15% of Cork city sales were landlords leaving the market

A new housing price index has revealed that 60% of purchasers in Cork city and 15% in the county were first-time buyers in the third quarter of the year.

The Real Estate Alliance (REA) Average House Price Index, published on Monday, showed the price of the average second-hand three-bed semi in Cork city has increased to €385,000, up 1.3% from €380,000 this quarter. Across the county, prices over the past three months rose by 1% to €227,000.

A total of 15% of sales in the city and 20% across the county this quarter were attributed to landlords leaving the market.

Michael O’Donoghue of REA O’Donoghue & Clarke in Cork said: “There continues to be strong demand from first time buyers in both the second-hand and new homes market, which is also reflected in a general increase of new developments coming on stream. In relation to the second-hand market, there is still a general lack of supply but hopefully with interest rates now predicated to come down supply should improve.

“Overall, there continues to be a good mixture of both mortgage approved and cash purchasers for all property types throughout Cork city, its surrounding satellite towns, and the county in general,” he added.

The REA Average House Price Index concentrated on the sale price of Ireland's typical stock home, the three-bed semi which it says gives an accurate picture of the second-hand property market in towns and cities countrywide.

The actual selling price of a three-bed, semi-detached house across the country rose by 2.7% in the past three months to €323,741.

Time taken to reach sale agreed nationally has dropped to four weeks as low supply continues to drive sales, said REA.