THE upward trend for house prices continues with the average second-hand three-bed semi-detached in Co Mayo increasing from €167,000, or by 1.5 percent, to €170,000 over the last three months.
This is lower than the average national increase of 4.1 percent – €264,056 – representing an annual increase of 12 percent.
That is according to a national survey by Real Estate Alliance (REA), which has also shown that the average time to sell such properties has fallen from four works to two weeks. The figures are based on REA’s quarter three 2021 Average House Price Index.
Interestingly, whilst the average price in Westport is higher than in the rest of the county, it has remained unchanged at €247,500 during this period. Meanwhile, prices in Castlebar rose by a minuscule 0.3 percent to €168,000.
“Demand is extremely strong at all levels of the market, in particular at the higher end, and supply is accounting for a large portion of the upswing in prices,” said Robert McGreal of REA McGreal Burke.
“This supply driven increase is due to continue as the lead-in time for new developments and the increase in cost of construction are pushing those who would usually take advantage of buying a new dwelling or building themselves on top of the traditional second-hand purchaser,” he said.
Nationally, average house prices have risen by €3,500 per month since the end of June, with selling prices in commuter areas and small towns increasing by over double the growth experienced in the major cities.
The survey concentrates on the actual sale price of Ireland’s typical stock home – the three-bed semi-detached – as offering an accurate picture of the second-hand property market in towns and cities countrywide.
Unsurprisingly, with the pandemic new normal culture of remote working, prices rises are higher in rural than those being experienced in the major cities, with Dublin increasing by just 2.3 percent to €467,000; and Cork, Limerick and Galway by an average of 2.4 percent to €281,750.
REA spokesperson, Barry McDonald, said:
“With an exceptional shortage of stock, demand is being fuelled by an increase in mortgage-approved buyers on the market.
Significantly, for Co Mayo, he added: “The rural flight, which began during lockdown, shows no signs of letting up, even in the face of a return to office working.”