House price inflation slows to 4.7% as Dublin growth drops below 3% and supply remains constrained
MyHome report shows median prices at €385,000 nationally with homes still selling 7% above asking amid low stock levels of 11,800 listings
9 April 2026 | 📧 editor@ipropertyradio.com
Annual house price inflation has slowed to its lowest level in over two years, even as supply constraints and strong buyer competition continue to define Ireland’s housing market.
The latest MyHome Q1 2026 Property Report, published in association with Bank of Ireland, shows annual asking price inflation easing to 4.7% nationwide, marking the fifth consecutive quarterly slowdown. Prices rose by 1% in the first three months of the year, with more modest increases of 0.2% in Dublin and 1.7% outside the capital.
The median asking price nationally now stands at €385,000, rising to €450,000 in Dublin and €330,000 across the rest of the country.
The slowdown is most pronounced in Dublin, where annual inflation has eased to 2.9%, the lowest level in almost three years. Outside the capital, price growth remains stronger at 6.1%.
Conall MacCoille, Chief Economist at Bank of Ireland, said the moderation reflects a market adjusting after a period of rapid growth.
“This quarter’s MyHome Report shows that asking prices rose by 1% in Q1 2026, a relatively sedate rise ahead of the summer trading season. Hence, the annual rate of inflation slowed again, to 4.7% in Q1 2026, down for a fifth consecutive quarter from the 8.4% peak at end-2024.”
Despite this easing, competition remains intense. The report finds the median transaction price is still 7% above the original asking price, while one in six homes sold in March achieved at least 20% above asking. Properties are also moving quickly, with the median time to sale agreed at just over one month.
Supply remains a critical constraint. There were 11,800 properties listed for sale at the end of Q1, up 9% year-on-year but still significantly below pre-pandemic levels exceeding 20,000. New listings rose by just 2% annually to 8,000 in the first quarter, indicating limited improvement in market liquidity.
At the same time, mortgage activity is showing signs of cooling. Banking and Payments Federation Ireland data indicates that average mortgage approvals for first-time buyers reached €320,000 in January, up just 1.9% year-on-year, the slowest rate of increase since 2021.
The report highlights a potential structural shift in the rental market, with a sharp increase in landlords exiting the sector. Residential Tenancies Board data shows 10,612 notices of termination were issued in the second half of 2025, up nearly 40% on the previous year. Of these, 60% of landlords indicated they intended to sell.
MacCoille said this trend could reshape supply dynamics in 2026.
“A notable feature of the Irish housing market in 2026 will be elevated numbers of small landlords in the private rented sector leaving that market and selling their properties,” he said, noting that these sales could boost transactions but may also be offset by reduced mobility among owner-occupiers.
MyHome Managing Director Joanne Geary said the landlord exodus presents both risks and opportunities.
“While a predicted surge in small landlords exiting the private rental sector is clearly bad news for the rental sector as a whole, this could boost housing transactions this year by 3%, which could provide some much-needed liquidity in a very tight market.”
On the supply side, housing completions reached 36,000 in 2025, exceeding expectations, largely driven by a 40% increase in apartment delivery. Completions are forecast to reach between 37,000 and 38,000 in 2026, with construction activity in Dublin up 20% year-on-year.
However, cost pressures remain a concern. Rising energy prices, including Brent crude exceeding $100 per barrel, are expected to feed into construction costs and pose further challenges for delivery.
Looking ahead, the report suggests affordability constraints are beginning to moderate price growth. MacCoille said transaction price inflation, currently running at around 7% based on CSO data, is expected to slow to approximately 4% by the end of 2026.
The report concludes that while price growth is easing, the combination of limited supply, strong demand and structural shifts in the rental sector will continue to shape a constrained and competitive housing market in the year ahead.
