Limerick House Price Survey January 2023
1st January 2023
The price of average three-bed semis in both Limerick city and county is expected to rise by 5% in the next 12 months, according to a survey by Real Estate Alliance.
Three-bed semi-detached homes in Limerick city now cost an average of €270,000, up 10% on the December 2021 average of €245,000 and a rise of 1.9% in the last quarter, the REA Average House Price Index shows.
Limerick county house prices have increased by 11% to €227,000 in the past year, rising 0.9% since September.
The survey concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an up-to-date picture of the second-hand property market in towns and cities countrywide.
In Limerick city, first time buyers made up 60% of the market in Q4 2022, with 30% of sales coming from outside the county.
The average time taken to sell is currently four weeks in Limerick city and five in the county.
“We predict that prices will continue to rise in 2023, albeit at a slower pace,” said Pat Dooley, REA Dooley.
“The biggest variable, which is the big unknown at the moment, is what percentage rise there will be in interest rates in 2023, which could define how the market goes for the second half of the year.
“While the market cooled in the last quarter of 2022, prices are still on an upward trajectory, albeit at a slower pace.
“Buyers are thinner on the ground, presumably due to affordability. We imagine this trend will continue into 2023 while prices will remain strong, growth will slow even more.
“Interestingly, we noted an increase in listings coming to the market recently, which may mean that the message is getting across to vendors that prices are very close to peaking.”
The actual selling price of a three-bedroomed semi-detached house across the country rose by 0.36% over the past three months to €291,667 – representing an annual increase of 8%.
However, house prices in Dublin have fallen slightly by -0.34% in the same period, as mortgage interest rate rises and cost of living increases stem the stream of potential homeowners.
REA agents throughout the country expect prices to rise by just under 3% on average in the next 12 months.
The property market is expected to enjoy a calmer 2023 as mortgage interest rate rises and cost of living increases affect buying ability, according to the nationwide survey.
The majority of REA members feel that the scheduled changes to the Planning Acts will have little effect on market supply in 2023, due to the time lag between legislation and enactment.