House prices in Galway City have seen some of the sharpest year on year declines in the country according to a new report for Daft.ie, with prices down almost 8% in June.
The average cost of house in Galway City in June was €278,371, a 7.8% drop compared with the same time last year.
A house in Galway County would set you back an average of €200,802 last month, a 1.8% year on year drop from 2019.
The latest Daft.ie Housing Market Report compiled by economist Ronan Lyons shows that nationally, average house prices in June were down 3.3% on last year.
The largest yearly drop in house prices was in Limerick county according to Daft, where prices in June were 11.4% lower than in 2019.
The only counties that saw their prices rise were Kilkenny (2.9%) and Carlow (1.1%) the report states.
However rental prices budged very little over the year, showing a 0.2% increase compared with June 2019.
The overall supply of homes available to rent has increased by 21% in the past year, with 4,534 on the market nationwide according to Daft’s figures.
But this national growth has had no benefit for the west of Ireland, as it has been concentrated in Dublin, where the number of homes available to rent has increased by 63%, or over 1,000 units, in the past year.
Whereas in the Connacht-Ulster region there has been a 10% drop in housing stock on the rental market since July 2019.
“The country is still in need of hundreds of thousands of homes, principally for smaller households of one to two persons, in the social and market rental segments, and in or close to the biggest cities and towns.”
“Ireland is used to building homes for bigger households, away from the big cities and for owner occupiers,” said Ronan Lyons.
“Repositioning the construction sector to build what the country needs is one of the big
challenges for the new government.”