Central Bank: House prices ‘not overvalued’

House prices, which are expected to rise by a further 10% this year, are “not currently overvalued”, according to the Central Bank.

While still over 30% below peak pre-recession levels, prices rose 4.3% in the first quarter of this year and are expected to show a 10% increase for the year as a whole.

Latest CSO figures showed a monthly rise of 1.1% in April and an annualised rise of nearly 11%.