The price of the average three-bed semi in County Clare rose by 7% in 2022, but local agents expect a slowing of the market in 2023, according to a survey by Real Estate Alliance.
Three-bed semi-detached homes in the county now cost an average of €230,000, up almost 7% on the December 2021 average of €215,000, the REA Average House Price Index shows.
The survey concentrates on the actual sale price of Ireland’s typical stock home, the three-bed semi, giving an up-to-date picture of the second-hand property market in towns and cities countrywide.
First time buyers made up 60% of the market in Q4 of 2022, with 8% of sales coming from outside the county.
“The length of time to sell high-end properties will continue to increase into the first quarter of 2023,” said Liam Browne of REA Paddy Browne, Ennis, who predicts that prices may fall by 5% in the coming year.
“With a lack of new and second-hand 3 bedroom semi-detached townhouses, which have been influenced by the increased cost in construction and the moratorium on evictions, investors who wish to dispose of their assets will restrict the number of new units coming into the market place.”
The actual selling price of a three-bedroomed semi-detached house across the country rose by 0.36% over the past three months to €291,667 – representing an annual increase of 8%.
However, house prices in Dublin have fallen slightly by -0.34% in the same period, as mortgage interest rate rises and cost of living increases stem the stream of potential homeowners.
REA agents throughout the country expect prices to rise by just under 3% on average in the next 12 months.
The property market is expected to enjoy a calmer 2023 as mortgage interest rate rises and cost of living increases affect buying ability, according to the nationwide survey.
In Dublin city, which is currently experiencing small price drops in certain areas, agents anticipate modest increases of 3.6% across the year.
This comes off the back of a 2022 which saw average house prices rise by 8% nationally and 5% in the capital – with feverish early year increases slowing down in the autumn and winter.
The country’s large towns experienced 10% growth last year, with 1.2% in the final quarter, and REA agents say that this will continue throughout next year, albeit at a slower pace, with growth of 3% predicted.
The majority of REA members feel that the scheduled changes to the Planning Acts will have little effect on market supply in 2023, due to the time lag between legislation and enactment.
