Price of a three-bed semi in Limerick city continues to rise

Maria Flannery

Reporter:

Maria Flannery

City prices: Average semi-detached house now stands at €200,000

City prices: Average semi-detached house now stands at €200,000

THE PRICE of an average three-bed semi in Limerick city has risen again in the last three months. 

This time, it’s an increase of 4.2 percent to €200,000, according to a national survey carried out by Real Estate Alliance.

And the average three-bed semi-detached house in the county now costs €149,000, an increase of 0.7 percent so far this year.

“Prices have increased in the first quarter of 2018, but we are expecting them to level off over the next few months due to the commencement of new home developments which will offer greater supply,” said Michael O’Connor of REA O’Connor Murphy Auctioneers, who are based on O’Connell Street in the city.

The Q1 REA Average House Price Surve concentrates on the actual sale price of Ireland’s typical stock home, the three-bed semi, and aims to give an up-to-date picture of the property market in towns and cities countrywide as of the end of last week.

The figures from the Treaty City are still below the national average price for a three bedroom semi-detached house, which is €229,111.

The national figure represents an overall rise of 1.5 percent compared to the end of last year, when an average semi cost €225,806.

In the last 12 months, the average house price across the country rose by 9.1 percent – indicating that the market is steadying after the 11.3 percent overall rise in 2017.

While in Dublin, the rate of increase in three-bed semi-detached home prices slowed to just 0.5 percent in the first three months of the year.

The average house in Dublin now stands at €440,000 – exactly twice the Central Bank’s €220,000 mortgage deposit threshold.

“The Dublin market has become quite price sensitive, even though we are seeing healthy demand and good liquidity with plenty of mortgage lending,” said REA spokesperson Barry McDonald.

“What we may be seeing, after the rapid increases of recent years, are the Central Bank mortgage lending restrictions imposing an upper level on purchasing power for some buyers.

“We are experiencing strong demand across the board, and homes are reaching sale agreed in just five weeks across the country – which is good news for both buyers and vendors.”