Demand to buy homes is ‘exceptionally large’ with property market primed for explosion

The property market is primed for explosion with one third of people keen to buy a house in the next two years if circumstances allow.

While such a move may prove purely aspirational for many, 5% have made an offer on a home, a further 12% are attending viewings and another 12% are researching possibilities online.

In total, 32% say they are contemplating buying their first home or moving house in the next 24 months — eight times more than would be expected in a normal property market, where 4% is the average at any given time.

The startling statistic — which translates into around 250,000 people — is an indicator consumers are growing more confident in the economy and in their own finances.

However, it also serves as a pre-budget warning that the promised introduction of measures to help first-time buyers will have to be carefully considered to avoid sparking a chain reaction that could send demand, and prices, spiralling.

Austin Hughes, chief economist with KBC Bank which commissioned the survey, said the figure was “exceptionally large” and reflected the high level of pent-up demand in the marketplace after eight years of slump.

“It’s the catch-up factor. After a prolonged period in which people were understandably reluctant to contemplate home buying for a range of reasons, the survey suggests we are seeing significant pent-up demand reemerge.”

© Irish Examiner Ltd. All rights reserved

Related Articles

Simon Coveney’s housing grant is complete economic folly

‘Handing grants to buyers will not solve housing crisis’, says Irish Society of Chartered Surveyors

Three-bed semis top €200k for first time post-crash

Simon Communities call to include right to a home in Constitution

More in this Section

Fine Gael's Brendan Griffin urges expulsion of Russian ambassador to Ireland

Garda industrial action: Overtime bill hits €7.2m in just 10 Garda divisions

Farm vigilance urged after child’s death

4,000 to be deported or refused entry to Ireland in 2016; highest number in 6 years


Breaking Stories

New drug testing to be introduced by Christmas

Loneliness big problem for the elderly society in Ireland

Lifestyle

Teens triumph over troubles with Happiness Skills book

Ask Audrey has been sorting out Cork people for years

Mick Flannery is looking at life from both sides with an excellent new album

Majella O’Donnell on life after breast cancer

More From The Irish Examiner