Average house price reaches nearly €265,000 as prices rise in all 54 markets in Ireland 1 month ago

Average house price reaches nearly €265,000 as prices rise in all 54 markets in Ireland

The average price of a house in Dublin between June and September was just over €380,000.

The price of houses in Ireland rose by just under 5% between June and September, according to the latest House Price Report by Daft.ie, Ireland’s largest property website.

The report reveals that house prices rose in all 54 markets in the Republic of Ireland contained in the report during that period, reaching an average sale price of €263,750, 60% higher than at its lowest point in early 2013. Notably, despite the impact of the Covid-19 on the economy, it’s also a 2.7% increase on the same period in 2019.

There were significant differences in how the increases have materialised in different parts of the country. Waterford city, for example, has seen an 11% rise in the average price of a house, while there has been marked increases in Galway city (+10%), Cork (9%) and Limerick (9%) in just three months.

The rise in house prices in Dublin (2.2%) has been modest by comparison, while outside the cities, the average price of a house increased by 5.8%, with a more sizeable increase in Leinster (7.3%), for example, than Connacht/Ulster.

Check out the average price of a Daft.ie listing in the 25 counties in the Republic of Ireland outside Dublin and the six markets in Dublin in the images below.

Images via Daft.ie House Price Report

The primary reason for the increase in prices, the report reveals, is the drop in supply.

The number of properties available to buy on the market nationwide was just under 17,700 on 1 October, down almost a third year-on-year and the lowest figure in over 14 years.

Stock on the market had improved between April and August 2019, but it has now seen 14 successive months of falling stock, with relatively similar falls in all major regions of the country.

In the year to September, fewer than 50,000 homes have been advertised, the lowest total since the start of 2015.

Commenting on the findings in the report, its author Ronan Lyons, said: “The jump in listed sale prices seen in the third quarter of 2020 is not entirely unexpected.

“Indeed, it brings the Irish housing market into line with many other housing markets in high-income countries, where Covid-19 has not disrupted the long-term upward trend in housing prices. In Ireland’s case, the collapse in listings in April and May has translated into a fall in stock on the market – with fewer than 50,000 homes advertised for sale in the year to September, the lowest total since the start of 2015.

“This highlights the underlying issue affecting the Irish housing system – a prolonged and worsening scarcity. The significant fall in completion of new homes to be registered in 2020 may prove a temporary blip. Nonetheless, the level of new home construction even in 2019 was barely half of underlying need.

“While the public health emergency clearly dominates policymaker attention currently, longer-term challenges should not be forgotten. Chief amongst these is the lack of housing – especially for smaller households, in or close to Ireland’s largest cities and towns.”

You can read the report in full here.