‘Rising property prices indicate another bubble’ – Seán Crowe

Speaking after new figures emerged of another potential property bubble, Sinn Féin’s Dublin South West representative Seán Crowe TD has asked Taoiseach Enda Kenny to explain to Irish people who the new property bubble will actually benefit.

Deputy Seán Crowe said:

“Residential property prices in Dublin are 23.9% higher at the end of June 2014 than they were at the end of June 2013 according to figures released by Property Industry Ireland.

“This is not good news for anyone looking to buy or rent a house or apartment. It’s not good news either for students seeking affordable accommodation as they prepare for an already costly further education.

“It is good news, however, for the banks that can bridge the negative equity gap on defaulting mortgage holders, and as soon as the value of the property exceeds the amount owed, we will see an increasing number of repossessions.

“It will also be good news for the Estate agents who will see an increase in their commissions, and for the tax collectors in Revenue who are set to gain an increasing amount of stamp duty paid.

“Wouldn’t it be great if we could believe Enda Kenny when he told the Irish media recently that there isn’t a property bubble emerging, but surely if 23.9% year on year is not a bubble, then what is?

“We know that the last Government sleep walked through the last bubble, is Enda doing the same ?

“This current Taoiseach needs to wake up to what is actually happening. He also needs to explain to Irish people who will benefit from this new property hike.

“We know that the Celtic Tiger was fueled by growing property prices, and it is plain to see where that led us. My biggest fear is that this Government has learned absolutely nothing and is committed to a cycle of repeating the same mistakes over and over again.”