The average price of an Irish home fell by 0.6 per cent in June according to the latest permanent tsb/ESRI House Price Index. This now means that prices on the index’s data have fallen by 5.1 per cent alone this year.
Measuring year-on-year growth to June, average national prices were down by 9.7 per cent, this compares to a decline of 9.5 per cent recorded in the 12 months to May.
The average price paid for a house nationally in June 2008 was €273,392, in contrast to the €287,887 last December and €302,605 in June ‘07.
“Price reductions are continuing nationally and while there have been reductions in all segments of the market, the sharper fall in the price of new houses reflects a more aggressive approach by developers in order to stimulate some market demand,” said permanent tsb’s Niall O’Grady.
Three bed semi-detached house prices reduced by 0.5 per cent in June, compared with a reduction of 1.3 per cent in May. Year-to-date prices fell by 2.8 per cent compared to 4.8 per cent in same period last year.
House prices for first-time and second-time buyers were reduced by 0.2 per cent and 0.6 per cent respectively in June.
In May the equivalent rates showed reductions of 1.2 per cent and 1.5 per cent. Year to date prices for first-time and second-time buyers were down 5.5 per cent and 4.7 per cent respectively, while growth rates for the same period last year were -3.2 per cent and -2.6 per cent.
House prices fell by 8.7 per cent and 9.9 per cent year on year to June ’08 for first-time and second-time buyers respectively. The equivalent rates to May were reductions of 9.4 per cent and 9.9 per cent respectively.
The average price paid by first-time and second-time buyers in June were €246,529 and €306,380 respectively, in comparison to the December ‘07 prices of €260,786 and €321,498.