Property prices down 12.5pc but decline not so rapid
Published 29/08/2011 | 12:24
Property prices have come down 12.5pc in the last year, official figures have revealed. The monthly review of the market showed the cost of homes down 0.8pc in July, the lowest four-week drop since the end of last year.
It represents an improvement on the 2.1pc decline recorded in June, which was the biggest monthly fall for two years.
The Central Statistics Office (CSO) said overall prices in Dublin remained static last month although house prices alone increased slightly by 0.3pc.
The property market in Dublin has fallen by 47pc since the peak in early 2007, the CSO said, while nationally prices are down 43pc.
After a 2.4pc dip in June, Dublin residential property prices in July were 11.9pc lower than a year ago, according to the Residential Property Price Index.
Overall property prices outside of the capital came down by 1.3pc in July.
The new data reveals that 55,763 mortgages were in arrears at the end of June, an increase of almost 6,000 since the end of March.
The figures relate to accounts that have been in arrears for 90 days or more.
Between April and the end of June, 173 properties were repossessed by lenders, with 119 of those being voluntarily surrendered or abandoned by the owner.
This is an increase of 33 on the first quarter of 2011.
Mortgage lenders also applied to the courts to begin loan enforcement proceedings on 209 mortgages during the three months.
201 of these proceedings were concluded this quarter, of which the courts granted orders for possession or sale in 124 cases.
In total, mortgage lenders held 809 repossessed properties at the end of June 2011.
The latest figures also showed that 69,837 loans had been restructured in some way, with borrowers either just paying their interest, or some having their loan extended, while others were not paying any interest at present. This is up nearly 7,000 on the March figures.
According to the Central Bank, 39,395 of these accounts are not in arrears and are performing as per the restructured agreement.
At the end of June there were 777,321 private residential mortgage accounts held in this country with a total value of €115bn, the Central Bank said.