Rising house prices show signs of slowing in Galway

Rising house prices show signs of slowing in Galway

House prices in Galway began to stabilise in the last quarter of 2018 according to the latest Daft report.

The latest report from Daft.ie showed that house prices in the city only saw a small increase in Q4 2018, while prices in the county actually dropped.

The average cost of a property in Galway city is now €290,528, a quarterly increase of 0.8%.

Buying in Galway county, the average cost of a home is now €197,791 which is down nearly one percent on the third quarter.

These latest figures show that there’s a chance the cost of housing is starting to stabilise as price increases begin to slow.

Overall, 2018 saw homes in Galway city become 6.3% more expensive, while prices in the county saw a year-on-year increase of 7.4%.

But despite promising signs on the cost front, there’s still a danger to the housing market as “not homes are equal”.

“Comparing the country’s housing stock with its people, the country does not need any more three and four bedroom family homes,” said economist Ronan Lyons.

“What it needs instead is homes for one- and two-person households, especially in urban areas  i.e. apartments.”

“But the uplift in construction has been dominated by estate housing. Three quarters of the growth in construction between mid-2017 and mid-2018 came from estate housing.”

“Almost all of that is housing built for sale to owner-occupiers, rather than for the rental sector.”

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