Average cost of NI home £162,000 as price growth rate slows to 1.5%
HOUSE price growth in Northern Ireland has slowed to 1.5% over the last year to reach an average of nearly £162,000, according to a survey.
The latest quarterly house price index report from Ulster University and Progressive Building Society said the housing market here was “relatively healthy” and prices were still affordable.
But it said price growth during July to September had been weaker than previous quarters, reflecting a slowdown in the housing market UK-wide and uncertainty in the economy in general.
South Belfast was the most expensive location in which to buy a house during the third quarter of 2018, with the average price paid at £241,982. However, North Belfast was the cheapest location, with prices of £118,985.
North Down was the second-most expensive location, with prices of £194,860.
Dr Martin Hinch, lead researcher at Ulster University, said: “The latest survey of the health of the Northern Ireland housing market suggests a slowing down in the rate of price growth to 1.5% over the year compared to the higher levels of increase earlier this year. This re-
flects a trend recorded elsewhere in the UK and seems to capture present uncertainty in the wider economy.”
Along with an average house price of £161,948 during the quarter, there had been 2,091 transactions during July to September — which researchers said was similar to the previous quarter.
Just under a quarter of all properties sold were at £100,000 or below, while 60% were at or below £150,000 — which Ulster University said demonstrated continued stability and affordability.
Semi-detached homes accounted for one-third of all deals, though the proportion of new builds was down from 28% in the second quarter to 19%. And estate agents told the survey that the top and bottom end of the markets were strong, though fewer buy-to-let purchases were being made. Buyers were also seeking properties that required little or no immediate work done.
Michael Boyd, deputy chief executive and finance director at Progressive Building Society, said: “After strong growth in the first half of the year, the NI housing market has consolidated with marginal increase in house prices of 1% compared to the second quarter of 2018. While there were weaker rates of price growth in the most recent quarter, overall the NI residential sector remains in a healthy position and the long term outlook is one of affordability where a sustainable local housing market can be maintained.”
Karly Greene of the NI Housing Executive, which commissions the research, said: “The analysis points to a generally stable market, albeit with some variation by property type and location.
“The research also underlines the need for, and the value of, continued investment in the new and existing housing stock to maintain the supply of quality dwellings necessary for a healthy housing market and sustainable residential property ownership.”