House prices in Offaly have fallen by 11% in the first quarter of 2013 compared to a fall of 14% seen in the year to March 2012. The average house price is now €129,000, 57% below peak levels.
That’s according to the 2013-Q1 report published by property website Daft.ie. The fall in prices in Offaly is in line with the national trend however asking prices in Dublin in the first quarter of 2013 were up 0.5% on a year previously. This is the first time since early 2007 that asking prices increased in a twelve-month period. For the country as a whole, the annual rate of falls in asking prices eased to 6.6%, down from 15% a year ago.
This means that prices are on average 54.7% below their peak in 2007. The small annual increase in asking prices in Dublin is not seen in other cities, where prices are down by between 9.8% in Cork and 14.6% in Waterford. In Galway, asking prices are down by 10.7% while in Limerick they are down by 12.9%. Outside the cities, prices were down by roughly 10% on average, although the fall was greater in Connacht-Ulster (15%) than in Leinster (8.5%) or Munster (9.5%).
Figures for time-to-sell indicate that there has been some improvement in market conditions over the past 12 months, with 40% of properties finding a buyer within 4 months, compared to 33% a year ago. In Dublin, 55% of properties find a buyer within 4 months.
The total stock of properties sitting on the market nationwide is 43,000. This is its lowest level since mid-2007 but based on figures from the Property Price Register, this still represents just over two years of transactions. In Dublin, however, there is the equivalent of just five months of transactions currently sitting on the market.
Commenting on the report, economist with Daft.ie Ronan Lyons said: “The latest figures show that the gap between prices in Dublin and those elsewhere is growing and growing quite rapidly. A year ago, a 4-bedroom detached home in South County Dublin was 2.6 times the prices of the same property in Mayo but that ratio has since risen to 3.5, well above levels seen at the bubble.
“On its own, the growing differential between Dublin and elsewhere signifies that first-time buyers are no longer prepared to sprawl and pay the costs of long commutes. But with prices actually rising again and only in certain parts of the country, this has even greater implications for the Government, as it suggests that there are not enough properties in areas close to jobs and other amenities that first-time buyers are looking for.” The full report is available from www.daft.ie/report and includes a commentary by Ronan Lyons, economist at Oxford University and author of the Daft.ie Report.