Irish house prices up for second month in a row

Irish property prices are 11.8 per cent below August last year, according to the latest figures.

But while the Central Statistics Office report suggests a negative overall picture, house prices actually rose in August by 0.5 per cent. Indeed, the increase marks the second month of growth in a row after prices edged up by 0.2 per cent in July.

Dublin continued its downturn, with residential property prices falling by 0.5% in August to reach 13.8% below a year ago. Dublin house prices decreased by 0.7% in the month and were 14.4% lower compared to a year earlier. Dublin apartment fared slightly better, remaining 13.4% lower when compared with the same month of 2011.

But Ireland's national average was given a boost by the Rest of Ireland (excluding Dublin), with the price of residential properties up by 1.3% in August compared with a decline of 0.3% in August last year. Prices are now 10.7% lower than in August 2011.

House prices in Dublin are 56% lower than at their highest level in early 2007. Apartments in Dublin are 63% lower than they were in February 2007. Residential property prices in Dublin are 57% lower than at their highest level in February 2007. The fall in the price of residential properties in the Rest of Ireland is somewhat lower at 46%.

Despite the short-term improvement in the Irish property market, the country still has a long way to go: overall, the national index is 50% lower than its highest level in 2007.