000, a home bought for 80k in 1980 was sold for 800k in 1998, so the same house had inflated by 10x. But this trend does not seem to continue over the last 17 years?
In this example I am picking a house price at the peak of the property boom in 2007 and tracking that price to today. So it is possible I am not measuring like for like?
Thanks in advance for sharing your opinions!