Written Answers. - House Prices.
Ivor Callely
Ceist:
96
Mr. Callely
asked the
Minister for the Environment and Local Government
the most recent data available for house prices in the Dublin region; the measures that can be taken to significantly reduce price increases and help people wishing to purchase their own houses; and if he will make a statement on the matter.
[10272/01]
Minister of State at the Department of the Environment and Local Government (Mr. Molloy): My Department's most recent house price data – for the December quarter 2000 – reveal that house price increases in Dublin were showing signs of further moderation. New and secondhand house prices rose by 12.5% and 10.8% respectively between the last quarter of 1999 and the last quarter of 2000, significantly down on the increases on the comparable 1998/1999 period of the order of 23%. The average price of a new house in Dublin was £174,622 last year, while the average secondhand price was £194,559. Typical first time buyer prices are well below the overall average house prices. Indicative figures from my Department's house purchase survey suggest that new house price bought by first time buyers averaged £151,500 in Dublin in 2000, while the average secondhand price stood at £153,000.
The cornerstone of the Government's policy on housing is to maximise the supply of housing to meet the rising demand. We have introduced a wide range of measures, most recently in the policy document, Action on Housing – June 2000 – to increase the supply of housing and serviced land through fast tracking of developments and targeted investment in key infrastructural projects, to discourage speculative property investment and strengthen the position of first time purchasers, to increase the supply of social and affordable housing to meet rising housing needs, and to improve the institutional arrangements to facilitate the delivery of housing related infrastructure and thereby increase overall housing supply.
The Government have also introduced targeted measures to improve affordability, especially for first-time buyers, through measures to increase significantly the overall supply of houses, and the provision of a suitable mix of houses (including affordable houses) in residential developments; revised stamp duty thresholds and rates to ease the burden on first time purchasers, improve their position in relation to existing owner occupiers and investors, measures to discourage speculative demand, especially at the lower end of the market and significant improvements to the eligibility criteria under the shared ownership and the affordable housing schemes.
The Government is committing substantial additional resources to housing and housing related infrastructural development, over and above that which has been committed in the national development plan and the Programme for Prosperity and Fairness. These further measures provide a comprehensive and coherent response to growing housing need.
