Property prices in Westmeath have bucked the national trend by rising during the quarter, according to the latest MyHome.ie Property Price Report.
The report for Q1 2023, in association with Davy, shows that the median asking price for a property in the county is now €215,000. This means prices have risen by €15,025 compared with this time last year.
Asking prices for a 3-bed semi-detached house in the county fell by €2,450 over the quarter to €207,500. This means that prices in the segment have risen by €12,525 compared to this time last year.
Meanwhile, the asking price for a 4-bed semi-detached house in Westmeath rose by €10,025 over the quarter to €265,000. This price is up by €15,050 compared to this time last year.
There were 215 properties for sale in Westmeath at the end of Q1 2023 – a decrease of 22% over the quarter.
The average time for a property to go sale agreed in the county after being placed up for sale now stands at nearly three months.
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The author of the report, Conall MacCoille, Chief Economist at Davy, said the data suggested that frothy pandemic-era valuations were now cooling off.
“This quarter’s MyHome report shows another 0.3% fall in asking prices in Q1 2023. Prices fell especially sharply – by 0.8% – in Dublin but rose marginally by 0.2% in the rest of Ireland. We expect the 0.6% decline in the CSO’s RPPI measure of transaction prices in January will continue in the coming months,” Mr MacCoille stated.
However, he said that Ireland’s property market was not in freefall and would likely fare better than the UK and US markets in the coming months.
“First, demand remains buoyant given the resilient performance of the Irish economy. Second, housing supply remains very constrained. Third, the European Central Bank is not expected to raise interest rates as aggressively as the Bank of England or Federal Reserve. Fourth, the surprise decision by the Central Bank of Ireland to loosen the mortgage lending rules will in time put upward pressure on house prices,” he added.
Mr MacCoille noted that the forecast for asking price inflation had been revised to 1.5% for 2023 – from 4%.
“This small rise could quite possibly split between falls in the capital and modest price gains in the rest of Ireland. However, the outlook is very uncertain and small price falls can’t be ruled out.
“Why? Asking prices have clearly had a weak start to 2023. Also, the correction in stretched valuations in some areas looks to have further to run. However, as 2023 progresses the tight market, resilient economy and, crucially, the easing of the Central Bank’s mortgage lending rules should support Irish house prices,” Mr MacCoille concluded.
