Property prices drop as new rules on deposits cool market
The price of an average home in Dublin has fallen by 7pc in the first sign that Central Bank lending restrictions are cooling the market.
Results of a survey commissioned by the Irish Independent show that family homes in the capital have fallen in price by almost €20,000 in the past three months.
The selling price for a standard three-bed semi-detached house in Dublin has fallen by 5.02pc, from €381,667 to €362,500, since the end of March.
According to the Irish Independent/Real Estate Alliance Average House Price Survey, worst affected areas saw prices slide by 7pc, or more than 2pc a month, and at a faster rate than they have been rising in recent years.
The price slide in Dublin is being attributed exclusively to the new rules on mortgage lending introduced at the beginning of this year, which require home-buyers to come up with larger deposits.