5,000 new homes are still not enough for de­mand

Irish Independent - - News | Housing - Gavin McLough­lin

Al­most 5,000 new dwellings were built in the third quar­ter – a 23.4pc in­crease on the same pe­riod last year.

But they are still short by about 20,000 homes, ac­cord­ing to in­dus­try ex­perts.

CSO data said the to­tal num­ber of new dwellings built in the first nine months of 2018 was 12,582 – an in­crease of more than 27pc on 2017 but still well be­low what an­a­lysts be­lieve is re­quired.

In the quar­ter, the num­ber of new apart­ments built ac­tu­ally de­creased com­pared to last year.

The fig­ures are based on ESB con­nec­tions. The CSO said it ac­cepted that this met­ric has been over­stat­ing the num­ber of new dwellings, and so it has ad­justed the fig­ures to ac­count for that.

The In­sti­tute of Pro­fes­sional Auc­tion­eers & Valuers, said while go­ing in the right di­rec­tion, the fig­ures are still way short of what is re­quired.

Pat Davitt, chief ex­ec­u­tive of IPAV, said if yearly de­mand

for homes is up to 40,000 then the end of year fig­ure for new dwellings com­pleted is likely to fall short by be­tween 15,000 to 20,000.

“And that doesn’t take ac­count of the short­ages built up over re­cent years,” he said.

“What is pos­i­tive in to­day’s CSO fig­ures is that more homes are com­ing on stream in the ar­eas of greater need – ur­ban ar­eas.

“How­ever, it re­mains the case that more new homes are needed in both ur­ban and ru­ral ar­eas,” he said.

Chal­lenge

Aaron Wil­lis, gen­eral man­ager of Gloun­thaune Prop­erty De­vel­op­ers, said: “This in­crease is wel­comed, but it does not make up for the fact con­struc­tion de­creased by over 50pc in the last decade.

“What is for sure is that the in­dus­try will rise to the chal­lenge and we will en­sure the in­creased vol­ume will be met.

“How­ever, we now need a sus­tained ap­proach start­ing with the over­haul­ing and improve­ment of pro­cure­ment routes, cou­pled with a de­tailed un­der­stand­ing of Gov­ern­ment’s plans for build­ing in Ire­land, so that the in­dus­try can plan ahead.”

Short­fall: New dwellings com­pleted this year likely to be 15,000 short, says Pat Davitt

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