The pace of growth in house prices slowed sharply in October, according to the latest figures from Permanent TSB and the ESRI.
Their house price index showed that prices rose by 0.3% compared with September. This was significantly lower than in the previous four months, when growth had been running at around 1%, and is the weakest monthly figure since January 2002.
For the first ten months of the year, house prices rose by 8.1%, compared with 10.9% in the same period last year. The annual rate of growth to October was 10.8%, compared with 12% in September.
Permanent TSB's Niall O'Grady said the rate of house price growth was continuing to slow and looked likely to end the year at around 10%. 'This slower rate of growth is being driven by a reduction in house prices outside Dublin, while Dublin prices have remained robust,' he added.
Dublin house prices rose by 1% in October, while prices elsewhere fell by 0.5%. The annual rates of growth for Dublin and the rest of the country were 10.6% and 11.5%. House prices for first-time buyers increased by 1.1%, while prices for second-time buyers were unchanged. Prices for new and second-hand houses climbed by 0.8% and 0.2% respectively.
