Residential property prices have jumped by 13.5 per cent according to the latest figures from the Central Statistics Office (CSO).
According to the CSO, prices rose by 12.3 per cent in Dublin while areas outside the capital experienced increased of 14.6 per cent.
"In Dublin, house prices increased by 13.3 per cent and apartment prices increased by 8.1 per cent. The highest house price growth in Dublin was in Dublin City at 15.5 per cent, while Fingal saw a rise of 9.6 per cent," CSO statistician Viacheslav Voronovich explained.
"Outside Dublin, house prices were up by 14.7 per cent and apartment prices up by 13.4 per cent. The region outside of Dublin that saw the largest rise in house prices was the Border at 24.1 per cent, while at the other end of the scale, the mid-east saw an 11.5 per cent rise."
Despite price increases, the number of residential properties sold in October of this year was 4,335, which is a 12.7 per cent increase on October 2020 figures. Existing dwellings accounted for 85.1 per cent of residential properties sold while new dwellings accounted for 14.9 per cent.
The median price of a dwelling purchased in the 12 months to October 2021 was €275,000. Meanwhile, the lowest median price for a house was €129,000 in Longford. The highest median price was €580,000 in Dún Laoghaire-Rathdown.
Residential property prices rose to 13.5% in the year to Octoberhttps://t.co/f3t3DqosyC #CSOIreland #Ireland #Housing #HousingConstruction #PropertyPrices #HousePrices #IrishBusiness #BusinessStatistics #BusinessNews pic.twitter.com/AQvQMWztjK
— Central Statistics Office Ireland (@CSOIreland) December 15, 2021
As reported in The Irish Times, Goodbody chief economist Dermot O’Leary said the latest figures implied the annualised rate of growth in the three months to October was 23 per cent which is slightly below that of September but still among the fastest in the last decade.
“While growth in Irish residential property prices has climbed to unforeseen heights relative to expectations at the beginning of the pandemic, we suspect the rate of growth will ease substantially from 13 per cent in 2021 to 5 per cent in 2022,” he said.
Rachel McGovern of Brokers Ireland said: “What is evident from the figures is that more existing dwellings are now being sold, comprising over 85 per cent of purchases year-on-year in October, an increase of 16.3 per cent, while new dwellings saw a decrease of 4 per cent in the same period.”
“However, overall the number of properties being transacted, 4,335 in October, is low given the level of pent-up demand, even though it did represent a 12.7 per cent increase year-on-year,” she said.
Ms McGovern said supply is coming on stream but more slowly than is desirable to stem the current level of growth in prices.
