The price of an average house in Dublin rose by 2.6 percent in the second quarter of this year with three-bed semi-detached houses in the capital now taking as little as three weeks to sell.
The average three-bed semi-detached in Dublin city now costs $472,083 (€414,500), a rise of $11,389 (€10,000) (2.6 percent) over the last three months and an increase of 14.1 percent over the past year, the Q2 Real Estate Alliance (REA) Average House Price Index has found.
For example, this four-bedroom end-of-terrace family home in the heart of Palmerstown, County Dublin is currently on the market for $455,556 (€400,000).
This four-bedroom terraced house in Beaumount, Dublin 9 is also on the market for $455,556 (€400,000).
And REA agents in areas of south Dublin such as Tallaght, Clonskeagh and Dun Laoghaire are reporting that properties which took seven weeks to sell a year ago, are now moving to sale agreed in 21 days.
The REA Average House Price Survey concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an up-to-date picture of the property market in towns and cities countrywide.
The average semi-detached house nationally now costs $245,115 (€215,269), the Q2 REA Average House Price Survey has found – a rise of 2.5 percent on the Q1 figure of $239,064 (€209,944).
In Tramore, County Waterford this semi-detached three-bedroom house is on the market for $244,809 (€215,000).
And in Athlone, County Westmeath this four-bed house is on the market for $244,782 (€214,950).
Overall, the average house price across the country has risen by 11.2 percent over the past 12 months – in contrast to the 4.5 percent increase registered to the full year to June 2016.
While new building is still in its infancy, new developments on sale in small pockets of the country have had an impact on the price and demand for second-hand properties locally.
“Agents have been reporting that where there are new homes available, the price of second-hand properties has been under pressure,” said REA spokesperson Healy Hynes.
“Most of our national housing stock is over a decade old, and house purchasers – especially first-time buyers – will opt for new builds at a higher spec, even if there is a marked difference in price.
“Our agents are also reporting that both purchasers and three-bed semi vendors are looking for larger homes, which is having an adverse effect on the supply chain, with the result that time taken to sell is now four weeks on average in Dublin and the major cities, and as low as three in some parts of the capital.
The commuter counties Louth, Meath, Kildare, Wicklow, Carlow and Laois continued to rebound after a relatively static end to 2016 and saw an increase of 2.6 percent in the quarter, with the average house now selling for $254,304 (€223,267).
For example, this three-bed detached house on the market for $250,577 (€220,000) in Dundalk, County Louth.
Or this four-bedroom semi-detached house in Portarlington, County Laois for $239,225 (€210,000).
Prices in the major cities of Cork, Galway, Limerick and Waterford rose by 1.9 percent in Q2 and 9 percent on the year, the survey found.
The average three-bed semi now costs €311,000 in Cork (+2 percent), €245,000 in Galway (+2.1 percent) and €185,000 in Limerick (+3.9 percent) and Waterford €190,000 (0 percent) with first-time buyers opting for new homes as the reason for static pricing in the latter location.
The biggest percentage increases over the past three months came in the country’s smaller rural towns situated outside of Dublin, the commuter belt and the major cities.
Prices here rose by an average of 2.8 percent over the quarter, with a three-bed semi now costing €138,183 on average – a rise of 12.3 percent over the past year.
However, uncertainty over Brexit has resulted in a significant downturn in turnover for agents in some border areas.
Prices for three bed semis have remained at €85,000 in South Donegal for the past three quarters, but this masks a huge drop off in business from the North, according to REA McElhinney in Bundoran. For example, this three-bed semi-detached house in Letterkenny, Co. Donegal, is on the market for $96,806 (€85,000).
“There is an overall hit to confidence and to people’s willingness to make a major financial commitment to property while there is uncertainty over the border,” said Michael McElhinney.