| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

Home 
 
 News
 Irish
 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 International
 Property
 Innovation
 
 Analysis/Comment
 
 Asia Economy


Finfacts changes from 2015

RSS FEED


How to use our RSS feed

Follow Finfacts on Twitter

 
Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.

Welcome

Finfacts is Ireland's leading business information site and you are in its business news section.

Links

Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Global Cost of Living

Irish Tax - Income/Corporate

 

Feedback

 

Content Management by interactivetools.com.

News : Property Last Updated: Mar 2, 2015 - 7:31 AM


Irish residential property prices fell 1.4% nationwide in January
By Michael Hennigan, Finfacts founder and editor
Feb 25, 2015 - 11:05 AM

Email this article
 Printer friendly page

The CSO reported Wednesday that in the month of January Irish residential property prices fell by 1.4% nationwide. This is the largest fall in national prices observed in a single month since February 2012. Despite this fall, residential property prices remain up 15.5% over the last 12 months.

In Dublin residential property prices fell by 1.9% in January. This is the most significant monthly fall since January 2012. However, Dublin residential property prices are still 21.6% higher than 12 months ago.

Dublin house prices fell by 2.1% in January whilst Dublin apartment prices increased by 0.9%. However, it should be noted that the sub-indices for apartments are based on low volumes of observed transactions and consequently suffer from greater volatility than other series.

Outside of Dublin residential property prices fell by 0.9% in January. However, prices are still up 9.3% compared with January 2014.

Overall Decline: At national level residential property prices are 38.5% lower than their peak level in 2007. Dublin house prices are 36.9% lower than their peak and Dublin apartment prices are 44.4% lower than their peak. Outside of Dublin residential property prices are 41.9% lower than their highest level in 2007.

Conall Mac Coille, chief economist at Davy, commented:  "It is worth bearing in mind that Dublin house prices are still up by a massive 21.7% on the year and by 2.2% over the past three months. Overall, today’s data suggest that rushed transactions towards the end of 2014 to take advantage of capital gains tax exemptions are bearing down on demand in early 2015. At 5x average incomes, Irish house prices are clearly no longer cheap but not necessarily over-valued. Hopefully, the decline in prices in January is a signal that the new Central Bank rules to limit highly leveraged mortgage lending will stop a new bubble forming. In any case, we do not believe a welcome slowdown in house price inflation will threaten Ireland’s export-led recovery."

Peter Stafford, director of Property Industry Ireland, the Ibec lobby group, said: "Today's figures follow the trend seen in recent years of a fall in property prices in January. The size of the fall and the effect on prices in Dublin, which fell by nearly 2%, confirm that the Central Bank's new mortgage lending restrictions will have a considerable impact on the property market.

"We must learn from the mistakes of the past and ensure that when prices rise, it's because of growth and improved consumer confidence. Not because of a lack of supply. The construction industry, the property sector and the planning system must work together to make renting a real option for people and offer buyers better choices. There are still too many costs associated with new development, and delays in planning. Until they are resolved, achieving sustainable growth through balanced housing delivery will be difficult."

Related Articles


© Copyright 2015 by Finfacts.ie

Top of Page

Property
Latest Headlines
Irish residential rents rise 9% as students face tight market conditions
Irish construction activity growth eased in July
Irish residential property prices fell in Dublin in June
Irish mortgage approvals growth fell sharply in April 2015
Irish land prices among highest in world; Noonan tax cut boosts Dublin prices
AIB cuts Irish variable mortgage rates
Dublin residential property prices rose by 1.1% in March
Global property bubble: Dublin tops 2014 global returns at 44.7%
New Irish housing units in 2015 forecast at only 10,000
Ireland: Dublin house prices up 21% in year to February 2015 after price decline in month
Prime office rents in Dublin to rise by up to 31% in 2015 after 29% surge in 2014
Irish mortgages paid in 2014 at 1976 level; Half of house sales paid in cash
Irish residential property prices fell 1.4% nationwide in January
Irish House Rents: Supply tightens in Dublin's commuter counties in Q 42014
Irish commercial property returns in 2014 among highest in world
Irish Housing: "Unique" demographics to boost demand; Shortages to rise
Irish mortgage approvals in 2014 at 36-year low; Exceed paid loans
Irish commercial property investment in 2014 was 25% above bubble peak in 2006
Irish construction continues to rise from very low base
Irish house asking prices fell back slightly in fourth quarter of 2014
Price/Earnings multiple for Dublin houses is double 1993 level
Residential property rents up almost 10% in Dublin in past year
Irish Government and vested interests lobby for easing of Central Bank's mortgage rules
Ireland tops global property price rankings six years after bust
Number of Irish mortgages paid in 2014 at 1974/75 level - a 40 year-low
Irish construction PMI survey confidence measure highest since 2000
Irish mortgage arrears decline; 38,463 BTL accounts in arrears
Irish Housing: Renting provides less security than ownership, unpredictable rents
Ireland: NAMA to redeem €1bn of senior bonds; Fund Boland’s Mill site development
Ireland: 35,000 social housing units by 2020 achievable; Rental market possibly not
Dublin house prices up 24.1% in year to October 2014
Irish home ownership to fall due to affordability
'Tara Collection' of office buildings on sale in Dublin for €263.8m
Irish Housing Rents 2014: Dublin just 10% short of 2007 bubble peak
Irish Economy: Residential mortgage approvals in 2014 as low as in 1977
Irish Construction: Fastest rise in new business for decade - not level of activity
Biggest US individual landowner responds to tax breaks in Ireland and UK
Irish commercial property annual return to September 2014 at 36.6% - income at global high
NAMA expects surplus of less than €500m - it's not a profit; 88.5% sales to US investors
NAMA selling 588 Dublin apartments - name withheld in announcement