Cork ciy and county house prices are still on the rise

Cork house prices are continuing to rise, according to a recent property survey.

The survey by agency Real Estate Alliance showed that the price of the average second-hand three-bed semi-detached home in Cork city rose by 1.2%, to €425,000, between June and September.

During the last three months, the figures also highlight that the cost of a similar home in Cork county increased by 1.1% to €275,985.

In an earlier REA survey, covering March to June, there was a similar price rise — also of 1.2% — in property prices for Cork city, with the increase recorded at 1.0% for Cork county.

From June to September, the survey also found that a total of 60% of sales in the county and 20% in Cork city were attributed to landlords leaving the market.

The findings also showed that 15% of purchasers in Cork city and 80% across Cork county were first-time buyers.

Agents in Cork reported that the building energy rating (BER) of properties saw A-rated properties command 10% price increases in the city and 15% across the county, in comparison to comparable C-rated properties.

“There continues to be steady demand for both second-hand and new homes, which is reflective of an increase in new home developments coming on stream,” said Michael O’Donoghue of REA O’Donoghue & Clarke in Cork.

“In relation to the second-hand market, however, properties in need of upgrading, renovation, or carrying a low BER are now taking a bit longer to sell due to the unsustainable rise in building costs.

“Whilst demand remains strong for all property types throughout the city and county, it will be interesting to see what effect the interest rate increase will have on the market.

“It is clear that the new rent controls, which came into effect in March, are continuing to have a detrimental effect on the rental market, with landlords continuing to exit the market."