'Too few homes on the market' as Dublin house prices surge 12.3 per cent in a year
Dublin house prices have surged 12.3 per cent in just one year.
According to Daft.ie's latest House Price Report, prices increased by an average of 3 per cent nationwide during the second quarter of 2025. The typical listed price in the second quarter of the year across the country was €357,851, 12.3 per cent higher than a year previously, and 40 per cent higher than at the onset of the Covid-19 pandemic.
Dublin's annual surge of 12.3 per cent mirrors the national average while the rest of Leinster is up 14.3 per cent year on year. Waterford recorded the largest city increase at 15.2 per cent while Cork recorded a single-figure rise of 8.6 per cent.
Inflation in the listed price of properties is at a ten-year high with such a rate not seen in the market since the first quarter of 2015 which prompted the introduction of mortgage market rules. There were 3,600 second-hand homes fors ale in Dublin on June 1st, up 10 per cent on the same date a year ago but almost 30 per cent lower than the 2015-2019 average of nearly 4,000.
Ronan Lyons, an economist at Trinity College Dublin and the author of the report, said: "There are simply too few homes on the market at the moment. On top of an insufficient number of new homes being built, there are also not enough second-hand homes being traded.
"In the year to June 1st, there were a total of just over 51,000 second-hand homes put on the market. For comparison, in 2019, before all the disruption of covid, there were almost 67,000 homes put up for sale.
"As I noted in the commentary to a previous report, covid19 was the principal disruptor here, with lockdowns meaning just 45,000 homes were put up for sale in the year to March 2021. But it is not entirely to blame. Over the following two years, the market recovered and over the course of 2022, there were just over 63,000 homes listed.
"The sharp rise in interest rates then, however, has weighed heavily on the market. Those increases were well-flagged, giving existing homeowners time to fix interest rates ‐ but fixing of course reduces mobility. In 2024, just 50,000 homes were put up for sale, putting the market much closer to its covid-era low than the pre-covid average.
"With such scarcity ‐ and strong demand ‐ comes acute pressure on prices. Across the country as a whole, prices are now 40% higher than when covid19 first hit ‐ in some parts of the country, prices are over 60% higher.
"But there are some signs, however early and tentative, that conditions are turning. As is often the case, they are limited ‐ for now ‐ to the Dublin market. But the volume of second-hand homes put up for sale in Dublin over the last 12 months didn't fall further, as it did elsewhere. Instead, it grew slightly (by 3%).
"And the stock of second-hand homes still for sale on the market on June 1st in the capital was almost 10% higher than on the same date a year previously. In the housing market, quantities typically lead prices ‐ so an improvement in the flow on to the market and in the overall availability should moderate price growth in the capital in the coming months."
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