Introduction

The purpose of this report is to analysis and inform ABC Property on the major factors affecting supply and demand for apartments in Dublin 2 as a long term reasonable capital gain rather than short term speculative profits. I will examine the property prices in recent years in this area along with the rental market. Within this report I will examine the recent property trends in Dublin, the up and coming areas and changes that will occur as time goes on.

I have chosen to report on apartments in Dublin 2 because after much researching I can see huge yields in the rental market in this area along with huge demand as the supply of new apartments in this area are limited because there is very little room to expand.

Main Text

Dublin 2 is the city’s most up and coming area for entertainment, bars, restaurants and sporting events. With the new Bord Gais Theatre, Marker Hotel and plenty of multinational companies coming on board in recent year it has set Dublin 2 as being the new ‘place to be’. Comparisons have been made to San Francisco when that was a growing ‘tech hub’. It is throwing the demand to live here to new levels which have never been seen before. There has been such an influx in recent years of multinational companies setting up their European and/or world headquarters here it has been a key factor in the growth and recovery for Ireland since the recession. Irelands low corporate tax rate of 12.5% has pushed Dublin to the top destination country for foreign investment. This huge flood of jobs has brought thousands of new and returning people to the city.

Dublin 2 has everything you need at your doorstep which adds to the attractiveness of it for investors, purchasers and renters. There are excellent transport facilities, including the DART, Dublin Bus, Luas and the new Dublin bike scheme which is proving to be a hit in the city, there are excellent parks within some of Dublin oldest squares which are full of markets, concerts and sporting events throughout the year. Dublin’s universities are recognised throughout the world which also brings in a vast amount of students to the city. Dublin is ever popular with people investing as we have low interest rates on mortgages, are an English speaking country, in the Euro zone and within the GMT time zone.

Dublin 2 is nearly full to capacity, according to daft.ie on 20^th November 2014 there are no sites for sale for the purpose of building residential properties. The new building regulations brought into effect in March 2014 it is putting a lot of extra expense on builders who have already acquired land but have yet to start new developments. The banks are also very slow to fund developers with new projects. All these examples are showing the extremity of the lack of supply to the area now and in the future. This is excellent news for an investment purchase as the supply cannot increase it brings security to people that the area and property are in demand and prices can only go up as property cannot be increased.