The price of the average three-bed semi in Tipperary rose by 7.2% to €151,375 in the last 12 months, according to a national survey carried out by Real Estate Alliance.And after prices increased by 2.6% between September and December 2017, local agents are predicting that property values will rise by 9.5% in the county in the coming year.
The average three-bed semi in Nenagh now costs €147,500 (+1.4% in 2017), Clonmel €167,000 (+4.4%), Newport €151,000 (+4.1%) and Roscrea €140,000 (+16.7%).
“There are increases in prices in some of the mature established areas in Clonmel,” said John Stokes of REA Stokes and Quirke in Clonmel.
“Any property under 200,000 is attracting excellent market appeal. First-time Buyers are active in the market and a considerable amount of people are trading up.
“There is a lack of supply for properties under €150,000-€200,000 with no building expected to start in 2018.”
REA Chairman Eoin Dillon of REA Eoin Dillon in Nenagh predicts that supply will tighten further with no new developments coming on stream till at least 2020.
Demand is just above supply in Roscrea, which is five years away from a new housing development commencing, according to REA Seamus Browne.REA John Lee in Newport also reported a huge lack of supply of suitable houses on the market in the area.
The REA Average House Price Survey concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an up-to-date picture of the property market in towns and cities countrywide.
The average semi-detached house nationally now costs €225,806, the Q4 REA Average House Price Survey found – a rise of 1.8% on the Q3 figure of €221,861.
Overall, the average house price across the country rose by 11.3% over the past 12 months – compared to 7.7% nationally in 2016.
The survey also found that agents throughout the country expect prices to rise by 7.5% on average in the next 12 months.“The heated market that we saw throughout much of 2017 has cooled somewhat and we are now in a period of more certainty,” said REA spokesperson Healy Hynes.
“A lack of supply is still the main driver of the market, with listings of second hand properties at a low level around the country.
“Anything that does go on sale is reaching sale agreed in a short period of time – five weeks on average and four weeks in Dublin city.
“However, this is not normal in a properly functioning market, where time periods of eight weeks to sale agreed are more common.”
The rate of increase in three-bed semi-detached home prices in Dublin slowed to 1.5% in the fourth quarter of the year as buyers look to new homes on the horizon.
The commuter counties also returned a restricted growth of 1.5% in Q4, and 10% overall for the year, following a relatively static 2016, with the average house now selling for €229,300.
The lowest increase in Q4 was reflected in the country’s cities outside of Dublin, where the grouping of Cork, Limerick, Waterford and Galway returned 1% growth, with average prices increasing by €2,375 to €238,625.
Towns throughout the rest of the country saw rises of 2.6% in the fourth quarter with the average three-bed semi now costing €146,633, up 12.3% from €130,600 in December 2016.
An increase in mortgage-approved buyers and the Help To Buy Scheme saw first-time buyers return to viewings in force over the past 12 months.
However, a shortage of suitable supply caused prices to appreciate, and REA agents in the capital are predicting that new homes will drive a bright outlook for the new year, freeing up some supply of second hand stock in the market.
Available for interview:
Eoin Dillon, Nenagh, 087 2052 716
Seamus Browne, Roscrea, 0872499570
James Lee, Newport, 086 2351221
John Stokes, Clonmel, 086 8213777
Media information: Darren Hughes, 086 293 7037, Darren@mediaconsult.ie