Advertising: Billy Mangan Tel: 022 42394
Co Cork property prices ‘to rise by 3.5% in 2019’
The price of the average three-bed semi in County Cork is expected to rise by 3.5% in the next 12 months, according to a survey carried out by Real Estate Alliance.
Prices in the county rose by 9.9% to €166,250 in 2018 – with a rise of 0.2% between September and December.
The REA Average House Price 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.
Traditional holiday home destinations such as Bantry are finding a new breed of Brexit buyer relocating from mainland Europe.
“There is a lack of supply for first-time buyers,” said John O’Neill of REA Celtic properties, Bantry, where time taken to sell has increased from 10 to 14 weeks.
“The lowest price the builder can get the house to market is €210-€215,000 which is too expensive for many first-time buyers.
“It is impossible to predict the 2019 market due to Brexit uncertainty.
“This year, three UK couples relocated from mainland Europe due to Brexit, purchasing properties under €200,000.”
Sarah O’Keeffe of REA O’Keeffe in Charleville said that the market continues to improve.
“Supply of property is a serious concern, and we believe a shortage of housing stock will continue to be an issue,” she said.
“It is likely there will be increased competition for property in 2019 due to reduced stock. Price appreciation is likely.”
REA Spokesperson, Barry McDonald said that Brexit uncertainty has had a major effect in some parts of the country, and in holiday home areas such as Bantry, buyers in the over €500,000 category are hedging their bets on a rise in sterling if there is no hard Brexit, which could give them 15% increase in value.”
The average semi-detached house nationally now costs €236,287, the Q4 REA Average House Price Survey has found – a rise of 0.6% on the Q3 2018 figure of €234,284.
Overall, the average house price across the country rose by 4.6% in 2018 – a decrease on the 5.4% recorded to September and indicating that the market is continuing to steady after an 11.3% overall rise in 2017.
Growth in the commuter counties also slowed to 0.38% in the last three months – an annual rise of 4.18% – with the average house now selling for €249,472.
This is an annual rise of €10,000 and growth of €2,000 in the last three months.
The highest annual increases (7.7%) were once again seen in the rest of the country’s towns which rose in selling price by an average of €10,000 in 2018 and which experienced a 0.85% rise in Q4 to an average of €157,717.
“In these areas, you largely have the perfect storm of affordability within the 10% deposit range, and no new homes as it is still uneconomical to build in many places,” said REA Spokesperson Barry McDonald.