Leitrim house prices rise 1.4% in three months

The average price of a second-hand three-bed semi in Leitrim has increased by up to 1.4%, from €182,500 to €185,000, in the last three months, the national survey by Real Estate Alliance found.

The Q1 REA Average House Price Index shows that across the county, the average time taken to sell has decreased by one week to five.

The survey shows that 60% of purchasers across the county were first-time buyers, and 38% were from outside the county.

A total of 37% of sales in the county this quarter were attributed to landlords leaving the market.

"The supply is currently at a two-decade low," said Joe Brady of REA Brady, Carrick-on-Shannon.

"Take-up across all residential types is high, and we expect values to rise by as much as 5% this Spring. To date, no new homes have been on the market in Leitrim, but we expect that to change in Q2 of 2024."

Carrick-on-Shannon prices rose by 2.3% this quarter to an average of €220,000, while in Carrigallen, prices were unchanged at €150,000.

"We have seen the average price increase due to lack of supply and very limited stock," said James Spring of REA Donohoe Spring, Carrigallen. "January was slow, but things have gotten busy since mid-February," he added.

The actual selling price of a three-bed, semi-detached house across the country rose by 1.3pc in the first quarter to €308,235.

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

Time taken to reach sales agreed nationally is steady at five weeks as historically low supply continues to drive sales - amidst a belief that interest rates may have peaked.

"There continues to be strong demand throughout the country as buyers compete for the lowest supply of residential property in two decades – despite the high level of values and interest rates," said REA spokesperson Barry McDonald.

"On the positive side for potential homeowners, the Vacant Property Refurbishment Grant has finally kicked in, opening up a market for homes in need of improvement.

"These were the type of property previously really hard to sell with people afraid of refurbishment costs, limiting the market to builders and developers.

"If a home is declared vacant for two years or more, and it qualifies under the scheme, buyers know they can avail of a grant for refurbishment of up to €50,000 and up to €70,000 if there is a structural issue."

Mortgage-approved first-time buyers are still the main market drivers, accounting for 59pc of sales nationally.

Major cities outside the capital experienced the highest rise in the Q1 survey – up an average of over €5,000 in the last three months. The 1.8pc increase is equivalent to an average selling price of €328,750 – with the annual growth rate at 6pc.