House prices have risen 5.5 per cent over the last year, Sherry FitzGerald said, in the latest sign the squeeze in the property markets shows no sign of easing.
The increase is well above the 3.4 per cent rise in the previous 12 months, the estate agent said in a statement. Price growth has more than doubled to 5 per cent while outside the capital the growth rate is at 6 per cent, up from 4.6 per cent a year ago.
[ Irish house prices now 10% above their boom-time peakOpens in new window ]
“The latest figures demonstrate a notable increase in the value of second-hand homes across Ireland, with strong growth in both urban and rural areas,” Sherry FitzGerald managing director Marian Finnegan said. “The market faces significant challenges, particularly with the decline in transaction activity as a result of persistent supply shortages.”
In a sign that the shortage of homes for sale may be worsening, Sherry FitzGerald said the volume of sales fell 10 per cent in the first three months of 2024 compared to a year ago. There were 27 per cent fewer second-hand homes for sale in January this year than 12 months earlier, it added.
The research also points to worsening issues in the rental market. More than one-third of sellers in the first half of the year were investors offloading their properties, suggesting fewer homes will be available for rent.
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