Irish House Prices Rise in May 2012

Monthly figures from the CSO show that house prices in Ireland  have risen for the first time since Autumn 2007 .
For almost 5 years – we have seen Irish house prices fall every month – with a handful of  months where there was  no change in price.  Nationally – the increase  isn’t  very big  – it is only a 0.2% increase since April 2012 . ( If that rise was converted to a 12 monthly figure – it would come to  2.4%)
Dublin house prices increased the most – by 0.5% in May .   (Annual equivalent  =  6%) .
House prices outside Dublin rose by just 0.1% in May.
(Apartment prices nationwide are still falling )

The CSO figures are compiled from mortgage data from Irish banks –  and are based on the actual price paid.  Cash sales are not included in the statistics – so the figure is not  100% accurate.

Ireland is supposed to be having a national House Price Register – which will be compiled from all Stamp Duty returns. Since January 2011 all residential property is liable for stamp duty. This change was introduced partly to help the government keep a record all house prices . The PSRA  (Property Services Regulatory Authority ) is tasked with setting up the price register – but after many missed dates it now looks like it won’t be ready until the end of 2012 .

The  monthly CSO house price index is based  on the  average of the current month and the previous 2 months. Of course –  monthly figures might just be showing short-term volatility rather than a long term price trend.