Property price boost for those living near Dart and Luas lines

Homeowners living close to a Luas or Dart station get a 6 per cent property price boost, according to new research undertaken by the property website Daft.ie.

The study, which reviews almost one million listings over a 10-year period, also shows a 2 per cent rental premium for landlords with properties close to stations.

The price boost differs by area with a premium for both owner-occupied and rental properties situated close to Luas green line stations, but no increase in house prices on the Luas red line.

Properties within a kilometre of Dart stations command a premium of about 8 per cent compared to those more than 2.5km away. In the rental market, the price boost is between 1 per cent and 4 per cent and only impacts on those within 1.5km of a station.

The research finds that being near a commuter rail station does not have a positive impact on either prices or rents. Indeed, there is evidence of increased congestion cost for those living near to commuter stations.

Luas boost

Overall, the study indicates a greater premium for properties situated closer to Luas stations than train stations.

Daft’s study shows that homes situated close to areas in which train or tram stations are expected to be built can also gain a price boost.

The Cherrywood extension to the Luas for example, boosted prices by at least 10 per cent, with values rising even during construction, proving evidence of what study authors Ronan Lyons and Brian Higgins described as an "anticipation effect".

However, any boost from the Docklands Luas extension was confined to properties situated extremely close by, while the Saggart extension does not appear to have a positive impact.

Moreover, while properties close to Metro North stations jumped by as much as 8 per cent in value when the project was initially announced, this turned into a 20 per cent decline by 2010, when it was put on hold.