Kildare South: Shortage of supply boosts Kildare
Shortage has been governing the market in Kildare South, according to agent Charlie McDermott of Sherry FitzGerald McDermott. There is nothing being built amidst huge demand so consequently prices are rising steadily.
There's hope of new development in the future after the sale of a large site on Rathbride Road in Kildare town, but McDermott believes it will be another two to three years before something is built there.
The now derelict Magee Barracks in Kildare is also due to come onto the market this month, with a 50-plus acre plot that has town centre zoning, which should bring a mixture of residential, commercial and warehousing to the county, which is very badly needed.
The Central Bank lending regulations have increased demand in Kildare South by pushing people out of Dublin and towards Kildare, says McDermott. "We've always had commuters in Kildare but they disappeared over the last few years. They are now gradually returning because of lending restrictions and lack of supply in Dublin."
Owner-occupiers are also buying up what would have traditionally been investment properties in the area. "The rental market is in turmoil at the moment. The prices have become unrealistic. A three-bed semi is now renting for anything from €1,000 to €1,200, which is ridiculous for where we are," says McDermott.
Prices around Kildare can differ greatly from area to area. An average three-bed semi around Kildare town could go for €190,000, while over in Naas, you would be expected to pay €288,000 for the same type of property. According to Enda Smith of CME Auctioneers, a detached 2,000sq ft house could fetch €490,000 in Naas, but if you venture further south, you would be talking about €330,000 for a similar property.
McDermott predicts that prices will continue to rise steadily in Kildare South in 2016, at a rate of about 8pc.