Stockbrokers Davy says 34,000 new homes will be built in Ireland this year - a marginal increase on 2023 when 32,695 were finished.
The organisation predicts completions will rise substantially next year when it says 42,000 homes will be built and it forecasts 50,000 will be finished in 2026.
In a report on the Irish economy, Davy said that more than 59,000 units have been commenced in the 12 months to the end of October 2024 - many of which are apartments.
"While this will not benefit output in 2024 it is likely to boost completions in 2025 and 2026," the stockbrokers added.
Davy noted that apartments typically take longer to finish than houses and therefore there is a longer lag between when work on a home starts and when it is built.
Experts predict Ireland will need more than 60,000 homes a year to cater for growth in the population and the shortfall of new housing over recent years.
Davy has also forecast that house prices will continue to increase.
The organisation also upgraded its forecast for the economy and says it expects 4% growth next year and in 2026.
While Davy says it expects foreign direct investment from US multinationals to continue, it warns there is a risk that corporation taxes in Ireland "could decline if pharmaceutical exports are re-directed as a result of tariffs" imposed by the Trump administration.
It says there could also be a significant impact on non-pharmaceutical exports.
The primary benefit of foreign direct investment was "providing the Irish economy with demand for high skilled labour," it says.
It adds that the average income for an employee in a foreign owned company was €77,500 whereas the equivalent for an employee in a domestically owned firm was €59,000.
Meanwhile, separate research has forecast that new housing completions here will hit 32,000 this year, climbing to 38,000 in 2025 and 40,000 in 2026.
EY-Euroconstruct said housing completions per 1,000 of population this year were the strongest among 19 European countries at 5.9 and 80% above the average of 3.3.
It also said that Ireland is to maintain the strongest housebuilding rate per 1,000 of the population in each year from 2024 to 2027.
"At a time when the delivery of housing is stalling in economies right across Europe, Ireland's performance is particularly notable and has been driven by a range of factors," said Annette Hughes, Director at EY Economic Advisory and member of Euroconstruct.
"These include multiple policy interventions to support and speed up the delivery of new homes and drive down the cost of construction, the reallocation of some capacity in the sector from commercial to residential construction, as well as a more positive – if still elevated - financing and interest rate environment."
Overall it predicts that Irish construction output is projected to grow by 1.4% in 2024 and 6.0% in 2025.
