NORTHERN Ireland’s property boom hangover shows no signs of fizzing out according to latest industry research which says the market is “demonstrating erratic and uneven behaviour”. The average house price fell to around £163,459 in the North during the second quarter of 2010.
But the fall in value alone fails to fully explain what is going on in a market where house sales appeared to pick up in the last quarter but where property values continued to fall.
The latest University of UlsterQuarterly House Price Index , which is produced in partnership with Bank of Ireland and the Northern Ireland Housing Executive, shows that compared to prices achieved in the first quarter of the year, the overall average house price fell during the second quarter.
The latest research suggests the market is becoming increasingly affordable, with 61 per cent of properties selling at or below £150,000.
It may be good news for first-time buyers but they still have to get over the major hurdle of persuading a financial institution to give them the cash to close the deal. Although property values may have slumped in some areas, Northern Ireland’s love affair with detached bungalows is still going strong.
The average price of a stand-alone bungalow increased over the year by 9.4 per cent to £196,666 and it is even better news for homeowners with detached houses. The price for this type of property has jumped by nearly 19 per cent to £295,445. But spare a thought for those who bought what they thought was a dream terrace or townhouse – the nightmare they have woken up to is that their property has fallen in value in the last year by nearly 12 per cent to £105,580.
