AIB discusses location, location and location. The three biggest factors that come into play when you’re thinking of buying a house in Ireland.
House prices in Ireland: 4 Counties at a glance
Location, location and location – the three biggest factors that come into play when you’re thinking of buying a house in Ireland. The latest property market research for Q2 2015 reveals that buying a house in Dublin is nearly twice as expensive as buying in the other three cities in Ireland. Overall, house prices are on the rise (up by 6.1% from Q1 2014) – but Dublin prices are in a league of their own.
However, the buzz of urban life is not confined to the capital – and buyers may be surprised at the affordability of buying a home in Limerick, Cork and Galway. Each city has its attractions –Cork is a close-knit town disguised as a well-equipped city, Limerick is compact with a host of local amenities and Galway has a cultural heart bigger than its coastline.
Read on to discover what to expect when searching for your new home in the big four, Cork, Galway, Limerick and Dublin.
Buying a house in Cork
Corkonians should be pleased with themselves. Not only are they living in the ‘real’ capital, but they enjoy house prices which are comfortably affordable for First Time Buyers, with asking prices that come under the €220,000 threshold for a 10% deposit.
Home buyers will be glad to know house prices in Cork have dropped slightly from 2014. These include 3 bed semi-Ds for an agreeable €185,000, while the median price of 4-beds is €245,000. Apartments in Cork have an average asking price of €125,000 for a 2-bed (down 3.47% from 2014).
Cork Median house price: €199,000
Average house prices in Cork have nearly levelled to that of its neighbouring city Galway, with a 12% difference between the two counties. Prices are also 30% lower than houses in Dublin.
Total houses sold in Cork January-May 2015: 1865
Cork is the popular location for home-buyers outside Dublin, with 1865 houses sold between January and May 2015 – 51% more than Galway and 63% more than Limerick.
Buying a house in Galway
Galway is a hotspot for culture. Musical fame aside, Galway has become a modern location with medieval charm. And more to the point, house affordability is getting closer to Cork City. This is due to an increase in house prices however, and not a decrease.
Home buyers can expect to pay €167,500 on average for a 3 bedroom semi, an increase of 12% from Q1 2105. Those with a larger brood (or those planning one) will be looking at €197,475 for a 4-bed, which is 6.4% higher than 2014 prices.
Galway Median house price: €175,000
Overall, house prices have increased by 9.4% from Q2 2014. 2-bed apartments now have an average asking price of €133,250 (up 6.6% from 2014). However, if you are buying in Galway you will have the pleasure of knowing that, overall, the median house price is 43% lower than the average property in Dublin.
Houses sold in Galway January-May 2015: 919
Galway is the third most popular out of the four counties, with 919 houses sold from January to May 2015 – this is 25% above Limerick but 49% below Cork.
Buying a house in Limerick
Limerick is definitely an up and coming location in Ireland. From hilarious comedy (those Rubber Bandit Rogues) to culture (Limerick City is in the nominees for EU City of culture 2020) it has certainly changed from the county of Frank McCourt’s Angela’s Ashes.
Even better, this county is the least expensive place to buy a house out of our big four. Things are looking good for those thinking of getting a mortgage in Limerick. Home buyers can expect to buy an average 3-bed for €130,000 (down 4% from Q1 2015). The price of a 4-bed has remained almost on par with the year-on-year value (up less than 1%) at €169,000.
Median house price in Limerick: €130,000
The average price for a house in Limerick City is €130,000, (down by under 1% from 2014). This is 70% lower than house prices in Dublin. Not bad news for First Time Buyers!
Houses sold in Limerick January-May 2015: 683
Limerick has the lowest demand with just 683 houses sold from January to May 2015. This is 25% below the house sales in Limerick and Galway.
Buying a house in Dublin
With amenities, urban culture and job opportunity unmatched anywhere in the country, living in the capital speaks for itself. House prices in the capital rose by 3% from the second half of 2014, as demand stays up. On average, house prices in Dublin are 70% above those for properties in Limerick City, 43% above Galway and 30% above Cork.
Median House Price in Dublin: €270,000
A 3-bed semi –D in Dublin has an asking price of €280,000, which is up 3% from Q1 2015, while an average 4-bed is going for €406,000 (an increase of 9.8% from 2014). Overall, buyers can expect an average house price of €270,000 (up 8% from 2014).
Those thinking that they will get better value for an apartment might be disappointed – as €225,000 is the budget for an average 2-bed apartment in Dublin.
Houses sold January-May 2015: 5791
Buying a house and applying for a mortgage can be a bit daunting in the Irish property market. Before you start house-hunting, why not drop in for a reassuring chat with a mortgage expert at AIB? You can call into your local branch, make an appointment with an AIB mortgage advisor, or give us a call today.
All media house prices given are figures for Q2 2015, taken from Myhome.ie report.
No matter where you are thinking of buying , AIB can give you all the information and help you need to secure a mortgage. Why not try our handy mortgage calculator to see how much you can borrow or make an appointment with an AIB mortgage advisor today?