CONSTRUCTION began on less than 2,000 homes in Cork city and county in the 12 months up to October this year, according to the latest figures from a residential buildings report.
While GeoDirectory report indicates that construction activity continues to be concentrated in Dublin, with 30.5% of all buildings under construction located in the capital while Cork is in second place with 10.9%.
However, with a vacancy rate of 4.4 percent, the Rebel County is in a strong position ahead of the new year, according to Dara Keogh, CEO of GeoDirectory.
“Cork actually has a number of advantages which means it’s in a very good position ahead of 2018,” he said.
“If you look at the average house prices, you’ll find that Dublin, Meath, Kildare and Wicklow have higher prices than Cork, which is a huge advantage to Cork,” said Mr Keogh.
The average house price in Cork was just over €220,000, while it stood at over €400,000 in Dublin.
“These figures show Cork has the second highest rate of expansions, has more vacancies than Dublin so that should mean there’s less pressure on rent, has much lower average house prices so everything is much more affordable and there is less pressure on wages so this should make it a better environment to live in.”
Cork came second in the counties with the highest commencement levels in the twelve months to October 2017 with 1,722, behind Dublin (6,869) and ahead of Meath (1,699), with these counties making up 60% of the overall total.
“Dublin with its large population is a huge draw but Cork can look at its advantages and say we can attract business to here,” said Mr Keogh.
“It’s more affordable, more houses are available right now and there is a mix of both houses and apartments.
“While Cork might not be able to compete with Dublin’s population but what Cork can say is good quality cheaper housing available, with no or very little waiting, a good pipeline of a workforce coming through so the supply is good and a good mix in terms of dwellings,” he added.
“This will make Cork attractive to both investors and employees.”
Cork had the second highest rate in terms of homes sold. with 5,642 transactions at an average price of €220,897, according to the report.
“It has the second highest number of residential dwellings sold in the country so it is performing as a second city should,” added Mr Keogh.