Rate of house price decrease slowing
Average national house prices fell by 1.1% in July, compared to reductions in June (-1.5%), May (-1.3%) and April 2009 (-1.9%).
However, in the first seven months of 2009, national house prices have fallen by 8.7% which compares to a reduction of 5.2% in the same period in 2008, according to the latest edition of the permanent tsb / ESRI House Price Index.
Measured over the 12 months (year on year) to July, national prices were down by 12.5%. This compares to a decline of 11.7% recorded in the 12 months to June 2009.
The average price for a house nationally in July 2009 was €238,828, compared with €261,573 in December and a peak of €311,078 in February 2007.
“The property market has remained sluggish through the summer months as reflected in low transaction levels and continuing price declines,” said permanent tsb general manager business strategy Niall O’ Grady.
“Prices have now fallen by 24% since February 2007 and despite lower interest rates and improved affordability, customer confidence in the property market needs to improve before we can expect increase in activity”.
Dublin house prices fell by 2.2% in July while there was a reduction of 1.2% for houses outside Dublin. In June the relative price changes were -1.3% and -0.7% respectively.
House prices were reduced by 17.1% and 11.1% in the 12 months to July 2009 in Dublin and outside Dublin respectively. The equivalent rates to June were reductions of 15.8% and 10.4% respectively.
Through the first seven months of 2009, prices in Dublin and outside Dublin fell by 10.9% and 6.5% respectively.
The average price for a house in Dublin and outside Dublin in July was €312,822 and €209,485 respectively. The equivalent prices in December were €351,096 and €223,984.
House prices for first-time and second-time buyers fell by 0.9% and 1.1% respectively in July 2009. In June the equivalent rates showed reductions of 1.7% and 1.0%.
House prices were reduced by 19.2% and 9.7% year on year to July 2009 for first-time [FTB] and second-time buyers [STB] respectively. The equivalent rates to June were a fall of 18.8% and 9.0% respectively.
In the first seven months of 2009 prices for FTBs & STBs have fallen by 11.5% and 6.9% respectively.
The average price paid by a first-time buyer and a second-time buyer in July 2009 was €198,411 and €275,894 respectively. The equivalent prices in December were €224,153 and €296,302.
House prices for new and existing houses were reduced by 0.1% and 1.5% respectively in July 2009. In June the relative price reductions were 0.3% and 1.9%.
New and second-hand house prices fell by 10.4% and 12.9% respectively year on year to July 2009. The equivalent rates to June were minus 10.5% and minus 11.8% respectively.
In the first seven months of 2009 new and existing house prices were reduced by 8.5% and 7.4% respectively.
The average price paid for a new house in July 2009 was €243,719, while that for a second-hand house was €237,847.
The equivalent levels in December were €266,466 and €256,956.
