CSO Shows 9.6 Per cent Price Hike In Residential Property In July
According to the new data generated by the Central Statistics Office (CSO) showed a 9.6 per cent price hike in residential property in July. This is the highest growth rate in the past 21 months.
CSO also explained that the national residential property price index for residential property is 12 per cent higher than what it was in April 2007. It was the time when the country witnessed its last property boom.
(Also read: House Prices Touch Approximately 9% Inflation Till June, Said CSO)
Today, CSO data indicated that property prices in Dublin have escalated by 10.3 per cent as compared to the prices outside Dublin, which are 9.1 per cent.
The house prices in Dublin have become higher by 10.9 per cent whereas the apartment prices rose by 8 per cent till July. The comparisons were made for the period of the last twelve months.
CSO further added that the highest house price growth in Dublin was in South Dublin and in Dún Laoghaire-Rathdown at 12.1 and 8.3 per cent respectively.
Outside Dublin, a 9 per cent increment was witnessed in house prices while a 10.6 per cent increment was for the apartments.
The biggest price hike outside Dublin was in the Midwest at 13.4 per cent and the lowest was in the South-East with a 6.1 per cent rise. The regions included in the Midwest are Clare, Tipperary and Limerick while those in the South-East are Carlow, Waterford, Wexford and Kilkenny.
Moreover, the median or midpoint price range of a home was measured at €340,000 in the period of twelve months till July, according to CSO.
On the contrary, the lowest median price range of a home was measured at €171,000 in Longford and the highest was in Dún Laoghaire-Rathdown at €630,000.
It was predicted by the Central Bank of Ireland that approximately 52,000 new homes need to be built a year to meet the growing dwelling needs of the country.
Is Simon Harris’s plan about a 9.6 per cent price hike for residential property working?
Despite Taoiseach Simon Harris’s repeated reminders that 40,000 units would be built by the end of this year to meet the housing needs of Ireland, the Central Bank projected that the need for homes is even larger than the forecasts.
The housing completion projection launched by Quarterly Bulletin in September updated about the economy’s health on a regular basis. The latest bulletin implied that current completion only accounts for up to 32,000, 36,500 and 39,000 in the years 2024, 2025 and 2026 respectively.
CSO also mentioned that the most expensive area in July was recorded as ‘Dublin 6’ (D06). The median price over there was €750,000 and the cheapest was €140,000 in the ‘Castlerea’ (F45) area.
The CSO reports disclosed that Dublin’s residential property prices are 0.6 per cent greater than those in February 2007, which was the peak property time. Also, the residential prices in the rest of the country are overall 13.3 per cent higher than the peak time in May 2007.
The residential purchases filed in the month of July with revenue are 4,723 based on CSO data. The same data was 4,174 in the same month last year, showing an increase of 13.2 per cent since then.
Even after a 9.6 per cent price hike, the total value of July’s transactions was at €1.9 billion.
The number of existing homes is now estimated to be 75.8 per cent of the dwelling buying in July, which is an increase of 4.3 per cent compared with July of last year. It showed a balance of 24.2 per cent for the new dwellings and an escalation of 53.8 per cent compared with last year’s July.
