House prices have risen by almost 6% during the first quarter of this year, new figures show.
The average asking price now stands at 210,000 euro compared to 198,000 euro a year ago, according to the latest report from property website Daft.ie.
Ronan Lyons, a Trinity College economist who compiled the survey, said: “It is interesting to note that in year-on-year terms, prices are now falling in five Dublin markets – Dublin 2, Dublin 6, Dublin 16, Dublin 18 and South County Dublin.
“These are some of the most expensive markets in the country and show the effectiveness of the Central Bank rules. Nonetheless, across the country, prices continue to rise, because the increase in population each month is not being matched by an increase in new homes.
“Addressing the shortage of supply – in particular the high cost base on construction – must a top priority for the new government.”
The study highlights the persistent divide between the capital and the rest of the country.
In Dublin, prices have risen by about 91,000 euro or 41% – from their lowest point in mid-2012 while elsewhere the average increase has been 37,500 euro , or 28%, since the end of 2013.
There were also improvements in other major cities including Cork where prices for the first quarter of 2016 were 1 4.9% higher than the same period last year.
In Galway house prices were up 14% compared to 2015 while Limerick and Waterford recorded 18% price hikes.
Meanwhile, the number of properties on the market has continued to decline and is now less than 24,000 — the lowest since February 2007.