Mortgage approval values jump nearly 18%
The total combined value of all mortgages approved during May stood at €1.6bn, an increase of 17.8% compared to the same month last year, as house prices continue to increase, new data from the Banking and Payments Federation, Ireland show.
The data shows last month there were 5,038 mortgages approved — an increase of 10.5% compared to last year — of which 3,092 mortgages were first-time buyers and 948 were mover purchasers. The value of these mortgages stood at €1.6bn — of which first time buyers accounted for just over €1bn and mover purchasers accounted for €364m.
Remortgaging and switching activity saw a significant increase during May, with approvals up 66.9% to 586, while the value increased 94.9%, to €169m.
BPFI chief executive Brian Hayes said the increase in remortgaging and switching activity 'marks a return to historically typical levels of switching activity, following a sharp peak in activity in 2022 and subsequent slowdown'.
In the 12 months to the end of May, home mortgage approvals values hit a record €14.1bn.
Mr Hayes said this was the first time the value of mortgages approved in a 12-month period had exceeded €14bn.
'At the same time, the number of home mortgages exceeded 43,000 for the first time since the data series began, with 43,070 mortgage approvals in the 12 months ending May 2025. First-time buyers continued to dominate, with 32,118 mortgage approvals valued at more than €10.1bn over the same period,' he said.
Earlier this week, the latest Daft.ie House Price Report showed house price inflation hit its highest levels in 10 years, with the typical listed price 12.3% more than a year ago. The typical listed price countrywide stands at €357,851.
Average prices are now 40% higher than at the onset of the pandemic.
The number of second-hand homes available to buy across the country stood at close to 12,100 as of the start of this month. This is largely unchanged compared to a year ago, and less than half the average prior to the pandemic.
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Irish Examiner
10 hours ago
- Irish Examiner
Mortgage approval values jump nearly 18%
The total combined value of all mortgages approved during May stood at €1.6bn, an increase of 17.8% compared to the same month last year, as house prices continue to increase, new data from the Banking and Payments Federation, Ireland show. The data shows last month there were 5,038 mortgages approved — an increase of 10.5% compared to last year — of which 3,092 mortgages were first-time buyers and 948 were mover purchasers. The value of these mortgages stood at €1.6bn — of which first time buyers accounted for just over €1bn and mover purchasers accounted for €364m. Remortgaging and switching activity saw a significant increase during May, with approvals up 66.9% to 586, while the value increased 94.9%, to €169m. BPFI chief executive Brian Hayes said the increase in remortgaging and switching activity 'marks a return to historically typical levels of switching activity, following a sharp peak in activity in 2022 and subsequent slowdown'. In the 12 months to the end of May, home mortgage approvals values hit a record €14.1bn. Mr Hayes said this was the first time the value of mortgages approved in a 12-month period had exceeded €14bn. 'At the same time, the number of home mortgages exceeded 43,000 for the first time since the data series began, with 43,070 mortgage approvals in the 12 months ending May 2025. First-time buyers continued to dominate, with 32,118 mortgage approvals valued at more than €10.1bn over the same period,' he said. Earlier this week, the latest House Price Report showed house price inflation hit its highest levels in 10 years, with the typical listed price 12.3% more than a year ago. The typical listed price countrywide stands at €357,851. Average prices are now 40% higher than at the onset of the pandemic. The number of second-hand homes available to buy across the country stood at close to 12,100 as of the start of this month. This is largely unchanged compared to a year ago, and less than half the average prior to the pandemic. Read More Home building activity falls by over 4% marking 'hugely disappointing' start to 2025
Irish Times
10 hours ago
- Irish Times
Mortgage approvals reach record €14.1bn
Mortgage approvals reached record levels in the past 12 months, rising to €14.1 billion driven by a 17.8 per cent year-on-year increase in mortgage values. In the past year, first-time buyers were collectively approved for €10.1 billion in home loans, and they accounted for nearly two-thirds – 62.5 per cent – of all mortgages approved in May, according to new figures from the Banking and Payments Federation Ireland (BPFI). Mortgages approved in May amounted to €1.6 billion across 5,038 total approvals. In addition to €1 billion from first-time buyers, mover purchasers accounted for €364 million in mortgages, 22.6 per cent of those approved in the period. The growth was driven by a 7.1 per cent growth in the number and value of mortgages month on month. The number of home mortgage approvals in the past year exceeded 43,000 for the first time since the lobby group began collecting the data. A total of 43,070 mortgages were approved in the 12 months ending in May. READ MORE There was strong growth in switching or remortgage approvals in the past month – up 66.9 per cent – as well as growth in top-up approvals which rose 13.3 per cent year on year, but just 57 residential investment letting mortgages were approved – down 18.6 per cent. The average mortgage approval value hit a new record of €319,000 the month prior, in April 2025, as figures from the Central Statistics Office show house prices in Ireland grew at an average annual rate of 7.5 per cent in April. A report from estate agent DNG indicated that the average price of a second-hand home in Dublin has reached €600,047, according to a new report from estate agent DNG. It comes amid ongoing supply shortages and surging demand fuelled by Government incentives and expectations of further interest rate cuts. The chief executive of BPFI, Brian Hayes, said mortgage approval figures 'show continued growth in May' noting that home mortgage activity had 'climbed to new heights'. 'The value of approved home mortgages exceeded €14 billion for the first time, with more than €14.1 billion in home mortgage approvals,' Mr Hayes said. He said first-time buyers 'continued to dominate with 32,118 mortgage approvals valued at more than €10.1 billion over the same period.' Mortgage switching approvals reached their highest monthly levels in May since January 2023 following an increase of 66.9 per cent in volume and a 94.9 per cent just in value year on year. Mr Hayes noted this was an increase on a 'relatively low base' but said it returned the activity level to 'historically typical levels' following 'a sharp peak in activity in 2022 and subsequent slowdown'.
Irish Independent
a day ago
- Irish Independent
Young people in Laois moving back in with parents amidst housing shortage and sky-high prices
House prices in Laois and Offaly are up by over 16% year on year, and are now around 60% higher than costs before the Covid-19 pandemic, according to the House Price Report for Q2. The counties are among the fastest-rising housing markets in the country, driven largely by a severe housing shortage and placing additional pressure on first time buyers in the midlands. The average house price in Laois is currently €284,031 and the price of a one bed apartment in the county at the moment is around €118,000, up just over 30% from this time last year, according to the report. Independent councillor Caroline Dwane Stanley, who was chair of the housing committee at Laois County Council for the previous two terms, said that these issues are causing 'a stressful time for young people'. 'We are bringing on a stream amount of social housing which is good, but we don't have affordable cost rental or private housing coming on stream, and that is where I see the problem. 'There are 30-year-olds who have moved back in with their parents because they can't see themselves ever affording their own home,' the councillor said. Cllr Dwane Stanley said that many young people have been in touch with the council about being 'outside the income limits' to be eligible for social housing, however, cannot afford to buy their own home. Working with housing applications through the county council, the councillor said that the greatest demand in Co. Laois is for one bedroom and two bedroom places. A two bed terrace is up 17.3% this year compared to last year at €154,000 and a three bed semi-detached house is up 13.9% at €204,000. A four bed bungalow has risen 18.5% to €412,000 and a five bed detached house is now worth €427,000, up 21.4% on last year. Independent Cllr in Laois James Kelly said that the county is the centre of Ireland and is home to many large businesses and state funded bodies. 'I'm not surprised that housing prices are increasing with the demand and infrastructure there but I would worry that we're going to head for another crash. 'As a councillor, I see the number of housing applications coming in so we have to try and meet that demand,' he said. He added that like most of Ireland, rental properties are scarce in the midlands, leading to a competitive and expensive market for tenants.
