• August 4, 2021
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Some Increases in house prices over the past year have been described as “more or less unprecedented” compared to the past 15 years. Nationally, the latest figures from Daft.ie show the average house price rose by 13% (nearly €33,000) in the last 12 months.

Cork, Limerick and Waterford have seen increases of between 14% and 16%, while Dublin prices have increased by 8.4%. In Dublin, average prices range dramatically – from €624,143 in the south of the county to €327,870 in the west county. Prices are up in every county, with average prices now ranging from €369,444 in Wicklow to €145,977 in Leitrim.

One of the major reasons for the rising increases is the pandemic, with Daft report author Ronan Lyons saying housing supply “ground to a halt” while demand “surged”.

When the pandemic hit last year, many commentators predicted a significant downturn in housing demand due to falling incomes and higher rates of unemployment.

However, the opposite has happened, with demand accelerating on foot of remote working and increased savings. Supply, meanwhile, has been hampered by restrictions, adding to existing pressures in the market.

This may ease over the next few months, but we won’t see it bouncing back to previous levels immediately – meaning there’s a longer recovery ahead before house prices normalise.

Full report here