Ireland is a popular destination for overseas property investors, due to its strong economy, beautiful scenery, and friendly people. However, the Irish property market is also one of the most expensive in Europe. In 2023, the average house price in Ireland is €386,000, which is 39% below its pre-crisis peak of 2007.
Despite the high prices, there is still a strong demand for overseas property in Ireland. This is due to a number of factors, including:
- The Irish economy is growing strongly. In 2022, Ireland’s GDP grew by 4.6%. This is the fastest growth rate in the eurozone.
- Ireland is a popular tourist destination. In 2022, Ireland received over 10 million visitors. This is a significant increase from the pre-pandemic level of 8.5 million visitors.
- Ireland has a young and growing population. The median age in Ireland is 37.8 years. This is the youngest median age in the European Union.
If you are thinking of selling your property in Ireland, there are a few things you should keep in mind:
- Get your property valued. It is important to get a realistic valuation of your property before you put it on the market. You can do this by hiring a professional valuer or by using an online valuation tool.
- Market your property to overseas investors. There are a number of ways to do this, such as listing your property on international property websites or working with a real estate agent who specializes in overseas buyers.
- Be prepared to negotiate. The Irish property market is competitive, so be prepared to negotiate on the sale price of your property.
- Work with a qualified real estate agent. A qualified real estate agent can help you navigate the process of selling property to an overseas investor and ensure that you get the best possible price for your property.
Here are some additional tips for selling property in Ireland:
- Make sure your property is in good condition. Overseas investors are often looking for properties that are in good condition and require minimal repairs.
- Be prepared to provide documentation. Overseas investors may need to provide additional documentation, such as proof of funds and a visa, in order to complete the sale of the property.
- Be patient. It may take longer to sell your property to an overseas investor than it would to a domestic buyer. This is because overseas investors often have to go through a more complex buying process.
Overall, selling property in Ireland can be a rewarding experience. However, it is important to be realistic about your expectations and to take the necessary steps to prepare your property for sale.
Ireland’s resurgence can be attributed to Dublin, which has one of the best performing housing markets in Europe, especially in posh neighbourhoods such as Ballsbridge and Ranelagh. The bidding for homes in this part of the world is highly competitive, often, properties sell for 20 percent over the asking price.
Ireland has many things going in its favour – it is the fastest growing economy in the eurozone. Ireland achieved an economic growth rate of 4.6% last year. But there are serious concerns that we may be at the beginning of another real estate bubble in Ireland.
These concerns have been expressed by top economists such as Colm McCarthy, who said, “there is another house price bubble under way in the Dublin area.” This is despite the fact that home prices in Ireland are still 39 percent below their pre-crisis peak of 2007. Indeed, according to Knight Frank, Ireland pretty much “languished at the foot of the table” from 2009 to last year.
However, economists such as Colm McCarthy have warned about the rising threat of homelessness for many families due to property prices becoming unaffordable for a majority of Irish. They allude to the fact that even simple three-bedroom and four-bedroom homes in middle class suburbs of Dublin are today unaffordable for many families in Ireland.
Mr. McCarty writes in the Independent, “Notwithstanding the efforts by the Central Bank to keep mortgage credit under control, some extraordinary prices have been quoted recently for the small parcels of land that become available.” He warns about the Dublin land prices which have risen to unaffordable levels.
Similar concerns have been voiced by the Paris-based economic think-tank OECD about an emerging real estate bubble in Ireland. The OECD warned, “Pent-up demand after a long crisis may result in stronger private spending than projected. Strong property prices may boost construction activity further in the short run, but also risk sparking another spiral of higher property prices and credit.”
The OECD is emphatic that “Ireland’s still high debt leaves it particularly vulnerable to any re-emergence of the banking and sovereign debt crisis”.
A powerful documentary by UTV Ireland titled, ‘Insight: Is the Property Bubble Back?’ investigated the state of the property market in Ireland. It found that average rents in Dublin are higher than ever before, and the surging home prices here are forcing the middle class to buy homes in commuter towns such as Wicklow and Naas.
There is no question that there is every reason to be concerned about the state of the real estate market in Ireland, but it cannot be denied that there is a huge interest in the country from cash rich overseas investors, from Britain as well as from emerging nations such as China. The overseas property market in Ireland may be an expensive one, but it has never been more desirable than it is now.