The latest housing report from Daft.ie reveals that asking prices around the country are falling, with the top end of the market feeling the pinch.

Daft.ie's latest report says the most significant drops occurred in the most expensive areas of the country, with asking prices falling by up to 7% in the first three months of the year in South County Dublin and Wicklow.

Countrywide, asking prices fell by 1.2% in the three month period. Prices also fell in Cork City (down over 5%) and Limerick city (down 2.4%).

However, in Galway city asking prices rose by 1.2% after falling sharply late last year. Daft.ie says this suggests that the substantial correction in asking prices last year has had an effect on this year's sales.

'Sellers appear to have accepted that the downturn in the housing market may last a while,' commented Ronan Lyons, Daft.ie's economist.

'With huge numbers of property for sale in many parts of the country, sellers are now finding they have to reduce the asking price in order to attract interest from buyers,' he added.