House prices nationally rose in 2023 across the country, but by the smallest increase since 2013 – but people ‘struggle’ to get mortgage approval from banks despite paying more in rent than what a mortgage would cost.
That’s according to Daft’s quarterly house price report, which found that the average listed house price rose by 3.4% in 2023 – and to commentary from the Institute of Professional Auctioneers and Valuers CEO, Pat Davitt.
Prices rose across the country, with the largest increases recorded in Connacht-Ulster, up 8.3%, and in Munster, up 6.8% – while prices rose just 2% in Dublin and 0.8% in the rest of Leinster.
Ronan Lyons, author of the House Price Report, and an economist at Trinity College Dublin, said that the 3.4% annual rise recorded nationally compared with a 6% rise during 2022 and increases of 8.1% and 7.7% in 2021 and 2020.
“With the exception of 2019, when prices fell by 1.2% on the back of increasing supply, it is the smallest increase in prices since 2013,” he said.
“Lack of price growth because there is sufficient supply to meet demand is, by anyone’s measure, a good thing. But lack of price growth when there is scarce supply ‐ simply because it is sufficient to meet weak demand ‐ is less welcome. That seems to be the picture facing the second-hand market in particular at the moment.
On December 1st, there were just over 11,100 homes for sale in the country. Two things put that in perspective. Firstly, it is very low compared to almost any point over the past 15 years. It’s in line with the volume of homes for sale in the fifteen months between March 2021, when Ireland started to emerge from its heavy lockdown, to May 2022.”
“But it’s dramatically below, for example, even the pre-covid19 average. Between 2015 and 2019 ‐ not a period known for abundance of homes for sale ‐ there were on average almost 25,000 homes for sale,” Prof Lyons commented.
Speaking to Newstalk, Pat Davitt, CEO of Institute of Professional Auctioneers and Valuers, said that it looked likely that house prices would continue “to move on in 2024 – unless something else happens in the marketplace”.
Mr Davitt told the station that many people are struggling to get their mortgage applications approved by banks.
“Despite the fact that they’re able to show that they’re paying a lot more rent than what a mortgage would cost, they’re still not able to borrow that extra money to be able to buy a property,” he said.
“It’s very unfortunate for a lot of people, I think, to have to stay in that situation when they could actually buy a house.”
Prof Lyons said that over the course of 2023, Ireland lost over 4,000 homes from its inventory, net of new listings.
“On the one hand, that suggests perhaps strong demand, despite everything. But in the 12 months to December 1st, the total number of homes listed for sale was a little bit over 51,000. In the preceding 12 months, it had been almost 57,000,” he wrote.
“Housing prices are stabilising not because supply has increased to meet demand, but instead because demand has fallen to meet it. Supply of newly built homes for purchase has certainly increased but the second-hand market, which is the larger share of the market, has been working in the other direction ‐ buffeted by changed economic conditions,” he said.
“With construction of homes seemingly set to remain high, compared to recent years, for the next year at least, drilling into the differential trends between the new and second-hand markets is a target for this report as 2024 begins. “
Loading ...
All part of the plan. You will own nothing and be happy. How’s prices won’t drop because blackrocks shills keep buying the property. Darragh O’Brien’s reit share price must be through the roof .
I agree with you! They are aiming for the WEF/UN 2030 agenda, where the western world will not have a middle-class, and will have mass immigration, where there will be a majority of immigrants. It is their plan, that noone will own their own house or appartment and these can be only be rented by the Serfdom, from the elites (Vanguard owns a good percentage of Blackrock!)…, who are busy building secret bunkers in various mountain ranges. So, this is consistent with ‘affordable homes’ built by Irish taxpayers being sold by criminal uni-party politicians to international funds. ‘You will own nothing in 2030 and you will be happy, as you will have no choice to worry about’, why? Because your Taoiseach was a WEF-Puppet Varadkar or another clone from the uni-party! The comment by Piketty, another Obama favourite, https://www.theglobalist.com/piketty-on-immigration/ shows how we can expect the average wage to develop based on immigration patterns, as the US happening are now being parodied to other western nations.They are implementing a lower wage limit of 20 dollars in the US blue states. It is funny that they use the MacDonalds worker as the example of someone who profits from this, as their outlets are being completely automated there! The real intention is that the lower limit will serve as the upper-limit in most cases too! This is all obviously marxism for the riff-raff and Stalinistic leadership for the elites. But… the billionaires have not yet noticed that they will also be as expenable as Jack Ma was in the new world order!
Greed and compromised politicians and a fair % workforce on a NGOS salary who don’t want to lose their cushy numbers fake job and pension.
The system will fail the Irish on its current trajectory leading to greater resentment in working class communities
Once people realise the facade of the stock market and our national debt…
But people aren’t stupid. We know we’re being treated like 2nd class citizens whilst the 3rd class are being hoodwinked to believe their the new 1st class.
They want Irish people to be homeless and demoralised whilst our new migrants legal and illegal change the bloodline and culture.
What evil lurks
If you listen the economist and new Argentinian president Javier Milei: He will tell you that history has shown that the bigger the government, the poorer the population. This is a proven fact! NGOs are just an extension of the corruptist part of governments. But they extend government greatly, as government is measured on what percent of the total GDP flows into the administrative governmental tasks. Milei loves Adam Smith and the rest, like Keynes and Friedman (although Friedman said openly how and what they are doing!) are just messianic conspirators… which actually seems likely nowadays! My only problem with Milei, is that he sees the justified end-game as a monopolist driven economy and he sees this situation as totally legitimate and these monopolist as perfect people, who will re-invest their profits to save the social order of society. In his perfect world, he is correct… but in reality in the West, we see what happens to billionaires like Bill Gates or the Larry Page Google/Youtube or institutions like Vanguard and Blackrock. They begin to consider themselves as godly institutions and they misuse their money and also their power/influence to misuse our tax-money to circumvent the masses and to lead us into retrograde-situations, where the normal inherited human rights count for nothing. They want more and more control and money no longer becomes a consideration. It looks even worse in the private banking world, where there are no real rules, just control over such values as the price of currencies or precious metals. If I were to come to a consensus with Milei, as an economist, then we would need a special set of laws for the singularities of the industrial and financial monopolies! We would need limits on the amount of wealth a single individual would be allowed to own and also for what an individual company can own. This cannot be more than what a whole nation owns! In the political World, the least we would need are term limitations and even an end to the idea of a life-long politician! Corruption and family power, like in the case of von der Leyen or royals like Charles, needs to be broken! Another problem, Milei is going broke on the dollar at a time when the de-dollaristion is accelerating and the US are preparing to drop the dollar for a CBDC… this makes no sense, particularly as his manifesto rejects CBDCs! Also he is screaming his loud support for Israel, when they are obviously committing Genocide… no matter why they feel that it is an legitimate action! I think he will be forced very soon to reconsider many of his traditional libertarian policies! How does this all affect the Irish? I would prefer if the Irish would stand up as a non-brain-washed population…. but they don’t! Try discussing something with a blue-pink haired progressive student! For the average people, the disinformation pro-establishment RTE is their point of reference, even today, after all their faux pas! So we need to be saved by an anonymous international movement… like other eejit-nations. The Irish have simply forgotten their past experiences!