In the year leading up to June, a total of 31,384 new residential addresses were recorded in Ireland, according to data from GeoDirectory. This marks a 17.1% increase compared to the same period last year.
The majority of these new homes were located in Dublin, accounting for one-third of the total, followed by significant numbers in Cork, Meath, and Kildare.
At the midpoint of the year, 21,851 residential buildings were classified as under construction, representing a 4.3% decrease from June of last year. Of these, 13.7% were situated in the capital.
GeoDirectory CEO Dara Keogh highlighted a surge in commencement notices, suggesting that this might be due to companies rushing to get developments approved before impending changes to certain schemes and regulations. Keogh emphasized that the drop in buildings under construction does not necessarily equate to a future decrease in the number of homes available on the market. “A building can have multiple addresses, so we’re waiting to see how that plays out for the rest of the year. But with the commencement notices being so high, it’s looking very positive,” he stated.
Construction activity was notably weaker in the neighboring counties of Sligo, Roscommon, Leitrim, and Longford.
Nationally, the rate of vacant residential buildings stood at 3.9% in June, unchanged from the same time last year, with a total of 82,031 vacant homes. Dublin had the lowest vacancy rate at 1.2%, while Leitrim had the highest at 12%.
The number of derelict residential buildings also saw a decrease of 3.4%, with 20,413 buildings classified as such compared to June of the previous year.
GeoDirectory reported that the average house price had risen in every county except Monaghan. The average price increased by 4.3% to €381,749. Keogh noted that most new addresses are likely to be in major urban centers like Dublin and Cork, and primarily around Leinster. Notably, Westmeath and Kerry experienced the highest growth rates, with increases of 106% and 86%, respectively.
Despite the increase in housing stock, property transactions recorded in the year leading up to May were down by 5.9%. Keogh speculated that this might be due to a lag between the completion and sale of new homes. “Maybe over the next six months we’re going to see an increase,” he said. “It’s down around 6% so it’s a small decrease, that could reverse over the next few months.”
Keogh also mentioned that the continuous rise in house prices might encourage more people to sell their properties, potentially increasing market activity.