Property prices rose across the country in 2013 - report

Thursday 23 January 2014 12.20
The estate agents surveyed predicted further price rises in 2014
The estate agents surveyed predicted further price rises in 2014

Property prices rose in all areas of the country last year, according to a report by the Society of Chartered Surveyors Ireland.

The survey of 400 estate agents suggested a 15.7% increase in Dublin prices, while prices in the rest of Leinster were up by 4.6%.

Munster prices are estimated to have risen by 8.1%, while those in Connacht and Ulster were up by 3.9%.

The report was compiled by Amarách Research for the SCSI.

Most estate agents also forecast further price increases in urban areas in 2014, largely due to a rise in consumer sentiment and stock.

However the SCSI suggested that the reason for improving prices differed from one location to another, and said it was important for Government to avoid a "one-size-fits-all" approach to the property market.

"In Dublin and parts of Cork, supply is the key driver of increasing prices, but in Munster it's availability of finance while in Leinster it's greater consumer confidence," said Simon Stokes, chair of the Residential Group of the SCSI.

Mr Stokes also said that the lack of movement in the property market, along with the lack of new building, was having a big impact on prices, especially in cities.

Dermot O'Leary, chief economist with Goodbody Stockbrokers, said there were a high level of cash transactions last year, with the lack of available credit still an issue for the construction industry and buyers.

He said that builders should tap into the interest being shown by investors to try to bridge this divide.

Banks could also give more options to those in negative equity - or customers with tracker mortgages - to help create some more movement in the market, he said.