Asking Prices continue their descent in the year to June but the pace of decline moderates significantly in Q2 2009.
Summary
- Nationally average asking prices fell by 14.66% in the year to June 2009 and Dublin average asking prices fell by 17.8% over the same period
- Nationally, asking prices have declined by 18.5% and by 23.3% on average in Dublin, since their peak
- Q2 2009 saw a significant easing in the rate of decline in asking prices, with the average asking price nationally falling by 1.5%, compared to a fall of 6.1% during Q1 2009, and in Dublin falling 2.3% compared to 7.4% in Q1
- During the first quarter of 2009, all sectors showed the biggest quarterly decline in asking prices since the inception of the Barometer
- The average asking price nationally now stands at €337,603 and at €409,448 in Dublin
- Report downloads
According to the latest Property Barometer issued by leading Irish property portal MyHome.ie, average asking prices across the country continued their decline in the second quarter of the year, although the barometer recorded a significant easing in the rate of decline in Q2 compared to Q1. In Q2, average asking prices nationally fell by 1.48% compared to a reduction of 6.13% in Q1. In the Capital, asking prices fell by 2.33% during the second quarter compared to a reduction of 7.4% in Q1. In the year to June, national asking prices fell by 14.66% from €395,597 to €337,603 and in Dublin the reduction was more marked with the average asking price falling from €498,194 to €409,448 or 17.8% over the same period. Since the peak of the market asking prices nationally have fallen by 18.5% and by 23.3% in Dublin.
The barometer also contains and analysis of the movement in asking prices of the two most popular property types in each county and major city. Overall many of the provincial cities faired well when compared to both the overall national and Dublin asking price declines. In Cork city, the average asking price for a 3 bedroom semi detached home fell by 10.7%, 4% less than the national average and 7% less than in Dublin. Two bedroom apartments in Cork performed even better, falling by 5.7% in the year to June and by just 0.5% in Q2. In Galway city, 4 bedroom semi detached homes saw a 12.76% decrease in asking prices in the year to June and a decline of just 0.75% during the second quarter this year. In Limerick city three bedroom semi detached homes fell by 6.6% year to June, less than half the national average and by 0.9% in the second quarter this year. Two bedroom apartments in Limerick saw their asking prices fall by 8.7% in the year to June but this property type did experience a larger than average decrease during Q2 with asking prices reducing 3.62%.
Commenting on the results, independent economist Paul Murgatroyd said "this latest edition of the Myhome.ie property barometer quantifies the weakness that the Irish residential market has seen over the last twelve months. The results are in line with the weakness the economy as a whole has displayed in that period, a period that will go down as one of the toughest in the State's history. Unemployment has doubled over the period in question and consumer confidence has fallen to an all time low, brought about by job losses, fears about future employment prospects, lower incomes and lower take-home pay as a result of two budgets during that period.
He continued "That said, in recent weeks there have been some tentative signs that some indicators, such as consumer confidence, may be in the process of bottoming out, and if that proves correct it will be an important milestone in this current recessionary period".
Angela Keegan, Managing Director of Myhome.ie added "the first three months of 2009 will be remembered as some of the darkest days for the Irish economy and the property market, and it is pleasing to see that the rate of decline in asking prices eased significantly during the second quarter this year. Obviously it is still too early to call a bottom to the current contraction but given some of the more positive economic news nationally and to a greater extent globally in recent weeks, it could be that the worst is now behind us, although property prices may decline further as 2009 progresses. Looking ahead, confidence and unemployment are going to continue to be the two big drags on the property market but it could be that we are edging just a little bit closer to a period of stabilisation in the market".
The report includes a four page county by county guide providing details of price trends for the most popular property types on sale. Most counties show a drop in prices for most property types over the last quarter but there are some examples of price stability in certain counties.
The MyHome.ie Barometer is compiled from asking price data collected from a quarterly snapshot of active, available properties for sale on MyHome.ie. This data has been processed using best practice statistical techniques to produce a weighted average of the key indices. The commentary has been provided by Independent Economist Paul Murgatroyd.
Report Downloads
- Full MyHome Property Barometer Report Q2 2009
- Market Analysis
- County by County Analysis
- Average Asking prices by Locality
- Percentage change of asking prices by locality
- City Market Spotlight (Includes: Dublin North, Dublin South, Dublin West, Cork, Limerick and Galway)
- Market Summary
- Indices and Methodology
ENDS
Contact Details and Further information from:
Paul Murgatroyd Angela Keegan
Independent Economist Managing Director
Phone: 0876998884 Phone: 01 8279400
