Tail is wagging the dog, again - Property market dysfunction

The fall in Dublin house prices for November is so small — just 0.1%— that it may be unwise to suggest that the policy that decrees that prospective mortgage holders must have 20% of the purchase price of a property before applying for a home loan is working.

Nevertheless, it is reassuring that the relentless climb in prices, so reminiscent of the overture to our last economic collapse, has stalled if only momentarily.

The CSO reports prices across the State rose by 0.5% in November and are 16.2% higher than a year ago. Despite the tiny fall last month, house prices in Dublin are up 22.4%; apartment prices are 26.8% higher.