Revealed: People paying a staggering €129k more to live near Dart and Luas stops in Dublin
Access to Luas trumps Dart in boosting house prices
Being close to a Luas stop, rather than a Dart station, leads to greater house price increases in the capital, according to a new analysis of the property market.
Demand for housing with key transport links to Dublin city centre has a significant impact on the cost of a home, with buyers now paying a premium of €129,000 to live close to light rail links near the capital.
Research by property website Daft.ie shows houses within walking distance, or 1km, of Luas stops and Dart stations cost an average of €512,000 in the first three months of 2019, a 4pc increase compared to the same period last year.
Luas access had a greater bearing on price hikes in the first quarter of this year. However, the most expensive homes are those close to Dart stations in leafy south Dublin.
The analysis of homes close to light rail and tram links to Dublin shows the biggest price increases last year came in areas within walking distance of on the Luas red line between Saggart and Heuston.
Prices here increased by 10.4pc in the first three months of the year compared to the same period in 2018.
The cost of a home between the Point and Museum stops, also on the red line, increased by 7.2pc in the first quarter of 2019.
Daft.ie's Light Rail House Price report, released today, shows buyers are paying 34pc more for properties close to Dart and Luas links. The average asking price in Dublin is €383,000 but this rises by a further €129,000 for houses within 1km of a Dart or Luas stop.
Trinity College economist Ronan Lyons said homes along the proposed MetroLink line, due to be completed by 2027, will see further price hikes because of increased demand as the project nears completion.
"When people buy homes, they typically buy them for the long term - 10 years or more. Therefore, they plan ahead and it is envisaged that MetroLink will be up and running by 2027, less than 10 years away.
"It is likely that, just as the Luas before it, these areas will see extra demand as the MetroLink becomes a reality."
Property expert Michael Dowling said the level of premiums people are paying for good transport connections is a surprise.
"I am not surprised a premium is being paid to live close to public transport, and when you look at it, Luas has been a success," he said.
"The reason is, access to public transport is so important and people will pay the premium, particularly because they are frequent services. I am a little surprised with that level of premium. I would have thought 20pc or 25pc was realistic but 34pc is a significant premium to be paying.
"The Luas is the one that seems to be attracting greater premiums for house prices. For example, if you look at Cabra, as soon as the new Luas stop went in there, prices shot up significantly."
On the green line, stops between St Stephen's Green and Sandyford rose 7.8pc this year. There was a 5pc jump in prices for houses within walking distance of the stops between Sandyford and Brides Glen, and a 1.1pc increase between the Bloombridge and Dawson stops.
House prices close to Dart stations north of the Liffey increased 7.26pc in the first quarter of 2019, compared to the same period last year. South of the river saw similar price changes, up 7.2pc.
Michael Dowling said the proposed MetroLink route will also impact house prices in the coming years.
Current prices along the proposed route range between €285,000 and €724,000, peaking in Charlemont and bottoming out in Ballymun.
"I am not sure the increases there will be as high as 34pc but you will have an increase in house prices by being so close to the route. The Metro is going along a route that is not as well served by public transport currently like the way the Luas route is. The Metro is absolutely going to have an impact on house prices and those areas along the route."
Homes within walking distance of Sandymount Dart station are the most expensive included in the survey, costing €870,000 on average. Dalkey and Lansdowne Road are the next most expensive stops at €848,000 and €821,000 respectively.
On average, the cheapest homes with access to the Dart are all north of the Liffey near Clongriffin (€350,000), Howth Junction (€372,000) and Kilbarrack (€373,000).
South Dublin, and specifically stops along the green line, also accounts for the most expensive homes with Luas access. Houses near the Beechwood, Ranelagh and Charlemont stops cost €788,000, €741,000 and €724,000.
The red line accounts for the cheapest homes located within walking distance of a Luas or Dart stop. Homes in Cheeverstown cost €217,000 on average.