16 May 2022

House prices rise in Carlow as property shortage bites

House prices rise in Carlow as property shortage bites

A total of 233 derelict residential units were located in Carlow in December 2021.  

A shortage of properties for sale saw the average price of a house jump by almost €28,000 last year, a report has found. 

Nearly one in 20 homes is vacant, despite the lack of supply, according to a wide-ranging analysis by GeoDirectory database.

The database was set up by An Post and Ordnance Survey Ireland to create a list of commercial and residential buildings.

Property prices rose in all 26 counties last year.

The national average house price during the year to last October was €321,596.

In 2021, 300 residential buildings were under construction in Carlow.

In Q4 2021, the vacancy rate in Carlow stood at 3.2%. This was lower than the national vacancy rate of 4.4%.  

In total, there were 90,158 vacant dwellings recorded in the State in Q4 2021, representing 4.4% of the national housing stock and a marginal 0.1ppt decrease since Q4 2020. Year-on-year residential vacancy rates decreased in 20 of the 26 counties.  

GeoDirectory defines a derelict building as one which has typically been dormant for several years and requires structural work or reconstruction before it can be re-occupied. A total of 233 derelict residential units were located in Carlow in December 2021.  

In December 2021, there were 22,096 derelict residential units across the country. This represented a 7.3% drop in the number of units since December 2016.  

The average residential property price in Carlow was €210,690 in the twelve months to October 2021, with a total of 449 transactions taking place. Looking specifically at the towns in the county, the highest average residential property price was in Carlow Town at €215,281.   

The average residential property price rose in every county over the period in question. The average national (not mix-adjusted) house price during the 12-month period to October 2021 was €321,596, an increase of 9.4% on the equivalent 2020 figure.

Dublin remained the most expensive location to buy a house in Ireland, with an average price of €496,652. Neighbouring counties Wicklow (€428,493) and Kildare (€338,874) were the only other counties with residential property prices higher than the national average.  

The lowest average house price over the 12 months to October 2021 was recorded in Longford, at €142,298. This represents an increase of 64.3% vis-à-vis the average house price in Longford during the corresponding 12-month period in 2016 (€86,598). 

Commenting on the findings of the latest Residential Buildings Report, Dara Keogh, CEO of GeoDirectory said:

“Covid-19 has proved to be a substantial speed-bump for the delivery of housing supply in Ireland. The knock-on impact of the closure of construction sites in early 2021 can be seen in the relatively low number of new address points added to the GeoDirectory database, which was down 17.4% on the previous year.

“However, residential construction activity has rebounded strongly since reopening fully in April, with 19,495 buildings recorded as being under construction in Q4 2021, the highest figure recorded since we started this report in 2014. This indicates a strengthening residential supply pipeline going into 2022.” 

Annette Hughes, Director, EY Economic Advisory said:

“The level of housing supply coming onto the market in 2021 was well short of what was needed to meet demand. While the data around residential construction activity in the latter half of 2021 is extremely encouraging, there is still exceptionally high levels of demand in the housing market.

“This is evident from the significant increase in the average house price, up 9.4% nationally, with price increases recorded in every county. Based on our analysis for this report, the 90,158 vacant residential properties and the 22,096 derelict residential properties across Ireland should be investigated to ascertain if they can be returned to the housing stock, a move which would also support our retrofitting targets.” 

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