News
What’s next for the property market?

By Michael O’Connor
This weekend I spent much of my time scrolling through various property websites, virtually searching through houses both at home and abroad.
Now don’t get me wrong, I do this quite a bit, but typically, I’m doing it out of curiosity more than intent.
Generally my wife sends me a link to a house, I have a nose at the pictures, and then I carry on living my life, the end.
This time it’s different.
The fact that we might actually buy one of the homes behind the link this time around adds a whole new and altogether stressful layer to a previously beloved pastime.
Like many, the idea of investing in property is something I have toyed with for a while. From a financial standpoint, I have never been overly drawn to the idea of real estate as an asset class.
Despite our cultural obsession with homeownership, there are multiple downsides. Blasphemy, I know, but bear with me.
Mortgage fees, property taxes, insurance, maintenance costs, estate agent fees, lack of mobility, landlord duties - to name just a few. All these seem to be conveniently forgotten when the back of the envelope property performance calc is being done.
Since 1940, the median home value in the United States, adjusted for home size, has increased at an annualised rate of 4.6%. After accounting for inflation, the average home value has risen by just 1.5% per year.
Stocks have generated roughly 7% per year over the long run after accounting for inflation. In other words, the stock market has generated returns at more than four times the rate of real estate appreciation.
With that being said, I do have some gripes with the stats above. Firstly, it ignores the excess volatility you get from the stock market.
Secondly, and more importantly, you can’t just strip out the leverage effect.
One final unique upside; if the capital appreciation isn’t what you expect, you can still live in it. The stock market doesn’t offer you a roof over your head.
Like most things in life, nothing is ever as good, or as bad, as it seems.
Property is no different.
With the background out of the way, let’s get into the important stuff.
Where do prices go from here?
My opinion: Do I think house prices are cripplingly high for first-time buys? Yes. Do I think they can go higher? Absolutely.
While I don’t think that property can continue to grow at the same clip into a rising interest rate environment, there are too many supportive variables at play to justify any significant move lower.
To read the full in-depth review of each factor driving the current property market and how long these factors will persist, go to www.theislandinvestor.com.
News
Eight month wait for a driving test in Killarney
A Killarney councillor is calling for action in an effort to reduce the driving test wait list in Killarney The current wait list for a test in Killarney sits at […]

A Killarney councillor is calling for action in an effort to reduce the driving test wait list in Killarney
The current wait list for a test in Killarney sits at eight months.
Cllr John O’Donoghue raised the issue at Monday’s full meeting of Kerry County Council.
He proposed that driving instructors should be employed to carry out the final test to reduce the current backlog.
At Monday’s meeting he asked that hat Kerry County Council would write to the Minister for Transport to ask him to consider giving driving instructors temporary powers to issue a temporary Driving Licence/Certificate of Competence to those on the waiting list for tests.
“The wait is currently far too long and the system is in danger of becoming completely overwhelmed,” he said.
“The huge waiting list for young drivers is well documented at this stage. In a case I am familiar with, a young person passed their theory test in January 2022 and he immediately applied for his mandatory 12 driving lessons. When these were completed, he applied for his driving test on the 2nd of December 2022. Some weeks ago, he still had not received an application to apply for his driving test. This wait is placing him and his family under considerable extra cost and stress which is completely unacceptable.”
In the course of his research into the matter Cllr O’Donoghue discovered that the next available date for a driving test in Killarney is May 25, 2024, while Tralee is June 3 2024.
“Bear in mind, these are only the dates on which you receive an invitation to book your test, the test itself will then be an estimated three to five weeks later.
“This is an appalling situation and one which needs to be rectified as a matter of urgency. I am proposing that driving instructors, which presumably are fully trained up on the rules of the road, be granted temporary powers to be allowed to issue temporary driving licences to young people. When the waiting list time has been reduced, I would still propose that these people sit the test as usual, but the current pressure needs to be alleviated as soon as possible. There is precedent as I believe that in the 1970s, a cohort in this country were issued driving licences without having sat a test as the wait time for the test was too long.”
News
Ballymac charity vintage run on October 1
The Ballymac Vintage Club is hosting a classic car, tractor and Honda 50 run on October 1. The run will leave from and return to the Halfway Bar, Ballymac. Registration […]

The Ballymac Vintage Club is hosting a classic car, tractor and Honda 50 run on October 1.
The run will leave from and return to the Halfway Bar, Ballymac.
Registration begins at 9:30am and sets off at 11am.
“There will be two separate routes with one for tractors and the other for cars and motorbikes. Proceeds on the day are in aid of Castleisland Day Care Centre and we’ll have plenty of spot prizes to giveaway too in the morning,” said the club’s PRO Kieran Glover.
-
Sport7 days ago
Kerry’s old dogs ready for Tyrone challenge in All-Ireland final
-
News6 days ago
Over 80 women car enthusiasts attend classic car show
-
Sport7 days ago
Almost impossible to look beyond East Kerry but Dingle are best placed to challenge
-
News6 days ago
Musical society ready to hit the high notes