Housing market in Ireland shows evidence of hitting bottom

By: DARA KELLY | Published Sunday, May 6, 2012, 9:04 AM | Updated Sunday, May 6, 2012, 9:04 AM

The Irish housing market is starting to show promise of recovery as first time buyers and families who delayed buying during the price fall now believe that values have hit bottom.

Jenette DelMonaco, an American who works for Apple, was among 2,000 people at Dublin's Shelbourne hotel ballroom last Thursday who were looking to buy one one of the 98 properties being auctioned by Allsop.

"I've been on the fence about buying for a year and a half. My financial advisor kept saying 'just wait, just wait ... it's going to keep going down'," she told Reuters. "I do think the market has hit bottom."

Chris Bell, head of Europe at property agent Knight Frank, said this summer could be "a tipping point for buyers coming back to the market."

The company, which handles deals worth more than 500,000 euros, has doubled in the last six months versus the same period in the previous year.

Economic data also suggests turn on the market. According to Reuters, "Irish house prices were unchanged in March compared to February, only the second time prices have not fallen month-on-month for over four years, and boosted by a 0.7 percent increase in Dublin."

While the bottom may have been reached, a "full-blown recovery" could be a long way off as Irish unemployment remains among the worst in Europe, staying above 14 percent for two years.