Irish House Price Inflation Hits Lowest Level Since 2024

The Central Statistics Office Ireland reported that residential property price inflation slowed to 5.5 percent in the 12 months leading to July 2026. This represents the lowest annual increase since January 2024 and a slight decline from the 5.6 percent growth recorded in June.

Regional data shows that property prices outside Dublin rose by 6.4 percent, while prices within the capital increased by 4.4 percent. The national median dwelling price for the year stood at €399,999. The highest median price was recorded in Dún Laoghaire-Rathdown at €684,411, while Longford recorded the lowest at €200,000. Revenue data further indicated that 2,035 first-time buyer purchases were filed in July.

Market cooling is attributed to an increased supply of new homes and rising interest rates implemented by the European Central Bank following an energy shock caused by the Iran war. However, the Central Bank of Ireland has lowered its forecasts for new home completions for this year and next due to a slowdown in housing commencements. While new home supply has increased, the supply of second-hand properties remains constrained. Industry experts warn that higher interest rates may create financing challenges for developers and hinder the ability of aspiring buyers to enter the market.