This compares with an increase of 5.6% in November and a decrease of 4.5% recorded in the 12 months to December 2012, indicating that a recovery in the nation’s housing market is underway.
On a monthly basis property prices grew by 0.3% in the month of December, somewhat lower than the increase of 0.6% recorded in November but higher than the decrease of 0.5% recorded in December 2012. Price growth often slows towards the end of a year.
It is also clear that much of the growth centres on Dublin where property prices grew by 0.3% in December and were 15.7% higher than a year ago. Dublin house prices grew by 0.1% in the month and were 15.3% higher compared to a year earlier.
Dublin apartment prices were 20.8% higher when compared with the same month of 2012. However a CSO spokesman said that it should be noted that the sub-indices for apartments are based on low volumes of observed transactions and consequently suffer from greater volatility than other series.
The price of residential properties in the rest of Ireland rose by 0.1% in December compared with no change in December of last year. Prices were 0.4% lower than in December 2012.
Even although there is a recovery in property prices they still have a long way to climb. House prices in Dublin are 47.4% lower than at their highest level in early 2007. Apartments in Dublin are 54.5% lower than they were in February 2007. Residential property prices in Dublin are 49.1% lower than at their highest level in February 2007.
The fall in the price of residential properties in the rest of Ireland is somewhat lower at 46.8%. Overall, the national index is 46.4% lower than its highest level in 2007.
