As investors are often looking to buy abroad, owner-occupiers are finding that there is less competition for apartments that come on the market at home. Edel Morgan reports

With investors either lying in the long grass - or in pursuit of greener grass abroad - there is an abundant supply of apartments on the Dublin market, providing owner-occupiers with more choice and better value.

"The volume has definitely gone up," says Iris Keating of HOK Residential. "The market has slowed a wee bit with apartments not selling as quickly as before and, if you look at property websites, you will see an unusual amount of choice across the board and in all areas."

With investors out of the picture, the apartment market is being propped up by owner-occupiers. But with such a large selection, it's uncommon to find three or more people vying for a property which, in some cases, will probably be having a downward effect on prices, says Iris Keating.

At the upper end of the market - in the €400,000-plus bracket - a large proportion of buyers are older couples trading down, but who want to stay in a good location. Professional couples and those buying after a marriage break-up are also prevalent in this sector.

A glance through estate agents' books or websites will turn up any number of properties that would appeal to this category of buyer. For example, number 3 Fitzwilliam Court on Winton Road in Dublin 6 has just come on the market through Sherry FitzGerald asking €600,000 by private treaty.

The 73 sq m (790 sq ft) apartment is floored in wide plank beech boards and there's access to a private patio garden. The selling agent refers to it as a "turn-key" opportunity, which hints at possible investor interest.

While this is not beyond the bounds of possibility given its Dublin 6 location, the corporate rental market has suffered along with other sectors, so it is more likely to sell to an owner-occupier seeking a larger than average apartment at a good address.

Apartment 17 Linden Court in Blackrock, which is on the market through Daphne L Kaye and Associates at €675,000, is another property likely to go to an owner-occupier. The two-bedroom unit is spacious at 108 sq m (1,160 sq ft) with a main bedroom en suite, two reception rooms, a separate kitchen, south-facing balcony and underground car-parking.

At the lower end of the apartment scene, Iris Keating says that, apart from a few investors, the market is being buoyed up by first-time buyers and couples. Typical of the kind of apartment likely to appeal to this segment of the market is 38 Tolka Vale on the Old Finglas Road in Dublin 11, a two-bedroom 60 sq m (650 sq ft) ground floor apartment on sale through Lisney for €254,000. It is well located within three miles of the city centre and close to a shopping centre at Tesco Clearwater, Finglas village and within a short drive of Glasnevin village.

This apartment would previously have been snapped up by the now elusive investor - located as it is between Finglas and Glasnevin and close to industrial estates.

According to Simon Ensor of Sherry FitzGerald, with the investor bowing out, the owner-occupier is more likely to find value at this end of the market.

A two-bedroom second floor apartment with car-parking in Beaumont Woods, beside Beaumont Hospital, is on the market at €240,000, a one-bed in Dalcassian Downs, Glasnevin is guiding €220,000 and a two-bed third floor in the Cosgrave-built Custom Hall on Gardiner Street is asking €290,000.

"One is always aware that investors play an important part in the buying cycle, and there are certainly less of them," says Simon Ensor.

He says that smaller apartments close to town that were built specifically for investors, and were probably originally tax designated, are "probably a bit more difficult to sell".

"Investors have experienced massive capital appreciation since 1994 and it's a pretty safe bet that is not going to continue.

"That, combined with the fact that rents are softening, means many feel they will find better investments overseas, particularly those who are pure investors."

He defines another type of investor, the "dual-purpose investor" as those who buy property to fund their pension, or to accommodate their children at college.

"They are still quite active and are happy to take the 10-year view that bricks and mortar is still a good investment. Over such a long period, even with peaks and troughs one can only be optimistic."

He doesn't believe that the current glut of apartments is partly as a result of investors offloading units due to rental downturn.

"No, the view of most investors is that they've paid for them and by this time their borrowings are probably minute, giving surplus income and fantastic returns.

"Okay, that sector of the market is not firing on all cylinders but, if they sell the properties in their portfolio, they then have to find another investment vehicle."

He believes those selling up are "Sunday investors" trying to release equity. "Investing isn't their business as such, they may have had money and bought one or two properties that appreciated well and they feel, 'so why not take the equity'."

Estate agent Peter Wyse says that apartments located close to the city centre with good transport links have fared much better than those in the outer suburbs.

"The better located stuff has gone up 5-10 per cent in price. The further out one goes it does slow down but vendors are realistic, they know that investor appetite for properties above €450,000 has gone."