House prices fall 19pc from peak
HOUSE prices fell again last month, wiping €8,000 off the value of a house this year alone.
Prices are now down by almost a fifth -- 18.5pc -- since the peak in the market in February 2007, with the average house price having lost almost €60,000 of its value in that time, according to the latest house price index from Permanent TSB/ESRI.
Prices fell by 1pc in March, compared with a decrease of 0.8pc in February, and 1.4pc in January.
Just over 3pc was eroded from the value of houses since the start of this year to take the value of the average house price to €253,546.
This compares with a peak of €311,078 in March 2007. Average prices are now back to levels not paid since the boom was in full swing in November 2004.
Permanent TSB's Niall O'Grady said a lack of confidence in the economy was still keeping people out of the property market, despite falling prices and lower interest rates.
House prices in Dublin fell by 1.2pc in March, and are now down 22pc from their peak in early 2007.
Back in February 2007, the average house price in Dublin was €429,700, but the price has now fallen to €334,822. Last month there was a fall of 1.1pc for houses outside Dublin.
First-time buyer houses fell by 0.3pc in March, and are now down by 14.3pc for the year. The average first-time house price was €215,440 in March, down from €224,153 in December.
New houses fell by 1.9pc in March, and are now down 10.5pc over the year. A new house cost an average of €256,501 last month, down from €266,466 in December.
The survey is based on the agreed sale price and is calculated using figures from mortgage drawdowns.
However, figures in the index can be up to three months out of date, housing experts said yesterday.
- Charlie Weston Personal Finance Editor
