It seems like the number of homes in arrears has increased substantially in the last year (21% more). I expect that 2017 and 2018 will not be any better.
This have a bearing on your ability to purchase a home at a reasonable price. See below:
2008 - 2,357 properties in arrears
2015 - 4,459 properties in arrears
2016 - 5,424 properties in arrears
Currently the banks have repossessed 5,110 properties which are valued at at least 490 millions in the banks book.
The typical situation is that these homes are put up for auction, because the banks wants them off their books quickly and it is more profitable for them to auction them off than to sell them for the remainder of the loan balance.
Obviously if the home is repossessed the owner looses every cent they put into the property and it damages their credit, so if you know how to speak with them you can come to their rescue and make a good profit.
If you can find out what homes are in arrears you could negotiate with the current owner, so the bank gets their balance and the owner gets some money off of you. Win win for the owner in trouble and for you because you get the home cheaper. The key would be how to find out which owners are in trouble, as this is not something banks will let you know about. If you find a way, you can turn a good profit, you can sell it for more, use it for yourself, of make it a rental property (long term or short term). I will look into this once I am settled in the island, but do not expect me to tell you my secret.
Rey