First-time buyer average income grew by €15k while home values increased by €100k, says report
The average basic income of first-time buyers seeking a mortgage grew to €85,000 during 2024 as their average mortgage size also stood at just under €300,000, new data from the Banking and Payments Federation, Ireland (BPFI) shows.
As part of its latest Mortgage Market Profile Report for the second half of 2024, the BPFI compared the mortgage values and income level of buyers with levels seen in 2019. It found that in the five-year period, the median basic household income for first-time buyers looking to purchase a home increased by 22% from €70,000 in 2019 to €85,000 last year.
In that same period, the median first-time buyer mortgage value increased by €78,000, or 36%, to almost €294,000. The property value of the homes first-time buyers are looking to purchase increased by over €100,000 over that five-year period to almost €372,000.
It also found that 36% of first-time buyers' homes exceeded values of €400,000 in 2024, three times the 2019 share.
Regional breakdown
In terms of a regional breakdown, the BPFI said that all areas saw a substantial increase in median mortgage values with the median first-time buyer mortgage value increasing by €90,000 or more in three regions which included Wicklow, Galway and the Midlands.
Brian Hayes, chief executive of the BPFI, said these figures reflect the 'broader housing price trends with the national median residential property price increasing from €259,000 in 2019 to €355,000 in 2024'.
'On a regional basis, more than half of first-time buyer properties in Wicklow, 64%, and Dublin, 58%, were valued at more than €400,000. By contrast, more than 85% of first-time buyer properties in Limerick and the Border, Midlands, South East, West and South and Mid West regions were valued up to €300,000.'
Mr Hayes added that the average home mortgage value reached 'new peaks in 2024' a trend which has continued into the start of 2025.
The median average mortgage payment for first-time buyers has also risen by almost €500 to €1,400 since 2019. 'Four out of 10 first-time buyer mortgages had repayments over €1,500 and in three regions. Wicklow, Dublin and Kildare, more than half paid more than €1,500,' Mr Hayes said.
Mover-purchasers
The average household income of a mover-purchaser increased by 23%, or by €22,000, to €120,000 over the same timeframe. More than half, 58%, of mover mortgages had repayments over €1,500 in 2024, up from 33% five years earlier.
The average monthly repayment for a mover-purchaser mortgage stood at €1,717 in 2024.
Dublin had the highest median property and loan values as well as basic household incomes of all customer types during the second half of 2024. Cork was the second largest county market last year accounting for 11.7% of first-time buyers and 10% of mover-purchasers.
With 3.3% of total home mortgage drawdowns in the latter half of 2024, Limerick continued to be the smallest region in the country for mortgage activity.
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