REPORT SIGNALS SLOWDOWN IN PROPERTY PRICE INFLATION

A modest slowdown in asking price inflation has continued, with the market constrained by poor supply and impacted by both positive and negative factors, according to the latest quarterly house price report from MyHome.ie in association with Davy.

The Q1 2023 report found that annual asking price inflation slowed to 3.2% nationwide, 0.6% in Dublin, and 5% elsewhere in the country. The report also found that asking prices dropped by 0.3% in the quarter nationally and by 0.8% in Dublin. Both companies state that there was a marginal gain in asking prices of 0.2% outside Dublin, partly because stock levels are still very low. Conall MacCoille, Chief Economist at Davy, said the data suggested that pandemic-era valuations were now cooling off; however, Ireland’s property market was not in freefall and would likely fare better than the UK and US markets in the coming months.

Joanne Geary, Managing Director of MyHome.ie, said that housing supply was still the elephant in the room, with stock levels remaining a major concern.