Dublin House Prices Fall as Rural Markets See Strong Growth

The Irish property market is showing diverging trends, with house prices in Dublin experiencing their first annual decline since 2023, while rural areas see continued strong price inflation.

According to the latest sales report from property website Daft.ie, selling prices for homes in Dublin were 2.3% lower in June compared to the same month in 2025. The report notes this decline is consistent with a market where supply is recovering and buyer competition is easing, partly due to higher interest rates.

In contrast, areas outside the capital, particularly Munster and Connacht-Ulster, are experiencing robust asking-price inflation of 6.3% and 8.8% respectively. This sustained growth is attributed to acutely tight supply and insufficient new-build activity to meet demand.

Nationally, Daft.ie reported a 3.2% increase in selling prices for the year ending June, representing the slowest rate of growth since 2023. The typical gap between the initial asking price and the final selling price has also narrowed to 5.5% nationwide, down from 6.8% in June 2025, indicating reduced buyer competition.

The research highlights a "two-speed market," with average asking prices in rural areas rising considerably faster than in cities. While Dublin saw asking-price inflation roughly halve to 3%, the rate is nearly flat in other major cities. This disparity is closely linked to supply trends; nationwide, the number of second-hand homes for sale increased by 6% year-on-year to just over 13,100, though this remains about half the pre-pandemic level. Supply improvements are concentrated in urban markets, while Munster and Connacht-Ulster continue to face the tightest supply conditions.

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