In the past 12 months, DNG Maxwell Heaslip and Leonard’s residential sales division has had another promising and positive year, listing circa 230 properties across Galway city and county. With 92 per cent selling in the first four weeks of going to the market and more than 60 per cent of them achieving figures above their initial guide prices, they continue to show why they are the leading agents in the west of Ireland.
Commenting on their impressive results, residential sales agent Kyle O’Brien said: “Our recently issued DNG National Price Gauge [NPG] results show that the annual rate of price growth in the last six months have been strongest in the west, showing a five per cent rise in second hand property sales. Traditional areas such as Salthill, Barna, Oranmore, Moycullen, Knocknacarra, Ballybrit, and the Westside area of the city continue to stand out as the most popular areas where a huge number of buyers would like to live. The demand for properties in these locations have been consistently high, leading to the increase in property values. These areas offer proximity to schools, retail parks, beaches, and major roads, making them highly desirable for buyers.”
The DNG Maxwell, Heaslip & Leonard sales team have identified some interesting movements in market trends and certain price brackets of the market. “We have found that the most notable statistics are for properties in excess of €600k," O’Brien commented. "There is no question that these properties require more time and patience in order to agree and complete a sale. This is due to a few reasons, with the main one being the time required to arrange finance. Recent interest rate increases have resulted in potential buyers being a little more measured and cautious when it comes to taking out a mortgage. Despite the interest rate hikes, overall prices have generally remained relatively stable, however certain areas have experienced price increases due to their desirability and limited supply and hence, the overall percentage rise in values.”
DNG has analysed buyers of resale properties in the first six months of the year and can confirm that first time buyers remain the most active players in the market, accounting for one in every two purchases of second-hand properties. This highlights both the strength of underlying demand from first time buyers, who are keen to own their own home, and their willingness to purchase in the re-sale market despite the plethora of supports targeted at first time buyers of newly constructed homes. These increases are a testament to the strong demand in the Galway market. There continues to be an exodus of investors from the market with vendors selling investment properties, and a low percentage of buyers were entering the market as investors. This exodus of investors is putting increasing pressure on supply levels in the rental market and that is of course putting significant pressure on upward rent. Tenants now seek to purchase with rental levels exceeding mortgage payments in certain locations.
DNG Maxwell Heaslip & Lenoard’s residential sales team have not only been busy selling across the city, they have also seen a surge in stand-alone, detached properties with their own sites. Areas like Corrandulla, Corofin, Headford and Claregalway are achieving exceptional prices in recent months. Buyers are noticing there is still value to be had only 20/25 minutes from the city. These new buyers, who have widened their search area, are now competing with those originally from these areas, who are extremely focused to get back to their roots.
Additionally, there is significant demand for new developments in Galway city. DNG Maxwell Heaslip and Leonard, have launched and sold all units in all the development schemes they have been involved in this year, with off plan sales being the norm and leading to a 100 per cent selling rate. This demonstrates the strong appetite for newly constructed properties among buyers who value modern amenities, energy efficiency, and contemporary design.
“Although this year has been very positive for the property market in Galway city, the demand continues to outweigh supply, creating a competitive environment where numerous buyers are vying for the same homes," Kyle O'Brien added. "This supply-demand imbalance has put upward pressure on prices, especially in the popular areas. It is essential for the Government to work with developers/builders to help address this issue to ensure a balanced and sustainable market. The property market in Galway has shown growth and stability over the last six months. The demand for new developments remains high, as demonstrated by the success of our recent projects. However, the market still faces challenges due to limited supply, resulting in competitive buying conditions. Continued efforts are necessary to meet the demand while ensuring a healthy and sustainable property market in Galway city.”
If you are interested in talking with Kyle O’Brien or any of the team at DNG Maxwell Heaslip & Leonard, you can contact them on 091 565261.
