The price of the average three-bed semi in Galway city has risen 2.1 per cent to €245,000 in the last three months, and 9.9 per cent over the past year, according to the Q2 Real Estate Alliance Average House Price Index.
According to Robert McGreal of REA McGreal Burke, prices are increasing in the city due to limited supply of suitable housing stock, allied to fresh demand in the market due to an increase in financed purchasers.
House prices in the county have risen 3.8 per cent to €137,000, up from €132,000 three months ago.
Prices for houses in the county are increasing, with strong demand and supply limited, particularly in the larger towns and close to Galway city, according to REA McGreal Burke.
The REA average house price survey concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an up-to-date picture of the property market in towns and cities countrywide.
The average semi-detached house nationally now costs €215,269 – a rise of 2.5 pre cent on the Q1 figure of €209,944.
Overall, the average house price across the country has risen by 11.2 per cent over the past 12 months – in contrast to the 4.5 per cent increase registered to the full year to June 2016.
While new building is still in its infancy, new developments on sale in small pockets of the country have had an impact on the price and demand for second-hand properties locally.
“Agents have been reporting that where there are new homes available, the price of second-hand properties has been under pressure,” said REA spokesperson Healy Hynes.
“Most of our national housing stock is over a decade old, and house purchasers – especially first-time buyers – will opt for new builds at a higher spec, even if there is a marked difference in price.
“Our agents are also reporting that both purchasers and three-bed semi vendors are looking for larger homes, which is having an adverse effect on the supply chain, with the result that time taken to sell is now four weeks on average in Dublin and the major cities, and as low as three in some parts of the capital."
The price of an average house in Dublin rose by 2.6 per cent in the second quarter of this year with three-bed semis in the capital now taking as little as three weeks to sell.
The average three-bed semi-detached in Dublin city now costs €414,500, a rise of €10,000 (2.6 per cent ) over the last three months and an increase of 14.1 per cent over the past year.
The commuter counties Louth, Meath, Kildare, Wicklow, Carlow and Laois continued to rebound after a relatively static end to 2016 and saw an increase of 2.6 per cent in the quarter, with the average house now selling for €223,267.
Prices in the major cities of Cork, Galway, Limerick and Waterford rose by 1.9 per cent in Q2 and 9 per cent on the year, the survey found.
The biggest percentage increases over the past three months came in the country’s smaller rural towns situated outside of Dublin, the commuter belt and the major cities.
Prices here rose by an average of 2.8 per cent over the quarter, with a three-bed semi now costing €138,183 on average – a rise of 12.3 per cent over the past year.
Available for interview:
Robert McGreal, REA McGreal Burke, Galway city 087 9269190.
Media information: Darren Hughes, 086 293 7037, [email protected]