Average mortgage drawdown reaches record level after €28,000 rise in a year

The data from the Banking and Payments Federation, Ireland shows that first-time buyer housing demand 'remains very strong'

As of the end of June, the average mortgage drawdown value stood at €330,745. 

The average value of home mortgages drawn down in Ireland has hit the highest level on record, reaching over €330,000 as the combined value of all mortgages during the first half of the year increased by nearly 19%, new data from the Banking and Payments Federation, Ireland (BPFI) shows.

During the first six months of this year, there were just over 20,000 mortgages drawn down worth a combined value of €6.2bn, an increase of 18.7% compared to the same period in 2024 and the highest value seen between January and June since 2008.

There were 11,803 mortgage drawdowns by first-time buyers worth a combined €3.7bn while mover-purchasers accounted for 3,947 mortgage drawdowns worth €1.47bn in total. Of all those mortgages, 10,978 were drawn down between April and June. 

They had a combined value of €3.37bn. This represents an increase of 9.6% in volume and 18.1% in value in the corresponding second quarter of 2024.

According to the BPFI report, as of the end of June, the average mortgage drawdown value stood at €330,745 - which is an increase of €28,000 compared to the same point in 2024.

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The average mortgage on second-hand properties increased by more than €29,000 to €324,688 in the year to the end of June while average home mortgage on new properties was almost €24,000 higher at €341,063.

Chief executive of the BPFI, Brian Hayes, said during the first half of year first-time buyers “continue to dominate” after recording the “highest” drawdown volumes and values since 2007 and 2006, respectively.

Switching activity during the first half of the year also increased by 41.9% in volume - with 2,660 mortgages drawn down - and by 60% in value terms to €732m.

New properties, including self-builds, accounted for 34.5% of all home purchases between January and June. By contrast, while the number of mortgages on second-hand properties increased marginally to 10,312 it was 9.7% below the level seen in the first half of 2022.

Mortgage approvals

The BPFI also released data on the mortgage approvals seen during June which showed that a total of 4,883 mortgages were approved, of which first-time buyers accounted for nearly 60% and mover-purchasers accounted for 20.3%.

The value of all these mortgages stood at just under €1.56bn. Nearly €1bn of this was from first-time buyers. The value of mortgage approvals fell by 3.1% compared to May but rose by 16.2% year-on-year.

There were 53,191 mortgage approvals in the 12 months ending at June 2025, valued at €16.5bn.

Mr Hayes said that mortgage approvals during the first half of the year are up 5.4% to 15,736, the highest level for the first six months of the year since the data series began in 2011.

“While mover purchase approval volumes fell for the fourth year in a row to 4,990. First-time buyer housing demand remains very strong, with 22,903 Help to Buy applications in the first half of 2025, according to the Revenue Commissioner, almost 41% more than in H1 2024,” he said.