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New homes are being built in Ireland but prices are not falling; housing crisis continues to rage

DUBLIN: Many new homes are being built in Ireland, but they will not be affordable due to the high cost. Housing prices have soared in all parts of the country, including the capital, Dublin, in recent months. According to the latest figures from the Central Statistics Office, residential property prices climbed 4.5% in April, compared to a 3.5% rise in March.

Rising property prices put more pressure on first-time buyers, prompting some to wait until they are older to buy with a partner. Prices increased by 4.5% across the country in April. Surprisingly, this is the case at a time when the country witnessed the fastest pace of house inflation in more than two years.

39,165 home purchases till April

According to the CSO, 39,165 homes were bought in the year to April. One-third of these were first-time buyers, while 54% owned at least one home. 13.8% of homes are owned by non-occupiers, including cuckoo funds, local authorities and government-backed housing bodies.

There were 936 first-time purchases in April of this year. This represents a 16.1% rise over the 806 reported in April of last year, the CSO said.

Dublin price figures

CSO figures show property prices in Dublin are up 3.5%, while outside of Dublin they are up 5.4%. In Dublin, house prices rose 4.1% and apartment prices rose 0.9%. Dublin City saw the highest house price growth in Dublin, at 5%, while Fingal and South Dublin saw a 3.2% increase. The median price in the Dublin region was €390,000.

It’s not easy to buy a home when you’re young!

Statistics show that it is not easy to buy a house when you are single due to high price. According to a CSO analysis on buyer characteristics, buyers prefer to purchase jointly with a partner. The average income of joint buyers in 2019 was €81,500, the report said. CSO understands that the high cost of housing, the difficulty of obtaining a mortgage approval, and the tight supply are responsible for the changing characteristics of buyers.

The typical age of joint buyers has risen from 35 in 2010 to 38 in 2019. The average age of single buyers rose from 34 to 42 years during the same period. According to the CSO, joint purchases accounted for 62% of total purchases in 2019, up from 47% in 2010.

High price in Dún Laoghaire, low in Leitrim

The highest median price paid by joint homebuyers in 2019 was €565,000 in Dún Laoghaire. The lowest was in Leitrim, where the price was €130,000.

Statistics show that the typical incomes of joint buyers with children was €81,500 in 2019, while the incomes of joint purchasers without children was €77,900.The average income of single buyers without children was €42,600.

Nine out of 10 people who said their address was in Cork at the time of purchase were able to purchase property in Cork, the CSO said. A similar trend was found in Dublin between 2010 and 2019.

Ban on evicting tenants is only on ‘paper’

There have been calls for the Government to develop a strategy to help renters. There were reports that landlords have issued notices to more than 1,100 households over the last 10 months, despite the government’s ban on evicting renters.

The Residential Tenancy Board (RTB) figures show that 3,800 households have received rent arrears warning notifications since last August, while 1,122 households have received notices of termination of their rental tenancy.

Labour’s Rebecca Moynihan called for a comprehensive housing strategy for renters. Ms. Moynihan called for greater security of tenure for tenants, a short-term rent freeze, and more affordable housing for tenants.

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