New figures reveal house price inflation accelerating sharply

House prices in the South East of the country increased by over 18% in the year to May.

The region saw the greatest house growth according to the latest CSO figures.

The findings show that house price inflation is accelerating sharply with Dublin showing the sharpest acceleration.

This is the fastest rate of inflation for more than two years and means that house price growth has more than doubled over the last 12 months.

National property prices went up by almost 12% while prices in Dublin increased by just over 11%.

Annual price growth in the capital jumped from 7.7% in April to 11.2% in May.

Director of Research at Savills, Dr John McCartney, has said there are a number of factors driving house price inflation in Dublin.

“Firstly it reflects Government policy changes," he said.

"The easing of loan-to-value restrictions last January, along with the introduction of Help-to-Buy, have been a greater stimulus in Dublin where high deposit requirements were previously more of a blockage.

"Allowing for time lags in the data, we are only now beginning to see the true effect of these policy changes in the figures.”

More in this Section

Ulster Bank customers to be charged every time they use their card

Board set up to improve banking culture 'rigged' in industry's favour: John McGuinnness

No Consent, No Sale bill 'should be no-brainer'

Job of the Week: Bus Éireann


Lifestyle

Why our fashion editor relocated to Cork - and declared it the real fashion capital

Home delivery: The alternative to a hospital birth

Dig deep: Mind and body benefits of working in your garden

Life changing: Four women take a new direction in their 50s

More From The Irish Examiner