First-time buyers need to have an income of nearly €100,000 to buy a house in Dublin 5 months ago

First-time buyers need to have an income of nearly €100,000 to buy a house in Dublin

The price of a home for first-time buyers has nearly doubled in seven years.

First-time buyers need to be earning €98,000 in order to buy a home in Dublin, according to a new report from KBC Bank.

The report stated the average price of a home for first-time buyers in Dublin has almost doubled from €200,000 in 2012 to €380,000 last year.

"A first-time buyer availing of a 90% loan-to-value mortgage would typically need an income of about €98,000 to qualify," the report said.

"In all four regions of the Dublin property market, there was a marked pick-up in new home prices for first-time buyers relative to existing home prices from about 2014/2015."

As a result of being priced out of the market, there's been a slowdown in the number of households buying properties in Dublin.

KBC Bank noted the share of first time buyers, as a proportion of household buyers, stood at 37% in 2019, down from 60% in 2010.

The majority of the decline occurred between 2010 and 2015, when first time buyers made up only 29% of the market.