MyHome.ie has said a cautious approach should be adopted when analysing the latest property price figures from the Central Statistics Office.
The CSO figures for July show that overall property prices rose marginally in July while Dublin prices fell by 0.3%.
“This is a snapshot of the market in July and we don’t believe too much should be read into the figures. The new Property Register which will record actual transaction prices is due to start next month and that is a very welcome development,” Angela Keegan, MD of MyHome.ie said.
“To be honest we are a little surprised by the figures. While we welcome the recent trend towards moderating price falls and greater price stability we are somewhat surprised by the overall increase in prices and also the modest fall recorded in Dublin.
The picture we are seeing on the ground is of supply shortages in certain urban areas and rising rental prices. Conversely the situation with regard to newer developments in rural locations is one of excess supply and large price falls” she said.
“According to the CSO there is a 10% difference between the drop in residential prices in Dublin and the rest of the country. Dublin prices have fallen 57% since the peak while in the rest of the country prices have fallen by 47%. In addition cash sales which currently make up about 30% of transactions are not included in the CSO figures. From talking to agents all over the country and studying the prices achieved in these transactions we believe property prices outside of the capital, still have some way to fall,” Keegan concluded.
