Housing commencements doubled in 2024 compared to previous year, new figures show

Data shows new home commencements are up 84% last year from the 32,801 recorded in 2023

Nearly double the number of housing commencements were recorded in 2024 compared with the previous year, according to the Department of Housing.

Figures for last year show local authorities were notified work on 60,243 new homes was due to start.

This equated to an average of 239 homes commenced every working day last year, and is the highest number of annual residential commencements since records began in 2014.

While commencement notices are not the same as home completions, they are early indicators of activity within a housing market, and the ratio of commencements to completions should — under normal market circumstances — average close to 100%.  

The data shows new home commencements are up 84% from the 32,801 recorded in 2023.

In December 2024 alone, commencement notices for 4,397 new homes were received by authorities – up 39% from December 2023, when 3,167 units were commenced.

Housing Minister Darragh O’Brien said: “Strong figures on home starts in 2024 confirm that a robust stock of new housing is in the pipeline. Government initiatives such as the development levy waiver and the Úisce Éireann rebate have had a positive impact in getting projects off the ground, with the ultimate goal of increasing our housing supply to meet housing needs.

This significant rise in housing supply will enable more people to become homeowners and also help increase access to a wider range of secure housing options. 

Of all the homes commenced in 2024, 34% were in the four Dublin local authorities (20,712 homes).

Spiralling house prices

However, while a record number of homes may have been built in 2024, there is still little end in sight to spiralling house prices.

Only last November, the Government also warned prospective homeowners face another three to four years of rising house prices, just as the cost of renting a home in cities is soaring to record levels.

House prices will not set to moderate until late 2026 at the earliest, and house prices are unlikely to come down until Ireland regularly sees at least 45,000 homes a year being completed.

Added to that, just over a week ago it was reported that while the rate of price increase for a home in Ireland hit its highest level for nearly a decade in 2024, the number of homes actually reaching the market for potential buyers is barely increasing.

The number of second-hand homes for sale across the country is also at its lowest since records began in 2007.

The latest Daft.ie housing report showed house prices rose by 9% on average across the country last year, with the typical listing price countrywide standing at €332,109 in the last three months.

By local authority, the most homes commenced in 2024 were in Dublin City (7,116) followed by Fingal (5,770) and South Dublin County (4728). The highest outside of Dublin was in Cork City (4,384).

The lowest number of homes commenced were in Leitrim (101), Carlow (213) and Longford (248).