Lack of supply pushes up values by an average of 7pc
THE MARKET THERE has been a lack of supply in Roscommon Town in the past few years so locals were excited when a new development was launched last year.
The new three-bed bungalows were priced higher than their second-hand counterparts because of their A-rating and high spec. At €235,000, only those trading up or retirees were buying them. First-time buyers were still looking at the older model that had a much lower price tag of €160,000. It was only when the old stock dried up that the first-timers started looking at the new builds.
They might be sorry they didn’t jump when they had the chance though, because local agent David Diffley of Property Partners Earley says there won’t be another new development in a while.
“All lands have been de-zoned so next window for zoning is 2021,” says Diffley. “There cannot be more supply in the meantime, only in existing sites. The building and planning phase could take another two years before anything new will come to the market.” House values went up by an average of 7pc last year in Roscommon, which Diffley puts down to the lack of supply.
If there’s not much to buy in the county, there’s even less to rent because owner-occupiers are buying up properties at the lower end of the market that would have traditionally been rentals. An average three-bed in Roscommon would be about €850 to rent, going up to €1,000 for better addresses.
After Roscommon Town, Diffley says sales in Strokestown were strongest. Many homeowners in the county work in Athlone which is only half an hour from Roscommon town or 40 minutes from Strokestown.
There weren’t too many holiday home sales in 2018, but those that did sell were in either Ballyfarnon near Kilronan Castle or Boyle.
Land sales were strong last year with Diffley noting that a number of young clients bought land holdings, which he believes is a positive for the county as young people commit to living and working there.
In the coming year, he predicts the lack of stock will push prices up by another 4pc on average.