Number of new homes built fell by 12% in first quarter, figures show

Tomas Doherty

The number of new homes completed fell by more than 12 per cent in the first quarter of the year.

The Central Statistics Office said there were 5,841 new dwelling completions in January, February and March, down from more than 6,600 in the same period last year.

The 12.1 per cent drop puts the Government’s housing targets for 2024 at risk.

New home completions hit a post-financial crash record of 32,695 last year, which was ahead of the Government’s Housing for All target. The strategy targets 34,600 completions this year, 36,100 in 2025 and 36,900 in 2026.

Ian Lawlor, managing director of Lotus Investment Group, which lends to developers, said the figures were disappointing.

"Given that the annual rate of national house price growth has increased in recent months, it is imperative that more supply comes on board," he said.

"There needs to be an exponential increase in the number of houses being built so that young people here have a chance of owning their own home and so that the rate of house price growth is kept in check.

"Even where first-time buyers can get the finance together to buy a home, the huge mismatch between supply and demand means their efforts to get onto the property ladder are continually frustrated by properties in housing developments being rapidly sold out."

He added: "Industry leaders have long advocated for annual supply targets to be adjusted upwards to between 50,000 and 60,000 new homes to more accurately reflect and respond to the current and projected housing needs."