The Construction Industry Federation (CIF) has confirmed that there has been a 30 per cent fall-off in the number of houses being completed in Cork as a result of the current slow-down in the housing market.

CIF Director of the Southern Region Joe O'Brien confirmed the statistic in his 2008 outlook for the industry. Despite the ongoing bad news coming from many areas of the economy Mr O'Brien did outline however that he believed 2008 would be a good time to buy for those looking for a property. He also outlined eight reasons why 2008 would be an ideal opportunity to enter the housing market.

Mr O'Brien said, "Uncertainty in the housing market in 2007 prompted many to adopt a wait and see attitude in the housing market. This invariably fed into house building activity with a 30 per cent fall-off in commencements of new homes throughout County Cork.

"Based on available statistics, approximately 25,000 new homes will be built in the first six months of 2008, with output during the second half of the year dependent on market conditions. Before December's Budget, the CIF argued that output for the year as a whole could be lower than 45,000. However, the prospects for buyers in the housing market in 2008 have improved significantly".

Mr O'Brien said that the eight factors which made 2008 a good option for potential buyers were stamp duty savings as a result of the Budget; improved mortgage interest relief for first time buyers; good value available in the market; improved affordability; increased threshold for the rent-a-room-scheme; rising rental costs; the likelihood of decreasing interest rates and continued population growth.

Mr O'Brien concluded, "Despite the doom and gloom that has permeated much of the ongoing discussion on the economy, Ireland remains the envy of Europe. In the past decade the Irish economy has more than doubled, with an additional 800,000 people at work and with growth rates far in excess of anything experienced elsewhere in the EU.

"The Construction Industry Federation remains positive about the housing outlook for 2008 in Cork, for all of the reasons outlined. 2007 was a challenging year; however the key issue of buyers' confidence will ultimately determine whether we have a positive year for house building in 2008."

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