Price of average three-bed semi expected not to rise in Offaly in 2023

THE price of the average three-bed semi in Offaly is not expected to rise in the next 12 months, according to a survey by Real Estate Alliance.

Three-bed semi-detached homes in the county now cost an average of €215,000, up 5 per cent on the December 2021 average of €205,000, the REA Average House Price Index shows.

However, house prices in the county were static in the last quarter of 2022 as rising interest rates and cost of living increases combined to dampen the market.

REA agents believe that this will continue to be the case in 2023.

The 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 second-hand property market in towns and cities countrywide.

First time buyers made up 40pc of the market in Q4 2022, with 20pc of buyers coming from outside the county.

Across the county, the average time taken to sell in the past three months is five months, the REA Average House Price Index shows.

The actual selling price of a three-bedroomed semi-detached house across the country rose by 0.36pc over the past three months to €291,667 – representing an annual increase of 8pc.

However, house prices in Dublin have fallen slightly by -0.34pc in the same period, as mortgage interest rate rises and cost of living increases stem the stream of potential homeowners.

REA agents throughout the country expect prices to rise by just under 3pc on average in the next 12 months.

The property market is expected to enjoy a calmer 2023 as mortgage interest rate rises and cost of living increases affect buying ability, according to the nationwide survey.

The majority of REA members feel that the scheduled changes to the Planning Acts will have little effect on market supply in 2023, due to the time lag between legislation and enactment.

In Dublin city, which is currently experiencing small price drops in certain areas,  agents anticipate modest increases of 3.6pc across the year.

This comes off the back of a 2022 which saw average house prices rise by 8% nationally and 5pc in the capital – with feverish early year increases slowing down in the autumn and winter.

The country’s large towns experienced 10pc growth last year, with 1.2pc in the final quarter, and REA agents say that this will continue throughout next year, albeit at a slower pace, with growth of 3pc predicted.