'Thirty two people viewed the house but only one person can buy it. You can see the disappointment on their faces'

GETTING your foot on the housing ladder has probably never been as difficult in Limerick.

The Leader spoke to prominent local estate agents - Lisa Kearney, Rooney Auctioneers; Ailbhe O’Malley, Sherry FitzGerald Limerick, and Tom Crosse and son Paul, GVM Auctioneers.

All agree prices in the residential market have increased in 2024 and there simply isn’t enough supply. Behind every sale agreed there are many disappointed prospective buyers.

Ms Kearney recalls a semi-detached property off the South Circular Road that she advertised for sale at €400,000 during 2024.

“Thirty two people viewed it over three different nights but only one person can buy it. It made €510,00 -  €110,000 over the asking price because of bidding. So 31 of those other buyers, I have to meet again and try and find a house for them.

"I keep meeting the same couples over and over again - we've a friendship and a relationship built up -and then you feel bad because you have to ring X and say you didn't get it again. You can see the disappointment on their faces. It's horrific. There is a huge human side of it,” said Ms Kearney.

The head of residential and new home sales said the couples are working their backsides off, saving, planning for weddings or kids.

“It's really hard, really hard,” said Ms Kearney. The flipside is when the sold sign is erected.

“The delight when you finally do get them a house is fantastic but it's trying to get the house,” she said.

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Ms Kearney, who is president of Institute of Professional Auctioneers & Valuers (IPAV), said there was a little increase in supply in 2024 which is positive but “nowhere near where we need”. 

“Our population is growing all the time and especially in Limerick - you've all the multinationals, UL, Mary I and TUS which are an absolutely huge draw. More and more people are coming to get their education here. So with them comes housing. I've had mums and dads throughout the year buying or trying to buy apartments, terraced houses or semis for their kids,” said Ms Kearney.

She says it is due to the cost of student rent and the difficulty even getting accommodation in the first place. These sales are once again squeezing those in the middle trying to buy their first house.

“The middle market, that kind of €300k bracket up to about €550k, is absolutely soaring. There's a big, big demand there,” said Ms Kearney, who sold Bloomfield House in Castletroy (pictured below) for €770,000.

Ailbhe O’Malley said that according to the Sherry FitzGerald Price Index, annual price growth in Limerick at the end of September 2024 stood at 6.1%. 

She said over the first nine months of 2024, approximately 785 new dwellings have been completed across county Limerick.

“This is a significant increase of 43% when compared to the first nine months of 2023. This is in contrast to the decline which has been recorded for Ireland. Despite this improvement in output, demand for new dwellings in the Mid-West region far exceeds the level of completions,” said Ms O’Malley.

The Sherry FitzGerald Limerick branch manager noted there were just 420 second-hand homes available for sale in Limerick in July 2024. 

“This represents a mere 0.5% of the county’s housing stock. Comparing this with the same period in 2023, second-hand stock advertised for sale has fallen by 17.3%. Comparing to 2020, stock for sale has fallen significantly by 38%. 

“The housing market continues to grapple with significant challenges as we move into 2025. Despite the increased interventions undertaken by the government in recent years to address shortages in the market, significantly more needs to be done to address supply and affordability, and must be a key focus of the new Government when formed,” said Ms O’Malley.

She said the higher end of the market was active this year with a selection of buyers from both home and further afield. 

“Limerick is seen as an attractive place to live due to excellent education options, great road network and access to Shannon Airport,” said Ms O’Malley, who sold 5 The Demesne, a detached residence on the grounds of Adare Manor (pictured below), in 2024 for €2,292,500.

Tom Crosse said it's been a very buoyant year, “probably as good as a year as we have seen in the residential market for quite some time”. 

He said pricing has now exceeded Celtic Tiger times. 

“A new three-bed semi back in the Celtic Tiger era was around €320,000. Now a new 3-bed semi is between €400k and €435k. When I started in the business, a guard could buy a three-bed semi based on the multiplier of salary,” said Tom Crosse.

Son, Paul Crosse, said now you need a couple with a combined salary of €100,000 as well as the deposit, the help of a scheme or the bank of mum and dad.

“People that can't reach €400k / €430k for a three-bed semi have probably gone into the second-hand market,” said Paul Crosse, who sold 50 houses in the new development at Greenpark, South Circular Road (pictured below).

In turn, this puts pressure on the second-hand market which is already at boiling point.

Tom Crosse said they are seeing eight to 10 per cent price growth year-on-year in the new and second-hand stock.

“Your mortgage will be less than rent and you have security of tenure so there's every reason to buy a house, but obviously it's a challenge,” said Tom Crosse, who expects prices to plateau in 2025.

“We’re looking forward to this year with a lot of positivity as well. We sold a lot of new homes in Limerick in 2024 - Greenpark, South Circular Road; Newtown Meadows, Castletroy and Knockhill, Ennis Road,” said Mr Crosse. 

A lot of first Christmases have been spent in houses to call home thanks to Ms Kearney, Ms O’Malley and the Crosses and there are many hoping 2025 is their year to get the keys to their own  home.