Rising property prices - Signs of a new bubble

Are we about to have another property bubble? The signs are ominous. The rising cost of houses and offices and the shortage of sites is pushing prices up to a level unimaginable even a few months ago. It is mostly centred on Dublin, but not entirely.

Prime sites — both residential and commercial — in Dublin are now fetching up to €10m an acre. That amounts to a tripling in the value of development land in less than a year.

According to reports, even seasoned auctioneers and estate agents are finding it hard to keep pace with the huge increase in values. Once again, the speculators are hovering, with the cash-rich buying up land and sitting on it in the hope of high returns.