Roscommon: Low supply driving 10pc rise in prices
Published 23/01/2016 | 02:30
Shortages were so severe in some parts of Roscommon through the last 12 months that the price of a good detached home in Roscommon town has hiked by a quarter.
Overall prices rose by 10pc in the year following on 11pc the previous year. David Diffley of Property Partners Earley says that he's seeing a confidence returning and thinks prices in the county will continue to rise throughout this year. He believes the worsening supply problem is likely to cause a bigger 10pc increase in 2016.
That said, Roscommon is still one of the cheapest counties in which to buy a home. The northern end of the county has also seen a noticeable increase in demand for all types of properties, according to Diffley, with a huge volume of clients looking for houses between the €50,000 and €100,000 mark.
The strength of sterling has also brought some new buyers to the county. "Areas such as Tulsk, Strokestown, Ballintubber and Castleplunket are very popular with British clients at the moment," says Diffley. "They are attracted to the peaceful country living, while still being only about 10 or 15 minutes away from main towns like Roscommon, Castlerea or Boyle."
Diffley is not sure where the houses are going to come from for keen buyers. There's a scarcity of starter homes available for young couples and the low level of zoned land in the county will make new development even more difficult.
"The perception is that Roscommon has loads of ghost estate, but the reality is we don't," says Diffley. "Any unfinished developments that were there have been sold out of receivership, and are back up and running and trading really well."
There is still some movement in the market in Roscommon, with houses around the towns in big demand. Diffley says that the new confidence he sees, added with banks lending again, will mean prices will continue to rise. "I'd say 7pc across the board," says Diffley, adding, "with detached properties going up by about 15pc."