The Central Statistics Office reported a decline in home sales in February, yet this did not deter the continuous rise in home purchase prices, which have increased by 8% since February 2024. Despite the reduced number of dwellings purchased in February – down 14% from January and 2.5% from the previous year – home prices saw an 8% annual growth rate, only slightly lower than the 8.2% increase in the previous 12 months leading up to January. This trend follows a period of significant house price inflation from the previous year, where prices surged at nearly twice the rate of 2023 due to a decrease in available homes for sale.

The report highlights that current house prices in Ireland are now 18.8% higher than they were at the peak of the pre-crash property bubble in 2007, with Dublin prices rising by 4.4% in February compared to the previous peak. Industry experts, including Ian Lawlor and Trevor Grant, emphasized the urgent need for a substantial increase in housing construction to address soaring house prices and the growing unaffordability for many aspiring homeowners.

In February, property prices nationwide rose by 7.1% year-on-year, with Dublin recording the highest median price at €475,000, and Dún Laoghaire-Rathdown having the highest median price of €670,000. The continuous upward trend in property prices has further intensified pressure on the Government to deliver an effective housing plan, with criticisms directed at the failure to meet housing targets and the need for a comprehensive overhaul in addressing the housing crisis, as expressed by Rachel McGovern of Brokers Ireland.