Prices continue to rise but growth due to slow

There appears to be industry agreement that the housing market will slow
There appears to be industry agreement that the housing market will slow

Northern Ireland house prices remained firmly on an upward trend in July according to the latest data from the Royal Institution of Chartered Surveyors.

Backed by the Ulster Bank, the latest Residential Market Survey contradicts the claim from the Ulster University’s latest Quarterly House Price Index on Wednesday that there had been a 1.1% fall in values.

However, both agreed that the outlook in the months ahead is less positive.

The RICS survey indicated that house prices continued to rise and enquiries from potential buyers were up last month but that expectations for prices and sales in the three months ahead have moderated.

This appears to be linked to a falling number of new properties coming onto the market, continuing to restrict supply, combined with some political and economic uncertainty.

“This week marks 10 years since the onset of the credit crunch which was followed by Northern Ireland’s property downturn,” said RICS residential property spokesman, Samuel Dickey.

“Ten years on, the market appears in reasonably good health with prices edging up and evidence of good buyer interest, though average prices remain some 40% below their 2007 peak.

“Today the key challenge for the market appears to be supply, along with some economic and political uncertainty.”

Sean Murphy, MD, personal banking at Ulster Bank, said: “The summer can be a quieter time of year for house buying activity, but we continue to see a strong flow of mortgage interest, and there is little indication that this will change significantly.

Buying in Northern Ireland remains relatively affordable compared with other parts of the UK and we see evidence that many people have a strong desire to own their own home