House prices across Ireland are projected to rise by up to 8% in 2025, with Dublin leading the charge after a 9.6% surge in second-hand house prices in 2024, according to a new residential market review by property advisors DNG.
The strongest regional growth last year was seen in the Mid-West, where prices increased by 8.7%, followed by the West, South East, and Midlands.
Paul Murgatroyd, DNG’s Head of Research & Business Development, attributed the continued growth to a strong economy and expected reductions in interest rates, which are likely to fuel further price increases.
Despite the construction of 32,548 new homes in 2023, Murgatroyd warned that far more are needed to tackle the growing housing crisis and cool the property market. Current supply is not enough to meet demand, pushing prices higher and exacerbating affordability issues.
Ahead of the General Election, Fine Gael pledged to deliver 303,000 new homes over the next Dáil term to address the housing shortage. However, critics and advocacy groups argue that swift and decisive action is required to curb rising costs and address the ongoing crisis.
Homelessness Figures Reach Alarming Levels
The affordability crisis has also contributed to a surge in homelessness. Just before the election, almost 15,000 people, including over 4,500 children, were living in emergency accommodation or without stable housing.
With homelessness at record levels, housing organizations are urging the government to prioritize affordable housing initiatives and accelerate construction to meet the growing need. Advocacy groups warn that without immediate intervention, both the housing and homelessness crises will continue to worsen.
