New survey find Cork city houses prices rose by 4% during 2023

THE price of a three-bed semi in Cork city rose by 4% in 2023, a new report has found. 

Prices in Cork city increased by 1.4% in the past three months – a 4% annual rise to €370,000 with agents REA O’Donoghue and Clarke predicting the same again in 2024.

Meanwhile in Cork county, prices rose by 1.1% in Q4, with the average three-bed semi now costing €222,500.

The newly published Q4 REA Average House Price Index found that the price of a three-bed, semi-detached house across the country rose by 1% in the final quarter of 2023 to €304,259 – representing an annual increase of 4.3%.

The REA Average House Price Index concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an "accurate picture of the second-hand property market in towns and cities countrywide".

Time taken to reach sale agreed nationally is steady at five weeks as low supply "continues to drive sales in an increasing interest rate environment", the property group said.

According to the latest data, price increases in Dublin city in Q4 were just above Cork city, rising by 1.5% in the last three months. 

The average three-bed semi in the capital is now selling at €511,667 – an increase of 3% in the last year.

“Dublin is becoming a two-tier market, with the average house price proving to be an affordability ceiling,” said REA spokesperson, Barry McDonald.

“While our agents predict an average 1% increase across 2024, this varies according to prices in their immediate area.

“Agents on the west side of Dublin recorded notable increases in Q4, with Lucan prices rising by €20,000 to €435,000 (4.8%) and Tallaght increasing by 3.5% to €290,000.

“In areas such as Rathcoole (€335,000, 1.4%) the market is chasing affordability, and a scarce supply of properties has been selling at a faster pace.

“However, while these agents are predicting rises of 3-5% in 2024, areas where prices are above the average Dublin price showed little to no growth in Q4 and are forecasting price falls in the next 12 months.

“Across the country, agents are reporting no let-up in demand, but a supply of stock which is at an all-time low.”

According to REA, mortgage-approved first-time buyers are still the main market drivers of sales, accounting for 59% of sales nationally – a figure that rises dramatically to over 80% in commuter counties such as Meath as they hunt for suitably priced properties.

Elsewhere in the country in Q4, Galway prices rose slightly in the quarter by 0.6% to €337,000, with agents predicting an unchanged scenario in the coming year.

While prices in Limerick city rose by €5,000 in the final quarter to €290,000, Waterford city saw double that increase with average house prices rising to €295,000.

Homes in the commuter belt showed the most stability in 2023, rising by just 2.2% to €319,722, with counties within travelling distance of the capital recording growth of just 0.2% in the past three months.

The biggest annual rise came in large towns nationwide, which rose by 6.6% annually and 1.2% in the quarter to €223,638.

Waterford county experienced the highest annual price rises in the country in 2023, recording a 14% increase to €245,000.