Average house price in Kilkenny rises faster than anywhere else in the country - survey

The price of an average three-bed semi-detached house increased comparatively more in Kilkenny than anywhere else in the country last year, according to a national survey carried out by Real Estate Alliance.

The price of the average three-bed semi here rose 23.3% - to €203,500 - in the last 12 months. After prices increased by 3% between September and December 2017, local agents are predicting that property values will rise by a further 10% in the county in the coming year.

House prices in Kilkenny City alone rose by 27.4% in 2017, driven by a lack of supply of suitable homes on the market. REA Boyd in Kilkenny City are predicting that the continuing shortage of supply will increase prices by about 15% in the next year.

REA Grace in Callan predict that the market will get stronger with an increase in first-time buyers at viewings and more mortgages available.

The REA Average House Price Survey concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an up-to-date picture of the property market in towns and cities countrywide.

The average semi-detached house nationally now costs €225,806, the Q4 REA Average House Price Survey found – a rise of 1.8% on the Q3 figure of €221,861. Overall, the average house price across the country rose by 11.3% over the past 12 months – compared to 7.7% nationally in 2016.

The survey also found that agents throughout the country expect prices to rise by 7.5% on average in the next 12 months.

“The heated market that we saw throughout much of 2017 has cooled somewhat and we are now in a period of more certainty,” said REA spokesperson Healy Hynes.

“A lack of supply is still the main driver of the market, with listings of second hand properties at a low level around the country. Anything that does go on sale is reaching sale agreed in a short period of time – five weeks on average and four weeks in Dublin city.

“However, this is not normal in a properly functioning market, where time periods of eight weeks to sale agreed are more common.”

The rate of increase in three-bed semi-detached home prices in Dublin slowed to 1.5% in the fourth quarter of the year as buyers look to new homes on the horizon. The commuter counties also returned a restricted growth of 1.5% in Q4, and 10% overall for the year, following a relatively static 2016, with the average house now selling for €229,300.