January 2015 has proved a busy start to the new year, with again, more people wishing to purchase properties than properties are available. According to Yvonne Mullaney of Executive Sales and Lettings, the quarter to the end of December 2014 had seen the market at a virtual standstill, but things have started to move again.
Commuter counties to Dublin and the other major cities are expecting a strong 2015 - with healthy demand and limited supply being major factors, according to REA agents.
Demand in the three main cities outside Dublin is expected to remain high due to a lack of supply, with prices in Cork expected to rise by 10pc, Limerick by a stronger 12pc and Galway City by 15pc thanks to a shortage of good quality homes for sale in the Western capital.
"Overall, we are now seeing a welcome return to a normally functioning market where you are likely to see less volatility and, thankfully, more predictability. As the market started to rebound, some of the high percentage recoveries that we saw in 2014 were quite misleading, due to the limited number of transactions involved, and the low price base that we were coming off."
After Dublin, Cork city was the next market to recover. It went from static prices to a rapid rise at the end of 2013. This was spearheaded by an investor feeding-frenzy at the bottom, with apartments snatched up.
Galway soon saw its prices begin to surge in a similar fashion and Limerick was next. Cork and Galway are now both experiencing similar issues to Dublin ie large demand and shortage of available properties for sale.
We are seeing a huge surge of interest in properties selling under €100,000, which are still being snapped up by first time buyers wanting to get their feet on the ladder and by savvy investors who see the value of the rental market in Galway City.