Property prices rise in Ireland during July

Property prices in Ireland rose by 0.9% during July in comparison to the previous month, according to new data from the Central Statistical Office.

However, the official statistics indicate that values in Dublin growth are cooling.

Ups and downs

Year-on-year to July, property prices in the country are 9.4% higher, but in Dublin, growth was 9%. This represented the first time since the middle of 2013 that property prices in the capital city rose by less than 10% during a year.[1]

By month, Dublin’s house prices rose by 0.6%, with apartment prices rising the most substantially at 2.7%. A Central Statistics Office spokesman said that it should be noted that the sub-indices for apartments are based upon small volumes of transactions and therefore have larger volatility than other series.

Outside of the capital, residential property prices rose by 1.2% during July, with prices 9.6% up over the year.[1]

Nationally, residential property prices were 36.9% lower than they were at their peak in 2007. In Dublin, prices were 36.3% lower than their peak level. For apartments alone, prices were 40.6% less and Dublin residential property values were 37.9% down.[1]

Property prices rise in Ireland during July

Mortgage impact

Dermot O’Leary, chief economist with Goodbody Stockbrokers, said it was widely expected that prices outside of Dublin would rise at a higher rate as new mortgage regulations take effect in the capital. ‘We expect further moderation over the coming months, with the slowdown in price inflation to be particularly felt in the capital,’ he stated.[1]

Experts are now tipping that residential property prices are more than likely to dip towards 5% by the end of 2015.

[1] http://www.propertywire.com/news/europe/ireland-property-price-index-2015090310939.html