Industry says regulation is driving house prices as cost of Celtic Tiger-era defects mounts

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Hines,Brian-Moran,Housing-Crisis

Chief executive of Hines Ireland Brian Moran claims only top income people can afford to buy

Hines Ireland chief executive Brian Moran: 'The cost of production of modern houses is at a level that doesn’t work for their salaries.' Photograph: John Ohle

“Given the production costs, particularly for high-density development, it’s only the top three income groups, possibly the fourth with Help to Buy , who can afford to buy,” he told the Dublin Economic Workshop’s annual event in Wexford.“It’s not the market driving the price, it’s because the cost of production of modern houses is at a level that doesn’t work for their salaries ,” he said.

“Other countries have similarly prioritised affordability over space and quality; we’ve decided on a particular standard and I’m not suggesting we cut our standards but I think we’ve sleepwalked into a situation without thinking of the cost implication of having great space standards and high-quality building.”

 

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