Gannon Homes blames mortgage rules for 50% drop in house sales

One of the country’s best known housebuilders, Gannon Homes, has claimed that the new Central Bank rules on mortgage lending have been the main factor behind the firm sustaining a 50% drop in house sales this year.

During the housing boom and bust, the firm’s owner, Gerry Gannon, was one of the best known developers and his firms owed €214m to banks here on the night of the Government’s bank guarantee in 2008.

However, Mr Gannon’s Dublin-based firm made a strong comeback in the housing market last year with revenues increasing almost eight-fold from €5.67m to €43.8m.