House Prices are Beating The Trends
In 2021 House prices in Ireland have increased by an average of €20,000 in the past year, roughly twice the rate of the inflation seen in 2018 and 2019. Why is this? Below I try to explain.
Supply and demand is what they call ‘basic economics’. In the latest property market report from The Irish Times, the total number of properties available to buy on March 1st this year was just under 12,000, the lowest level in 15 years. So why the shortage? In one word, Covid.
The fear of spreading Covid meant that vendors (sellers) decided to hold off putting their homes on the market.
Restrictions prohibited agents from carrying out viewings therefor very little properties were going sale agreed.
New Builds stopped due to restrictions so there was no properties for first time buyers, the most active on the market.
All these factors resulted in a limited amount of properties going up for sale which in turn meant the demand for these homes went through the roof. The report, which covers the first three months of 2021, found house prices were on average 7.6% up in year-on-year terms. The average sales price nationally was €275,751, up from €256,000 a year ago.
So what can we take from all these reports, figures and statistics? Well the main thing is that now is a good time to sell. Although a lot of these reports are based on Dublin figures, there is a strong demand and prices are rising. They may not continue to rise as ‘basic economics’ will come back into play once the demand is met with supply. This is predicted to happen once we start opening up again.
For now we need to remain safe and what better way to do it than listing your home with Colbert & Co. we are one of only a few agents in Cork that use an Interactive system that allows us to view your house with prospective buyers remotely. We have sale agreed and sold over 70% of our stockthis system.
It also helps that we have just been awarded Property Auctioneers 2021 - East Cork and Distinction Award for Superior Customer Service 2021 by The Irish Enterprise Awards.