House prices in Westmeath up by almost 4% - REA

The price of an average three-bedroom semi-detached house in Westmeath has risen 3.7% to €140,000 in the last three months, according to a national survey carried out by Real Estate Alliance.
The REA Average House Price Index concentrates on the sale price of Ireland’s typical stock home, the three-bed semi, giving an up-to-date picture of the property market in towns and cities countrywide.
“As prices remain below build cost, previously rented homes are switching to owner-occupiers with investors leaving the marketplace,” said Healy Hynes from REA Hynes in Athlone.
“Athlone was lucky to have very few ghost estates, so we estimate there will be another 3-4 years of price rises and rent increases until there is new stock of any scale being brought to market.”
A nationwide supply shortage has fuelled a rise of over 2% in the price of the average house in the last three months, with the majority of counties in the State recording price increases in Quarter Two this year, the latest Real Estate Alliance Average House Price Survey found.
However, it is the lack of supply of suitable properties in a scarce market that has caused these rises, exacerbated by the effect of would-be commuters moving ever further from Dublin to acquire affordable homes.
“We are seeing firms who are in business for 50 years who have never experienced such a low level of supply, and this is responsible for causing sharp increases in prices in some areas over the past three months,” said REA Chairman Michael O’Connor.
The average three-bed semi nationally now costs €195,361, an increase of over €4,000 (+2.18%) since the end of March. This is a rise of 4.49% against the same time last year.