The price of the average second-hand three-bed semi in Limerick city has risen to €280,000, up 2.9% from €272,000 in the last three months, according to a national survey by Real Estate Alliance.

Average prices in the county rose during this period to €230,000, up 1.3% from €227,000, the Q2 REA Average House Price Index shows.

Across the county, the average time taken to sell is currently four weeks in Limerick city and county.

This quarter, agents reported that properties purchased by first time buyers accounted for 70% of sales in both the city and the county.

Buyers from outside of the county made up 45% of sales in the county as well as 25% of sales in the city.

And agents found that 60% of sales in the city and 40% of sales in the county this quarter are directly linked to landlords leaving the market. 

“Prices are still on an upward trajectory, but we are seeing the pace begin to slow,” said Pat Dooley, REA Dooley.

“Supply is still the biggest issue facing buyers, both mortgage-approved and trading up or down.”

The REA Average House Price Index concentrates on the actual sale price of Ireland's typical stock home, the three-bed semi, giving an accurate picture of the second-hand property market in towns and cities countrywide.

The actual selling price of a three-bedroom, semi-detached house across the country rose by 1.3% over the quarter to €297,056 – representing an annual increase of 6.6%.

The price of a three-bed semi in Dublin city has hit €500,000 for the first time, rising by by 0.3% in the past three months. They are now 14% ahead of their €431,000 Celtic Tiger peak level, with demand being largely driven by first-time buyers in an otherwise cautious market.

Time taken to reach sale agreed nationally has risen to six weeks as REA agents reporting that pricing levels are key in a sensitive market.

Cities outside Dublin experienced a 1.53% rise to an average selling price of €315,000 – an increase of 8.9% in the past 12 months.

Commuter areas rose by 0.4% to €315,389, with 41% of buyers coming from outside the county, a large proportion of them from the capital, with 72% of sales to first-time buyers.

The highest three-bed semi price rises came in the country’s main towns which rose by 2.24% in the past three months to an average of €216,517, with time taken to sell at five weeks.

Areas that attract holiday home buyers have noted an increase in UK or cross border interest with examples such as Bantry and Bundoran both recording €5,000 average increases in the past three months.