Mayo housing crisis: movement of people west almost tsunami like
THE housing crisis is hitting the west coast hard and fast.
Out of only 23 properties to rent on Daft.ie this morning in the whole of Mayo, there are just two properties available in Castlebar.
The movement of people to the west has been 'almost tsunami like', says DNG agent Cyril Burke of DNG Burke/Connolly/Maloney.
Commenting on the situation in the county town, local councillor Burke said the reality is there are no places available for medical staff coming to Mayo University Hospital along with a range of other local employers to live.
And there is no visible sign of an increase in supply either as the only three developments currently under construction in the town have pre-sold a lot of stock and are anxious to build what they have pre-sold before committing to more phases.
He added: “The continuing rise in the cost of materials and tightening supply of tradesmen is a huge concern for developers. Many smaller potential developers are finding it difficult to get finance from banks to start off, which is also impacting the supply of housing.
“It’s not like the last housing boom where a builder could walk into a bank and walk out with funds available to start phase one of a development. It is virtually impossible to avail of funding unless you have a history of development, and the bust swept the vast majority of developers with it. Any developer that survived was only a shadow of their former selves, leaving access to funding very difficult.”
The movement of people to the west has been phenomenal to both rent and purchase properties, says Burke. “It is almost tsunami like; hoovering up properties.”
Only last Friday a couple walked into the company's offices on Breaffy Road. They came straight from the train station to rent the only three-bed semi they had - it hadn't even been put on the market - at a price of €1,100 per month, located in Garryduff.
Said Burke: “If properties are priced correctly to sell the average length time to sell recently is two weeks. It is a seller's market at the moment.
“We cannot get enough properties to sell or to rent, such is the demand.”
* The latest Daft Report shows rental prices in Mayo have increased by 16% - full story here: https://www.con-telegraph.ie/2021/08/10/mayo-rents-rise-by-16-in-one-year/