First-time buyers make their mark on market

FOREIGNERS are becoming an increasing force in the first-time buyer Dublin property market, according to a new survey.

It found that 14% of all first-time house buyers in the greater Dublin area in 2006 were by foreigners.

Over half (52%) of all new houses bought were accounted for by the first-time buyer according to the research that covered a sample of 1,417 buyers. The survey was conducted by Dublin-based estate agents Hooke & MacDonald.

Key findings:

* First-time buyers account for just over half (52%) of all new home purchasers in the Greater Dublin Area.

* Approximately two-thirds of first-time buyers purchasing a new home are under 30, with 19% under 25.

* 14% of all first-time buyers of new homes are foreigners, with around half from Asia.

* Around two out of every five (41.5%) of all first-time buyers purchased a new home on their own in 2006.

* 23% of first-time buyers are using a SSIAs to fund their property purchase.

Commenting on the survey, Geoff Tucker, associate director and economist with the Hooke & MacDonald said first-time buyers are finding it easier to access the market than they were five years ago.

Several factors are at play, including better job opportunities, rising incomes and “relatively low” interest rates have made access to the market easier for new entrants, he said.

Evidence also suggests that market prices are starting to ease off and house prices should average just 5% this year having risen by almost 12% in 2006.