House prices 25% down from peak
Friday, 30 October 2009 14:29New figures show that the average house price has fallen by almost €30,000 in the first nine months of this year.
The house price index, compiled by Permanent TSB and the ESRI, fell by another 1.1% in September, bringing the drop over the previous 12 months to 13.1%. The annual drop in August was 13%.
In the first nine months of the year, house prices fell by just over 11%, bringing the average price in September to €232,584, or back to Christmas 2003 levels. The figure was €261,573 at the end of December last year.
According to the index, house prices have now fallen by 25.2% since their peak in February 2007.
Permanent TSB's Niall O'Grady said the rate of decline had been stable in the last few months, but there were some differences, with Dublin prices falling much more quickly.
The index shows that house prices in Dublin fell by 2.1% in September, while the fall was 1.3% for houses outside Dublin.
The house price index usually gives figures for new and existing houses, and for prices paid by first-time and second-time buyers, but it said these were not available this month because the numbers in these categories were so small.
The survey is based on the agreed sale price and is calculated using figures from mortgage drawdowns. The index is a three-month moving average. The compilers point out that there may be a time lag between the time the sale price is agreed and when the mortgage is drawn down.
