Monday 21 May 2018

Property prices rising at fastest pace in three years

The most expensive houses are in Dublin, with an average price of €429,000. Stock photo: PA
The most expensive houses are in Dublin, with an average price of €429,000. Stock photo: PA
Charlie Weston

Charlie Weston

Property prices are now rising at the fastest pace in almost three years.

New figures for January show another double-digit increase.

Prices in the first month of the year were up 12.5pc when compared with the same month a year previously, according to the Central Statistics Office (CSO). Prices were up almost 1pc in the month.

January's rise compares with an increase of 12.2pc in the year to December and an increase of 8.8pc in the year to January 2017.

In Dublin, residential property prices increased by 12.1pc in the year to December.

Dublin prices are up almost 90pc in six years, but are still 24pc below the high reached in February 2007.

Prices in the rest of the country were up 13pc in the year to January, according to the CSO.

The west region showed the greatest price growth, with house prices increasing 17.2pc.

The south-east region showed the least price growth, with house prices increasing at 9.9pc.

Overall, the national index is 22.3pc lower than its highest level in 2007.

The average price for a property nationwide was €274,000, down around €7,000 from the average price in December.

The most expensive houses are in Dublin, with an average price of €429,000. Dún Laoghaire-Rathdown has the most expensive properties, with average prices of close to €600,000. The least expensive county is Longford, with a mean price of €99,876.

Prices outside of Dublin have now shot up by 66pc from the low they reached in May 2013.

In the year to January, there were 43,508 residential property purchases filed with Revenue. A third of these were first-time buyers.

Dermot O'Leary, of Goodbody Stockbrokers, said the Government's help-to-buy scheme was behind the fact that one-third of purchasers of new homes are first-time buyers.

But given the low level of transactions overall, it cannot explain the ongoing rapid growth in house prices overall.

Irish Independent

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