Developers sought planning permission for little more than 2,300 new homes in Dublin during the first three months of the year, even as the housing shortage becomes ever more acute.
According to the Society of Chartered Surveyors Ireland, there were 15 planning applications submitted for developments of at least 25 houses submitted around Dublin between January and March this year. The figures exclude one of houses and estates of fewer than 25 units.
Those developments would account for 2,363 new homes if they are built. That rate however is down some 40pc compared to the third quarter of last year, in part because of the new restrictions on mortgage lending from the Central Bank.
The report found that builders have sought permission from Dublin City Council to build just 232 units. That is a fraction of the 2,750 the SCSI say need to be built in the Dublin City Council area every year between now and 2018.
Builders want to construct 275 units in Dun Laoghaire - Rathdown, while estates accounting for 1,009 homes may be built in Fingal.
In the south Dublin local authority area, permission has been sought for 847 units.
The report also found that construction began on 1,009 homes in the first three months of this year. More than 750 of those are in the Fingal County Council area.
SCSI vice-president Andrew Nugent said the drop off in planning applications will have a big knock on effect on the already tight market.
"We've identified that at least 7,000 new units per year are needed in Dublin - this is the minimum level required. If the current commencement figures continue at the same level as in the first quarter we will not reach that target".
The Government is working on implementing measures it outlined in its "Construction 2020" plan earlier this year. Among those is a bill that could ease the cost of construction significantly - something Mr Nugent would like to see brought in quickly.
"The SCSI has expressed concern that some developers may now be postponing the lodgement of planning applications until the proposed Planning & Development No. 1 Bill is in place to avail of lower Part V requirements and development contributions. In order to improve supply levels, we need to see the urgent implementation of the proposed Bill", he said.
The SCSI report echoes concerns elsewhere about the state of the housing market. According to the Construction Industry Federation of Ireland, the building of new houses has effectively stopped since the new mortgage rules were announced.
Sunday Indo Business