Property prices in South West are up 4.3%

Figures released by the CSO today show that residential property prices around the country have decreased by 0.5% in the year to July. File photo.

Property prices in the South West saw the largest rise in the country outside of Dublin. Houses there are being sold at 4.3% higher than this time last year. 

Figures released by the CSO today show that nationally residential property prices have fallen by 0.5% in the year to July. 

There was no change in the year to June and an increase of 2.2% in the 12 months to July 2013. 

Residential Property Index 2020. Source: CSO.ie

Property prices in the capital declined by 1.3% in the year to July, while the highest house price growth in Dublin was in Dun Laoghaire-Rathdown at 1.3%. 

Across the country, property prices have increased by more than 83% since 2013 but are still 20% lower than its peak in 2007. 

Commenting on the figures, Director of Financial Services in

Brokers Ireland, Rachel McGovern said "Housing is no longer affordable for huge swathes of the population, and that is a huge worry."

She said even though indications are that rental prices may have softened in recent months there is still a gulf between mortgage repayments and the cost of rent for similar properties, with it being far cheaper to service a mortgage, provided you can acquire one.

Brokers Ireland has called for the 3.5 times income limit for mortgages be expended to 4.5 times.

Meanwhile, Trevor Grant Chair of The Association of Irish Mortgage Advisors said that the figures indicate "a relatively robust property market which does not appear, at this time, to be heading for the big drop that some predicted."