Dermot Bannon’s Incredible Homes: RTE star thinks there won’t be a huge real estate crash

“A lot of what was built and what people owned in the last boom was on credit. I think once the credit crashed and disappeared, it left a lot of people in a mess.

“A lot of the houses that we did in the last series of Room To Improve were sort of integrated before the pandemic and a lot of things,” he explains.

“I guess with Room To Improve, we sort of follow market conditions. You can see now that the budgets are much tighter so anyone applying for Room To Improve the budgets are much smaller, much tighter

“There was a time when people had savings and they spent money and they bought repairers. I can see it changing and changing, they are buying the repairers but not having the same level of funding to re-do them.

“But again, that’s where we’re at right now and that’s our challenge, and I like that. Like a lot of the projects we’re working on for January, the budgets are much smaller. It adds: “So with that it’s harder because you have to be a lot more creative around your solutions. It’s easy to throw money at a problem and it goes away, but we don’t have a money to be a bit more creative. That’s the challenge and that’s kind of the point of it.

Although he acknowledges that a recession is coming, he thinks there won’t be a real estate crash like the last recession.

“A lot of what was built and what people owned in the last boom was on credit. I think once the credit crashed and disappeared, it left a lot of people in a mess.

“That is not the situation today. People and banks are much more careful about lending and borrowing and building. I’m old enough to remember the last recession, people who traveled to Bulgaria to buy three apartments, “Jesus are those guys, they’ve never even been to the country before” and that’s like expense that was happening last time.

“I don’t see that now, so I don’t know how exposed people are. I guess at the end of the day, if you have a mortgage and you can pay your mortgage and you lose your job, then you’re in trouble. That’s the thing. Employment is at its highest, I don’t know if it’s really difficult. He points out that there is a huge need for more housing.

“The property system is an ecosystem, there are foreign investments, private investments, it needs public investments,” he notes.

“Our production of units has increased, but the problem is not just the investment funds, but the government is buying a lot of property. I think about 25-30% of the properties under construction were sold to the funds and government as social housing and that has now increased to between 50 and 60 per cent so the pool of properties available to first time buyers is getting smaller and smaller I think there used to be than 6,000 last year. There’s a massive shift in who’s buying.

“We need everyone to play their part in real estate, but now it’s leaning more towards investment companies. The government bought up to 10% of properties that were built as social housing, I think they’re now close to 25/30% on that as well, so there’s a huge shift on that. »

“So should the government build more of it, and I don’t mean like the government over there digging shovels and all that, but getting it. Enter architects, surveyors, engineers and others to build houses.

He appears in the first of two shows tonight, Dermot Bannon’s Incredible Homes, where he travels overseas to view spectacular properties.

“I have an amazing life!” he’s laughing. “Especially I guess after the pandemic, not getting on a plane for three years and then sort of getting back on it was ‘is this happening, am I here’, there was a lot of going on. things, it was great

“I’m not saying that before, when I traveled, you were a bit tired, fed up with packing, moving, because with that kind of stuff you tend to stay in a hotel for a night and to move on to the next night, so a lot of logistical things that happened and I used to talk about it a bit, and my god I didn’t talk about it this time. I had done my suitcase three weeks in advance, I was so excited, I was like a kid going to Trabolgan for the first time.

He concedes that this type of program could be called “real estate pornography”. “Do you call that real estate porn? Probably yes. I guess I’m still aware of that,” he admits.

The father-of-three lives in Drumcondra, north Dublin, and turned 50 earlier this year.

“I went swimming in the sea,” he replies when asked how he scored his big 5-0. “I’m not good at marking my birthday, especially with my friends because what I’m doing is pretty extravagant, so I feel like I’ve got enough attention, so I’m happy to be sitting in the ‘coach. I wouldn’t be a person for big celebrations.

Being on TV, he gets arrested almost everywhere he goes.

“You are recognized when you go out,” he smiles.

“Honestly the people are lovely and I’ve never had a bad experience with anyone. The people are really friendly. It’s different. I don’t know, maybe it’s because of the type of show. People feel like they know me and they talk to me like they know me.

“I always feel like a local all over the country and I’ve never felt so intimidating. I see people and they experience being well known in different ways, I’ve never felt that intimidating , I always felt like very friendly people and never had a bad experience.

“Look, I’ve been doing this for 15 years, that’s about all I know and when people come to see me they want to ask me about their house or they pull out their phones and they show me pictures of their living rooms, ‘what am I going to do with this?’, I’m used to it now

“My family and my friends are great, they put down roots. If someone walks up to me and I can kind of walk up and chat with them and maybe they want a selfie, and I go back to the family group, and they’re all “telling” you are “too much yourself”. ”

DermotBannon’s Incredible Homes tonight RTÉ ONE 9.30pm