Northern Ireland house price growth was the highest in Europe during 2006, according to a report published today.
The Royal Institute of Chartered Surveyors (RICS) European Housing Review, which compares prices across the continent, said Northern Ireland experienced growth of 36 per cent - outstripping all other regions.
It was closely followed by other star performers such as Poland - 32 per cent - and Denmark on 22 per cent.
Northern Ireland has experienced unprecedented house price growth in the last few years - the 36 per cent reported by the RICS is restrained compared to growth of over 50 per cent reported by other bodies for 2006.
RICS Northern Ireland residential property spokesman Tom McClelland said growth across the continent had been solid as Europe resisted the lead of the US, where the market ground to a halt.
He said: "Fears of a considerable house price slowdown in the UK, Spain and the Republic of Ireland - which are considered to be over-heated markets - once again proved to be off the mark."
Rising income and employment levels had cushioned the three markets, and others, from rising interest rates, he said.
The prospects for this year remain good as many economies entered the year on a firm note, said Mr McClelland.
"The UK market as a whole performed well, with growth of around 10 per cent, but it was Northern Ireland at 36 per cent that was the real powerhouse of Europe as our relatively buoyant economic conditions, a strong investor market and a significant shortage in housing supply pushed prices up very significantly.
"Although this has been good news for investors, it has added to the considerable affordability issues facing many households and first-time buyers," he said.
Of the big four markets - the UK, France, Germany and Italy - only the UK outstripped its 2005 performance. The RICS said that reflected the UK's dire land and new housing predicament, as lack of supply continued to artificially inflate the market.
PA