Home prices see annual increase of 3% in February – CSO

The price of residential property nationally rose by 3% in February, according to the latest figures from the Central Statistics Office.

This compares to an increase of 2.6% in January and a 1% increase in the 12 months to February of last year.

Prices were slower to rise in Dublin with an increase of 1.2%. Houses in the capital rose by 1.2% while apartments rose by 0.9%.

Outside Dublin, home prices rose by 4.7% with houses rising by 4.3% and apartments by 9.6%.

Two areas saw prices declines in February – Fingal (-1.2%) and the Border region (-0.8%).

The price of new homes, which is measured on a quarterly basis, showed an increase of 2% in the fourth quarter of 2020 compared to the same period in 2019.

This compares to an increase of 2.5% in the year to the fourth quarter of 2019. Prices for new dwellings rose by 1.6% in the third quarter of 2020.

The price of existing homes rose by 0.2% in the last three months of 2020 an annual basis. This compares to an increase of 0.3% in the same period of 2019. Prices fell by 1.6% in the third quarter of 2020.

A total of 3,205 properties were sold in February – a 7.4% increase on last year but an 8% decline on January. Second-hand houses made up 85% of properties sold, with new homes just over 15%.

First time buyers make up a third of purchasers, while 53.2% were movers and 13.5% were non-occupiers or investors.

The median, or mid-point, price nationally was €262,000. In Dublin, it was €385,000.

Dun Laoghaire Rathdown remains the highest priced area with a median of €538,000. Outside Dublin, the most expensive area is Wicklow at €355,000. The lowest priced area is Leitrim at €110,000.

The post code with the highest median price is A94 Blackrock, Co Dublin at €617,500.

Outside Dublin, it is Greystones in Co Wicklow at €355,000. The postcode with the lowest median price is Castlerea, Co Roscommon with prices of €85,000.

The CSO said that home prices nationally have increased by 88.5% from their trough in early 2013.

Dublin residential property prices have risen 95.3% from their February 2012 low and prices in the rest of Ireland are 89.8% higher than at the trough, which was in May 2013.

Dermot O’Leary, Chief Economist at Goodbody said the figures suggests there has been a shift in locational preferences due to the pandemic.

“Regionally, markets outside Dublin continue to outperform.

“The largest increase in the past three months has been in the Midlands.

“The pandemic has clearly brought about a dramatic shift in the way we live and work, with Ireland seeing the largest increase in people at home and largest decrease in people in workplaces in Europe according to the latest Google data.

“This shift will continue to have profound implications beyond the pandemic for housing, transport and the labour market,” he said.

Article Source – House Prices see annual increase of 3% in February – CSO – RTE – Robert Shortt

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