House completions down by 50% in 2009

The number of houses completed in Ireland in 2009 fell by 48% to 26,820, according to new data published by Goodbody Economics.

This compares with an annual completion rate of almost 90,000 at the peak of the boom in 2006.

Goodbody predicted that the number of completions was set to further fall this year and beyond.

“We expect 12,000 units completed in 2010 and this could go below 10,000 in 2011,” said Goodbody Chief Economist Dermot O’Leary. An increase in housing output is not expected until 2012.

However the level of completions is still ahead of the European average.

“At the peak in 2006, Ireland was building 21 housing units per 1,000 of its population, when the European average was 5.6,” Goodbody said.

“In 2009, Irish completions amounted to 5.8 units per 1000, whereas the European average is estimated to be less than 4.

“Ireland should drop below the European average in 2010.”