House prices in Ireland are on the rise, again

For the first time since 2007, the average price of a three-bed semi-detached home has surpassed €300,000 after housing prices have risen again in the last quarter.

In large towns, prices have risen by two per cent in the past three months, and are increasing at twice the rate of Dublin and other major cities.

The Real Estate Alliance (REA) have released its latest house price index and figures show that first-time buyers are being forced out of Dublin due to rising interest rates and high prices.

Prices in Dublin city rose by zero point eight per cent in the last three months. The average three-bed semi in the city is now selling at €504,167 with an increase of one point three per cent in the last year.

The number of first-time buyers in the capital fell from 72% a year ago, to 43% in the REA’s latest survey.

REA spokesperson, Barry McDonald explained: “While we are still seeing increases in prices, the buyer profile is changing, with younger first-time buyers being increasingly forced to travel for affordability.”

The average price for a three-bed semi is now €301,370. These prices have gone up by one point four per cent in the last quarter, three point seven per cent since last year, and 28% over the past three years.

The REA continue to blame low supply for the ongoing price increase in housing.

House prices in Cork and Limerick have risen since the REA’s last survey, while prices in Waterford and Galway have remained the same.

Over the last three months, 39% of buyers in areas including Louth, Meath, Kildare and Wicklow came from outside these counties, with a “large proportion” of them coming from Dublin.

Co Sligo was the county that saw the biggest increase in the last quarter, although the average price of a three-bed semi here still remains relatively low in comparison to other counties (€215,000).