Sir, It saddens me to watch this beautiful country slipping inexorably into the inflationary spiral as house prices move out of control. Having witnessed the same phenomenon, twice, in the UK and observed its disastrous consequences with wage demands, negative equity, repossessions and associated traumatic experience, I strongly countenance government ministers to act urgently.
The rot has already set in; no longer is a house seen as a home, somewhere to live, bring up children, but a way of acquiring the fast buck, money for nothing. The first signs are evident through the selling agencies who must shoulder a substantial proportion of blame for accelerating the trend. They proffer deliberately low guide prices as an inducement to buyers and then at auction push prices ever upwards with the implication that "next year this will appear a bargain."
The Government recently slapped the wrist of the lending institutions for stepping outside the guidelines of lending criteria. I would suggest that this is not the problem. Many homes are being bought by spec builders/developers, and not specifically for the purpose of a personal dwelling by the purchasers. There is a shortage of property in greater Dublin, which is hardly surprising, with so much inbound investment requiring relocation of key personnel.
Perhaps a swingeing tax on the increased property value, if resold within say a two year period, would focus the minds of the purchaser. I would be interested to hear from others and, indeed, your own correspondents as to what should urgently be done, learning from the mistakes of the UK marketplace should be easy, the evidence is still there. - Yours, etc.,
Queen's Park,
Monkstown,
Co Dublin.