Leitrim house prices climb over five percent as demand outpaces supply

The price of the average second-hand three-bed semi in county Leitrim has risen by 5.5pc to €222,500 in the last three months, according to a national survey by Real Estate Alliance.

Across the county, the average time taken to sell rose by a week to five weeks, the REA Average House Price Index shows.

And 27 percent of sales in the county were attributable to landlords leaving the market, the survey found.

Carrick-on-Shannon prices rose three percent to €250,000 this quarter, with time to sell at four weeks.

“It has been very busy for all of Q3. Properties in the €200,000 to €300,000 space enjoy the highest level of enquires with multiple bidders on most in this space,” said Joe Brady of REA Brady, Carrick-on-Shannon.

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“Carrick-on-Shannon leads the market in Co Leitrim, and all other towns and villages in the county are now experiencing increased interest and price increases.”

In Carrigallen, prices rose by €15,000 (eight percent) this quarter to €195,000 – an annual rise of 22 percent with properties reaching sale agreed in five weeks.

“Demand is strong and supply is extremely restricted. The capacity on waste water mains also means that there will be no new builds until there is an increase in capacity,” said James Spring of REA Donohoe Spring, Carrigallen.

The REA survey also found that Leitrim properties with a BER rating of A commanded an average 30 percent premium over C-rated stock – reflecting the rising attractiveness of retrofitted homes.

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 second-hand property market in towns and cities countrywide.

The announcement of a nationwide rent pressure zone has triggered a sharp increase in landlords exiting the housing market, the survey showed.

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The Government’s announcement in June was followed by an immediate spike in landlord sales in many areas now included in the legislation.

REA agents in Carlow, Kerry and Waterford have reported that over 40 percent of their sales are attributable to landlords in the past three months – with that figure rising to 60 percent in Limerick city and 80 percent in Nenagh.

The actual selling price of a three-bed, semi-detached house across the country rose by 1.6 percent in the past three months to €353,458, a 9.1 percent overall rise annually.

The rate of increase in Dublin has more than halved in the past three months, with REA agents reporting a marked drop in viewings in the capital and homes now taking five weeks or more to reach sale agreed.

Selling prices in Ireland’s major cities outside Dublin rose by 2.2 percent to an average of €368,492 – an eight percent annual increase.

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Homes in the country’s large towns continue to show growth nationwide, 2.2 percent this quarter and 10.7 percent on last September to an average of €269,199.