Property prices here shot up faster than main European economies
Published 29/07/2014 | 02:30
New figures show that prices jumped by 6pc in 2013, a stronger rise than those in the likes of Germany, Britain, Italy, France, Netherlands, Spain and Switzerland.
The new figures from credit rating agency Standard & Poor's indicate that prices here last year rose more than in Britain, which was the next fastest riser among 10 of the main European economies.
And the ratings agency now expects prices to rise here by 4pc this year, with a similar rise in Germany and a higher increase in Britain.
It said bank lending conditions remain tight and high mortgage arrears will maintain downward pressure on house prices.
The ratings agency expects the Irish economy to perform better than other European ones over the next three years.
This should help support the housing market recovery.
But it warned that the bankruptcy that many building firms suffered during the financial crisis has contributed to the housing supply shortage.
This means a slowdown in house and apartment price rises is expected in this country in 2015 and after that, the analysts in S&P said.
The rating agency said the recovery in housing prices is set to remain slow and uneven.