According to recent information collected by the Central Statistics Office (CSO), the rate of house price inflation in Ireland has seen a near 9% rise in June due to a diminished supply of previously-owned properties available in the market. Last year’s house prices increased by 8.6% until the end of June, a notable incline from May’s increase of 8.2%.
Dublin’s property prices have outpaced the national average increase, rising by 9.3% in June, as opposed to the 8.2% increase in May. Housing prices outside the capital have also experienced an 8.2% upsurge over the last year. The CSO notes that the current typical house prices have surged by 10.8% relative to the peak of the last property boom in April 2007.
The median price for domestic accommodation, incorporating both houses and flats, was €337,500 in the year leading up to June, an increase from May’s €335,000, according to the CSO. Market experts highlight the drastic reduction this year in the quantity of second-hand properties being introduced into the market as a significant factor propelling the current surge in housing price inflation, a scenario where prospective homeowners are vying for a swiftly diminishing pool of properties.
Evidence suggests that this scarcity of homes on the market could be escalating. Sherry FitzGerald, a real estate agency, announced last month that the first quarter of 2024 saw a decrease of 10% in total sales compared to the same period last year. Also, there was a substantial 27% reduction in the availability of second-hand homes for sale this January relative to the same time the previous year. Further updates will follow…