Housing supply 'largely concentrated' in Dublin as price growth moderates, new figures show

Ongoing shortages, particularly outside Dublin, continue to place pressure on buyers, Sherry FitzGerald says

Marian Finnegan, chief executive of Sherry FitzGerald: Ireland's 'supply challenge remains significant'.

House price growth moderated between April and June as supply showed signs of improving, however, the increasing supply of homes is “largely concentrated” in Dublin and the Mid-East region, leaving more acute shortages in regional markets, estate agent Sherry FitzGerald has said.

During the first quarter of this year, 7,856 new homes were delivered, an increase of 32.9% compared to last year, and the highest first-quarter total since 2011. However, planning permissions are slightly lower and commencement levels still below what is required to meet delivery targets.

According to Sherry FitzGerald, ongoing shortages, particularly outside Dublin, continue to place pressure on buyers. The average value of second-hand homes increased by 1.1% during the second quarter, and by 5.2% year-on-year.

Chief executive of Sherry FitzGerald Marian Finnegan said the “moderation in price growth” reflects some improvement in supply across both the new and second-hand market.

“However, this improvement has been largely concentrated in Dublin and the Mid-East, while more acute shortages continue across many regional markets.” 

The company said price pressures on second-hand homes remained more pronounced in regional markets, where values outside Dublin rose by 7.2% annually, compared with 3.5% in the capital, reflecting more constrained levels of supply.

Sherry FitzGerald also noted the time taken to complete a sale had also lengthened.

On average, the period from listing to completion is now just under seven months, compared with a little over six months last year, the company said. The average time on the market has increased slightly, from about eight weeks to closer to 10 weeks, with variation depending on price, condition and availability.

The company said one of the contributing factors to this was the increasing prevalence of chain transactions.

“Following several years of tight supply, many homeowners remain cautious about committing to a sale before securing their next purchase. While some choose to sell before buying, others agree a sale and then begin their onward search. These dynamics are contributing to more complex transactions and longer completion periods,” Sherry FitzGerald said.

Ms Finnegan added housing delivery was heading in the right direction but the country’s “supply challenge remains significant”.

“Alongside improving supply, supporting more fluid transactions, particularly for those trading between homes, will be key to creating a more balanced and sustainable market.” 

In addition, the estate agent said investor activity continued to reflect pressure in the rental sector.

In the first half of 2026, 9% of second-hand purchases were made by investors, while 31% of vendors were investors exiting the market.

Ms Finnegan said the continued exit of small private landlords “remains a concern”.

“While recent rental rule changes have yet to materially shift this trend, it will need to be closely monitored over the coming months,” she said.