Average second-hand house prices nationwide increased by 6.8% last year, according to a new report from estate agent Sherry FitzGerald. While this represents a slight decrease from 2024’s 7.2% increase, the report indicates that price inflation is beginning to stabilize across the housing market.
Regional variations remained significant, with prices outside Dublin rising by an average of 8%. The border and southeast regions recorded particularly strong increases, with prices climbing 11.1% and 9.4% respectively. In contrast, residential building prices in Dublin increased by 5.8% last year, down from a 7.1% annual increase in 2024.
The report revealed approximately 35,100 housing transactions occurred in the first nine months of 2025, representing a 3.4% increase compared to the same period in 2024. Sherry FitzGerald attributed this growth primarily to new home sales, which surged 19.3%, accounting for 1,271 additional transactions year-on-year.
Second-hand home sales remained relatively stable with 27,256 transactions, showing only a marginal 0.4% decrease compared to 2024. A notable trend emerged in investor participation, which declined significantly. In 2025, investors accounted for just 8% of the second-hand housing market, the lowest figure recorded since 2011.
Marian Finnegan, CEO of Sherry FitzGerald, stated that the 2025 price increase underscores the ongoing imbalance between housing supply and demand. The substantial price growth outside Dublin highlights the critical need to deliver homes across all regions of the country, not just the capital.
Finnegan warned that planned changes to the rental system from March could produce unintended consequences. The reforms affecting both tenants and landlords are causing landlords to exit the market at an accelerated pace, which threatens to further exacerbate the housing shortage in the rental sector.
The report emphasized that 2026 will be a critical year for assessing the effectiveness of recent legislative and policy reforms. As Ireland continues grappling with housing supply challenges, the impact of new regulations on market dynamics and housing availability will become increasingly apparent in the months ahead.