Statement by Simon Brien, Managing Director.
Simon Brien Ltd, a leading estate agency in Northern Ireland and part of the Sherry FitzGerld Group have today released a detailed report on the Northern Ireland residential property market. The report emphasises that Northern Ireland’s residential property market has demonstrated resilience in the face of economic challenges, with key indicators showing a positive shift in 2024. The region's economy has outperformed the UK economy post-pandemic, driving growth in construction and residential transactions. However, despite the progress, ongoing supply shortages and increasing prices continue to pose challenges for homebuyers and the housing sector.
Commenting on the findings in the report, which was completed by the Research arm of Sherry FitzGerald Group, Simon Brien, Managing Director of Simon Brien, Northern Ireland noted; “Residential property transactions have picked up pace since the opening months of 2024, following a slowdown in 2023 due to rising borrowing costs. This has been accompanied by notable price growth”.
Preliminary figures for residential sales look set to surpass 2023 levels with transactions totalling an estimated 9,802 in the first half of the year, according to latest data from the NISRA. The majority of transactions during the first half of the year, 91%, consisted of house sales totalling 8,896. The remaining 906 transactions comprised apartments. Belfast led transactions in the first half of 2024, accounting for more than a fifth or 2,019 of all sales.
Price growth continues to trend upwards. The latest figures from the Northern Ireland Statistics and Research Agency (NISRA) show that average house prices increased by 3.6% in Q2 2024 to £185,025, marking a 6.4% rise year-on-year. New dwellings saw even higher growth, with prices up 10.8% compared to the previous year.
Average prices are now 90% above the lowest point recorded by the index in the first quarter of 2013. However, prices remain almost 18% below the peak of quarter three in 2007. New dwellings saw the strongest growth rising by 6.4% in quarter two to £237,090, while existing dwelling grew by 3.2% during the quarter to reach £174,223.
Apartment prices in Northern Ireland are rising slightly faster than house prices. In the year to quarter two 2024, apartment prices increased by 7.7%, reaching a standardised price of £139,287. In comparison, house prices grew by 6.3% over the same period, with a standardised price of £196,365. Newry, Mourne and Down had the highest standardised house price growth of 8.9% reaching £211,630 in quarter two of 2024.
Further commenting Simon Brien noted "Development activity in Northern Ireland showed encouraging growth in the first half of 2024, with 2,778 residential units completed, marking a 6% increase compared to the same period last year.”
The report notes that this latest data reflects a steady recovery in housing supply, with houses dominating the majority of completions and apartment builds seeing a notable 25% rise. Furthermore, the number of residential units starting construction also saw a positive uptick, reaching 3,375, a 15% increase from the first half of 2023.
However, it's important to recognise that while these recent improvements are a positive step forward, completion levels in Northern Ireland have been on a downward trend in recent years. With just 5,373 new dwellings completed in 2023—the lowest since 2005—this reduction in housing supply has likely contributed to the recent surge in property prices, underscoring the need for sustained investment in infrastructure and planning policy to enable new housing to be built to meet current and future market demand.
The report concludes noting that interest rates now appear to be on a downward trajectory assuming consumer price inflation remains low. This will help improve affordability for purchasers and further stimulate demand in the market, which if not matched by supply will put further upward pressure on prices.
ENDS
For media enquiries, please contact:
Jill O’Neill, PR Director, Sherry FitzGerald Group
Phone: +353 1 237 6500 / +353 86 252 3277, jill.oneill@sherryfitz.ie
Notes to Editor:
About Simon Brien
Simon Brien is Northern Ireland’s leading estate agency, with over 40years’ experience and 45,000 properties transacted. The company operates in private residential and new homes sales, premier homes and country estates, as well as land sales and consultancy. Services also include lettings, property management, mortgages and financial services. The company’s success is built on the traditional values of customer care, extensive experience and personalised service, all underpinned by world-class technology enabling operational and service excellence. 2024 marked a pivotal moment in the company’s trajectory, when they joined Sherry FitzGerald, the Republic of Ireland's largest estate agency.
Website: www.simonbrien.com
About Sherry FitzGerald Group
Sherry FitzGerald Group is the Republic of Ireland’s largest estate agent with over 100 offices, including 73 operated by franchise members, employing over 550 people nationwide. It comprises five key divisions, being residential, new homes, commercial, lettings, and financialservices.
Website: www.sherryfitz.ie
