Saturday 23 March 2019

Property prices still falling but the rate is slowing

Caitrina Cody

ASKING prices for homes plunged nearly 15pc in the past year, but the rate is slowing, new figures show.

The latest Myhome.ie Property Barometer showed a fall of 14.66pc on average but the pace of decline has slowed in recent months.

From April to June, average asking prices for both new and second-hand homes nationally fell by 1.48pc compared to a reduction of 6.13pc in the first three months of the year.

In Dublin, asking prices fell by 2.33pc during the second quarter compared to a reduction of 7.4pc in the first-quarter.

Independent economist Paul Murgatroyd said the results are "in line with the weakness the economy as a whole".

A separate report by estate agency Sherry FitzGerald also revealed that the drop in house prices has slowed significantly during the second-quarter of 2009.

It calculated that national house prices fell by 5.2pc during April, May and June, compared to the more dramatic 8.3pc drop during the first three months of the year.

House prices in the capital fell by 5.5pc in the second-quarter, a considerable decrease on the 9.5pc fall in the first-quarter.

"The emerging evidence appears to suggest that the property market is showing signs of stabilising," said Sherry FitzGerald Chief Economist Marian Finnegan yesterday.

"The market began to witness an increase in viewing levels at the beginning of 2009, which has gradually translated into an increase in the number of transactions."

The report also reveals that from the peak of the market in 2006, Dublin house prices have fallen by 42pc in real terms.

Nationally, the corresponding fall is an average of 37pc according to the Sherry FitzGerald figures, which are based on achieved prices.

Also in Business