A residential property market report from Dublin in the first quarter of 2023 has found that, for the first time, most buyers of homes in the region of the capital were non-Irish.
According to the findings of Owen Reilly Estate Agency Services, with regard to the nationality of purchasers, Irish people bought just 35% of the residential properties in the period, down from 65% in the last quarter of 2022
Europeans accounted for 45% of residential purchases, more than doubling their share in the last quarter (18%) – while Asian buyers also quadrupled from 3% to 13% of all residents bought, while U.S. buyers dropped from 12% to just 4%.
Source: Owen Reilly Dublin Residential Market Report Q1 2023
The report also found that the percentage of homes being sold to investors had climbed to almost 3 in 10, with 29% of residential sales being to investors, while 71% were to owner occupiers.
“Many are investing in property instead of the volatile stock market and because of the perceived crisis in the banking sector,” the report said.
Correspondingly, 42% of buyers paid for the home in cash (up from 35% in the previous quarter), with 58% requiring a mortgage. The average household salary of the clients for the agency was €149,868, 12% lower than Q4.
Despite “strong demand from owner occupiers, especially first-time buyers” Owen Reilly found that the “average selling price was 4.5% above asking prices, compared to over 5% in the previous quarter,” a trend also reported elsewhere.
The trend of private landlords leaving the property market was evident: “84% of our sellers were landlords exiting the market. This will now accelerate as the tenancy termination ban has ended,” the report said.
Average rental in the jurisdiction was €2,322 per month in the first quarter of 2023, up 4% from the last quarter, while the estate agent said “66% of our tenants are working in the technology sector compared to 78% in Q4”. The average age for tenants was 34.
The report said that the average selling price in Q1 2023 was €477,577 (€635,559 in last quarter).