Why buying a home in Eire is the most intelligent move in Ireland real estate investment.

Ireland which sits off the West Coast Of England and a few hundred miles away from France is also referred to as the Emerald Island because of the greenness of its countryside. Just in last years Economist Ireland was ranked as being the best place to live globally, yes you read that coorectly it said the world and not just Europe, one of the reasons for this is its happy go lucky people as well as the small rural colorful towns and its exciting cities.Combining increasing wealth with traditional values gives Ireland the conditions most likely to make its people happy, according to the Economists quality of life assessment for 2005.

A green country seems important in this day and age which is why people want to live here.This obviously appeals to our friends across the pond in America and they are buying up property left right and center, we are also seeing a massive influx of foreigners from abroad especially Poland.

If you want to live in the Emerald Isle and invest in dublin property then it is expensive.The era of the Celtic Tiger (which was invented by the economist David Williams)has seen property values increase to an unprecedented level.Because of this property is dear.A recent International Monetary Fund study revealed that Irish house prices are overvalued by 10-20%.

Dont think you are going to get much change out of three hundred thousand euro for dublin real estate if you are thinking of moving into an average house or flat and expect where the house is located to be poor or average.Move out to the suburbs and you can expect to pay anything up to 600,000 for a mediocre 1970s style home lacking in any great character or charm.Buying a character home dating between the 1850s and 1950s in Dublin and you can expect to pay anything between 600,000 and 1.5 million.If you are lucky you will only spend 400 thousand for a newly built house.

.The other massive reason for wanting to get onto the property ladder is the aftermath of 9/11 as investors can no longer rely on managed pension funds as there is a likelihood that there savings could be wiped out if the terrorists target a property or organisation who own or manage a fund.Interestingly another recent survey shows that Irish banks and lending companies are loaning money to people who are looking to invest in a second property, this is noramlly going to be their pension on retirement fund.

Every day we hear the profits of doom and gloom sayiong we are on the verge of meltdown yet it doesnt seem to be the case just yet.Ireland could become a bit like Monaco where you cant buy a piece of real estate for less than 1 million, the reason fo this is that Monaco is a tax haven.

All indications suggest that Ireland will continue to sustain growth in the property market.However, the intrepid investor or buyers seeking houses for sale in dublin may want to consider carefully how and where to invest in the property market.While rental yeilds have fallen to under three percent, Ireland has experienced the biggest property price increase in the EU, with a 187% increase over the period between 1997 and 2004.Capital appreciation is the word of the moment as that is where all the growth is coming from, if you are relying on rent yields improving then you could be in for a long road ahead.

So, it may not be possible to buy at the prices that attracted thousands of Americans to the ireland real estate surge in the 80s.I am not saying that there are no good deals left, actually far from it, it is just that you may find yourself having to unravel the hidden little gems.