Rapid house price growth in Laois set to change in 2019

New REA survey reveals change in the market after a boom year

Leinster Express Reporter

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house prices

Market changing in Laois as house prices change.

The price of the average three-bed semi in Laois is expected to rise by 6% in the next 12 months but will fall back substantially on 2018 growth, according to a survey carried out by Real Estate Alliance (REA).

The Alliance says prices in the county rose by 18.2% to €195,000 in 2018 – the biggest county year-on-year increase, despite prices remaining stable between September and December.

REA says its 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.

“The market slowed quickly in quarter four, with lack of finance a huge problem,” said Seamus Browne of REA Seamus Browne in Portlaoise, where the time taken to sell has increased from five to eight weeks.

“Supply is continuing to grow, but sales have slowed. The market in Laois is very much impacted by what happens in Kildare and Dublin,” he said.

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.

REA says this is an annual rise of €10,000 and growth of €2,000 in the last three months.

The country’s major cities outside Dublin recorded the biggest rise of the quarter at 1.25%, an annual increase of 5.81%, with an average three-bed semi costing €252,500.

The survey found the biggest urban rise was seen in Galway city, where selling prices rose by 2.7% in the quarter to €282,500 – a yearly increase of 9.7%.

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.