House prices to rise by 15% over next three years
According to a survey conducted by the Central Bank, house prices are set to rise by 15% over the next three years. The survey of estate agents, auctioneers, economists and surveyors indicates prices will rise by eight% nationally this year.
They also said that Dublin prices are set to rise by 10%, with a shortage of properties for sale the driving force for the price growth. They added that Central Bank mortgage lending rules are no longer holding back prices. At the start of the year, the Central Bank relaxed the rules to allow first-time buyers to get mortgage approval with a deposit of just 10%.
Earlier this month, international credit ratings agency Standard & Poor’s said it expected property prices here to outstrip the rest of Europe: “We expect Ireland’s housing market to experience the strongest year-on-year nominal house prices rises of 8.5% this year and 7% in 2018, underpinned by supply shortages and continuing economic recovery.”
The latest figures from the Central Statistics Office show property price growth accelerated in June. Prices were up 11.6% on an annual basis.
In the year to June, the average market price paid by households for a dwelling was €258,544. In Dublin the average sales price was €401,890.
