House prices drop by 37 percent across Ireland

Surveys carried out by Daft.ie and MyHome.ie – two Irish property websites- has found that the prices of houses in Ireland continue to fall as the autumn hits.

Daft.ie said prices of homes around the country fell by an average of 3.7% during the third quarter of this year.

MyHome.ie show that property prices fell by 3.9% in the third quarter of this year, bringing the fall for 2010 to 11%.

An average home nationally, according to MyHome.ie, is now €280,000 ($368,000) compared with €291,000 three months ago and €323,000 12 months ago.

Daft.ie is reporting in Dublin, the Irish capital, that asking prices for homes have fallen by 3.3% during the past three months, while MyHome.ie is reporting a drop of $4.3%.

Daft.ie says in Cork and Waterford prices dropped by about 1.5%.

However in the west of Ireland, largely in Co. Galway and Co. Limeric, Daft is reporting no change in prices from the last quarter.

Daft.ie economist Ronan Lyons said there was still a mismatch of supply and demand.

“Many would-be first-time buyers still lack either the confidence or the finance to enter the sales market. As a result, the total supply on the market still remains very high. The total stock on the market has been close to 60,000 for over two years now,” said Lyons.

Author of the report, Jean Goggin of DKM Economic Consultants, said the data suggested that the property price decline in 2010 was unlikely to be bigger than last year's fall.

“Last year the overall decline was 14.5% and so far this year the annual decline is 13%. While this suggests some improvement in property market conditions it is clear that we have not yet reached the bottom of the market,” she said.