Leitrim has lowest construction activity and highest house vacancy rate

Leitrim Observer Reporter

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Leitrim Observer Reporter

Leitrim has lowest construction activity and highest house vacancy rate

Only 20 houses were under construction in Leitrim last month.

Leitrim has the lowest construction activity and the highest vacancy rate according to the latest GeoView Residential Building Report.
Leitrim and Longford were the only two counties to record fewer than 100 new residential addresses in the 12 month period to June 2018.
According to the report, 87 residential addresses in Leitrim were added to the GeoDirectory database during the last 12 month period.
Nationally, the majority of addresses were added in Dublin, accounting for 39.8% of the overall national total, highlighting an east/west divide in terms of new addresses.

Construction Activity
In total, 20 buildings were classified as being under construction in Leitrim in June 2018, the lowest in the country. The majority of construction activity took place in urban areas, with the highest levels recorded in Dublin (34.9%), Cork (10.7%) and Meath (10.5%). Construction activity was particularly low in the counties of Leitrim (0.2%), Longford (0.3%) and Offaly (0.5%).

National Vacancy Rates
The national average vacancy rate stood at 4.8%. Leitrim registered the highest residential vacancy rate in the country at 15.9%. Dublin, Kildare, Meath and Wicklow recorded the lowest percentages of vacant units in the country, at rates between 0.9 and 3.5%.

Breakdown of Housing Stock
The report shows that there were 1,983,715 residential dwellings in Ireland in June 2018. Out of this total, detached dwellings accounted for the largest share at 34.8%, followed by terraced dwellings (27.6%) and semi-detached dwellings (24.3%). There are 180,741 apartments in the country, representing 9.1% of the overall total.
Donegal is the county with the highest proportion of holiday homes at 11.4%, followed by Wexford (7.7%), Kerry (7.1%) and Clare (6.7%).

Residential Turnover Rate and Transactions
By combining data from the GeoDirectory database and the CSO, the GeoView Residential Buildings Report estimates the average rate of housing turnover. Leitrim’s turnover rate was 2.43%, which was lower than the national average housing turnover rate of 2.6 per cent in the 12 months to April 2018
In total, 431 residential properties were purchased in Leitrim in the 12 months to April 2018, 13.5% per cent of which were new properties.

Average Property Prices
The national average residential property price in the 12 months to April 2018 was €273,206. When Dublin is excluded, the national average falls to €198,906.
Leitrim’s average house price was €113,921, €85,000 less than the national average (excluding Dublin). The average house price in Carrick-on-Shannon, the largest urban area in the county was just €116,871.
Only three counties recorded property prices above the national average, namely Dublin (€413,891), Wicklow (€354,113) and Kildare (€281,675). This highlights the demand for housing in the Greater Dublin Region, with the average property price in these three counties higher relative to the rest of the country.
The county with the lowest average house price was Longford at €101,587, almost 50 per cent below the national average price excluding Dublin.
Commenting on the findings of the GeoView Residential Buildings Report, Dara Keogh, CEO, GeoDirectory said, “The twelve months to June 2018 saw a significant increase in terms of residential construction activity. The report shows that the vast majority of this activity is taking place in Dublin and surrounding counties. However, despite this increase, house prices in urban and commuter counties continue to rise, showing us that demand is still outweighing supply by a great deal.”
Annette Hughes, Director of EY-DKM Economic Advisory Services said, “Almost one-in-five residential property transactions in the twelve months up to April 2018 involved new dwellings. While this suggests that construction activity is moving in the right direction and new dwellings are coming on stream, increasing property prices continue to signal a significant supply-demand imbalance, implying that much more work is needed to address demand levels.”