Property values in Dublin 1 are up by an average of 5pc with properties at the lower end of the market (priced at under €320,000) definitely performing best. Value growth in the last 12 months has been just under half that achieved the previous year because of an increase in the number of properties coming to the market, affordability issues as the Central Bank’s lending rules become more of an obstacle, and significantly less demand from investors.
One-bedroom apartments have increased by most with prices rising from an average of €215,000 a year ago to €242,000 today, an increase of over 12pc.
Growth was slower in the mid-range, with properties priced between €325,000 and €400,000 attracting less interest, and properties priced over €400,000 showing the least value growth. Indeed this segment has been flat since last spring.
Dublin 1 is still relatively affordable, and the growth in value of one-bedroom apartments in particular, is evidence of a strong rental market in this segment, which is still somewhat attractive to investors, as well as to owner-occupiers for whom it is cheaper to buy than to rent. Rents are up 7pc.