Mortgages have hit levels not seen since right before the crash
The Banking and Payments Federation Ireland (BPFI) has published its latest mortgages figures, painting a picture of the rising cost of buying a home in Ireland today.
Almost €6.2 billion worth of mortgage drawdowns were made in the first half of 2025, an increase of 18.7% on the same period last year and the highest values for the first six months of a year since 2008.
During the first half of 2025, the average mortgage value hit a record high of €329,444.
Mortgages for first-time buyers have also shot up. As of the end of June, a total of 11,803 first-time mortgage drawdowns have been recorded this year, amounting to more than €3.7 billion – the highest volume and value since 2007 and 2006 respectively.
'While all customer segments in the first half of 2025 grew year-on-year, first-time buyers continue to dominate,' said BPFI chief executive Brian Hayes
The value of switcher mortgages hit €732 million, the third-highest for the first six month of the year since 2008.
Switcher mortgages in the first half of the year were up 41.9% in volume and 60% in value compared to the same period in 2024.
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'This signals a normalisation of switching trends, following a sharp peak in activity in 2022 and subsequent slowdown,' Hayes said.
New properties, including self-builds, accounted for 34.5% of home purchase mortgage drawdowns in H1 2025, up from 31.7% in H1 2024. It's the highest share of total home types taken up by new properties since 2010.
The number of mortgages on second-hand properties increased marginally to 10,312.
The number and value of mortgage drawdowns in Q2 2024, Q1 2025 and Q2 2025
Banking and Payments Federation Ireland
Banking and Payments Federation Ireland
The rising figures are in line with stories from home buyers about having to fork out large sums for a house or apartment as the housing crisis persists.
Asking prices
climbed an average of 7% year-on-year in recent months
, with Donegal – the county with the highest increase – seeing a jump of 19%.
Galway and Leitrim have both seen a 13% rise in asking prices, reaching an average of €350,000 and €198,000 respectively.
In many cases, properties ultimately sell for well above asking prices as prospective buyers out-bid each other to secure coveted homes.
Brian Hayes said that there had been a significant increase in Help to Buy applications for first time buyers.
'First-time buyer mortgage approval volumes rose by 5.4% to 15,736 in the first half of 2025, the highest such level since the data series began in 2011, while mover purchase approval volumes fell for the fourth year in a row to 4,990.
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'First time buyer housing demand remains very strong, with 22,903 Help to Buy applications in the first half of 2025, according to the Revenue Commissioner, almost 41% more than in the first half of 2024.'
The new National Development Plan published this week stated that the government intends to invest €35.955 billion in housing development from 2026 to 2030, broken down into €28.275 billion for housing itself and €7.680 billion for water infrastructure.
However, critics of the plan have said it was scant on detail and held back from committing to concrete investment measures to alleviate the housing crisis.
Green Party housing spokesperson Councillor Oliver Moran said the NDP was a 'missed opportunity' for the government to help local authorities make more housing available.
'Local authorities up and down the country are ready to do their part on improving our existing buildings,' Moran said.
'This National Development Plan was a missed opportunity to commit serious resources to local authorities to retrofit more council housing, tackle vacancy through compulsory purchases and activate the derelict sites that blight our streets.'
Social Democrats housing spokesperson TD Rory Hearne said that the NDP 'gives no indication that the government is planning to move away from the measures that have plagued housing provision in the last decade, the failed policies which pander to developers and investment funds'.
'No amount of money can solve the housing crisis if the government refuses to change its approach to providing social and affordable homes – [the NDP] gives me no reason to believe that it intends to do otherwise,' Hearne said.
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The Irish Sun
5 days ago
- The Irish Sun
We went from no savings to buying first €375k new home 20 mins outside Dublin at 25 with little-known €100k scheme help
BUYING a home in Ireland in the current climate can feel like an impossible task. But Casey Harris and her fiancé Alex Nugent have lifted the lid on how they went from no savings to going sale agreed on a €375,000 house in just one year. 6 Thrilled Casey and Alex went from having no savings to getting a foot on the property ladder 6 The former Dublin Rose is looking forward to moving into her own home later this year 6 Casey and Alex are very excited to see what the future holds 6 Artist's and Alex's new-build will look similar to above The thrilled couple will move into their new two-bedroom home in Trim, Co Singer and music teacher Casey said the couple made use of every assistance scheme they could when it came to getting on the property ladder - and reckons they Casey, 25, told the Irish Sun: 'We've been together for five years, we got engaged at the beginning of 2024 and in the midst of wedding planning we decided to knuckle down and look at buying a house. 'We didn't think it would happen as quickly as it did. 'We kind of went and made an appointment with the bank, spoke to a mortgage advisor in the bank to get an idea of what sort of figure we needed to be saving. 'We had it in our head that we needed a ten per cent deposit saved.' Casey said the couple weren't fully sure what they were getting themselves in for, but once they heard of schemes to assist first-time buyers, they started to believe their dream might just come true. She continued: 'At this point, we didn't even know where they were building houses; we hadn't even looked into that at all. 'Along the journey, we started to hear about all these schemes available to first-time buyers buying new-builds. 'The more we started looking into them, the more we were like, hang on, this is not as impossible as you might think looking at it from the outside. I'm 25 and bought my own home - here's how I used every scheme to make my dream come true 'Suddenly you've got this figure in your head, like we need to save about €40,000 deposit, but then you've got Help to Buy, which brings that down to €10,000, which is so much more doable.' But their first hopes of a home in Casey explained: 'So along the way we found out about these schemes and then we were looking into the affordable purchase scheme which is overseen by the local county council. 'We had applied for a house out in Donabate but we didn't end up getting one. 'So we took a bit of a knock there.' But it wasn't long before they were back on track. Casey said: 'Pretty soon after that we found the house that we ended up buying and it was eligible for the First Home scheme and the Help to Buy scheme which we then ended up using as well. 'It was mad how it all came together really quickly.' Casey, who represented Dublin at the Rose of Tralee, and fiancé Alex, who works in sales, first looked to the Help to Buy Scheme - an incentive helping first-time buyers get their first house. It allows those who qualify to claim back income tax and deposit interest retention tax paid to the State over the four years before making a claim. Casey and Alex were lucky enough to qualify for the full tax refund amounting to €30,000 - enough for a ten per cent deposit. This meant that the couple had to come up with the remaining €7,500 themselves. And they used the First Home Scheme - which is available to first-time buyers, self-builders, and fresh start applicants to get a foot in the door. It involves the provider handing over 20 per cent of the cost of a new home and in return, the State owns an equity share in the property which can be bought back if and when the homeowner chooses. Casey said the remaining difference of €50,000 that the couple needed to pay off represented about 13 per cent of the house, which was bought by the State under the equity scheme. She reckons they've got almost €100,000 in relief from the various schemes to be left with a €287,000 mortgage which she said she realises is 'still a lot'. Casey said the couple lived with their families while saving money for the house. She explained: 'By the time we applied for the mortgage, we had about €15,000 in savings to put towards everything. 'Once we started the mortgage application process, we continued to save over the couple of months that the whole process took. 'Obviously, you've got your stamp duty, legal fees, and everything else to pay as well, and then you've got to furnish the house and put your floors in too. 'There's no set figure, but I just think it's important that people know when you're using the schemes, you're not having to pay €30,000 or €40,000 out of your own pocket.' Casey told how the couple got advice from a mortgage broker who made the whole process a lot smoother. And she said not everyone trying to buy their own home even realises that the rent they're paying will be taken into account when it comes to mortgage eligibility. She added: 'It's hard to save money when you're renting, but a lot of people renting don't realise that the bank will take into account what you're paying every month. 'So if you're paying €1,200 a month in rent, they take that into account and say you'll be able to afford a €1,200 mortgage. 'Initially we went to the bank because I know nothing about the process from the off, I've no financial background whatsoever, I knew very little about the process. 'So we went to the bank and it was suggested to us that we could look at getting a mortgage broker, and it was the best decision we could have made. 'Our broker was unbelievable, he made the whole process such smooth sailing for us. 'So the house price was €375,000 - that's paid with the mortgage which was €287,000 and the schemes, we got €30,000 from Help to Buy off the deposit, and we used the First Home scheme that gave us the remaining money. 'That scheme is then that they own an equity share in your house and you can buy them out if you want to.' SHOP AROUND But the journey wasn't without setbacks, as the couple were refused a mortgage on one of their earliest attempts. But Casey said the trick to finding the right mortgage is to shop around as different banks have different rules. She said: 'We were refused a mortgage from one bank, and then two banks were giving us about €40,000 less than what we were looking for after they assessed our situation. 'We ended up getting what we were looking for from two other banks, so different banks look at things different ways, they all have their own systems, obviously when we got refused from the first bank we panicked. 'We had everything in order so for them to say no it was kind of a panic button. 'So it's important to know that there are several banks you can look at, your options are out there. 'That's what I'd be saying to anyone applying: apply to as many banks as possible and then you've got your pick of the bunch. 'We went from having no mortgage on a Monday to having two mortgages on a Friday.' WHAT IS THE HELP TO BUY SCHEME? IRELAND'S Help to Buy (HTB) Scheme assists first-time buyers in either: Purchasing a newly-built house or apartment Constructing a new home themselves This scheme is only applicable to properties priced at €500,000 or less, and you are required to reside in the property as your primary home. Under the Help to Buy Scheme, you can claim a refund of the income tax and Deposit Interest Retention Tax (DIRT) paid in Ireland during the four years preceding the year of your application. In July 2020, the HTB Scheme was expanded, introducing what is referred to as the Enhanced Help to Buy Scheme. To be eligible, you must be a first-time buyer purchasing or self-building a new residential property between January 1, 2017 and December 31, 2029. (The scheme was previously available for homes bought or built between July 19, 2016 and December 31, 2016, but claims had to be made by December 31, 2019). If you are purchasing or building the property with another person, they must also be a first-time buyer. You will not be eligible if: You have previously bought or built a house or apartment, either alone or jointly with someone else. This applies even if you are now separated or divorced and have relinquished your interest in the property. You have owned a property abroad. You do not intend to use the property as your main residence for at least five years after purchasing or building it (the HTB Scheme is not available for investment properties). You have not taken out a mortgage for the property. If you have inherited or been gifted a property but wish to buy or build a new home, you may still qualify for the HTB Scheme, provided you meet all the other eligibility criteria. And Casey's advice to young people who fear never owning their own home in Ireland is to keep your eye on the prize and make use of the schemes available. And she said that while it's easy to get stuck in the narrative that buying a house is near impossible, she urged young people not to lose hope. The future homeowner said: 'Don't get bogged down in all the narratives that you hear, it's not an easy thing to do by any means but if you set your sights on it and make yourself aware of the schemes that are out there to help you, keep your options open. 'We were dead set on living in Dublin because we work in Dublin and we wanted to buy a three-bedroom house, but we ended up going for a two-bedroom house in Meath. 'So you need to manage your expectations a little bit and be a little bit flexible about what you're looking for, how realistic it is for you once you have a rough idea of your mortgage and what you can afford and how the scheme will help you. 'Keep an open mind and don't get bogged down in the negativity, it is possible, and it's not as treacherous as it might be made out to be.' And the couple, who are set to be married in 2027, are beyond excited about their big move. Casey added: 'It's really exciting, it's a really, really exciting time, we're looking at being in the house before Christmas so that will be really special. 'We're getting married in 2027 and knowing that once we're in we can get into planning the wedding properly and even just having your own space, it's really exciting.' 6 Casey believes it's not impossible to buy a house in Ireland and shared her tips 6 The kitchen and dining area will look similar to this
Irish Daily Mirror
6 days ago
- Irish Daily Mirror
National property prices to increase by an average of 5% over the next 12 months
Estate agents expect national property prices to increase by an average of 5% over the next 12 months - down slightly from the 6% increase forecast in January. Over half of the agents - who are members of the Society of Chartered Surveyors Ireland (SCSI) - believe the key factor influencing house prices over the next 12 months will continue to be the supply - or more accurately the lack of supply - of new housing. A total of 88% of agents believe current residential property prices are expensive or very expensive – up 5% since January – while just 12% believe they are currently fair value, according to the latest SCSI Residential Mid-Year Market Monitor. The report also found that affordability challenges have intensified for first time buyers around the country and a couple on a combined income of €107K who want to buy an averagely priced new three-bed semi-detached house and have the 10% deposit will afford to buy in only one of five locations. In the two most expensive counties, Wicklow and Kildare, the couple will face shortfalls of €65,000 and €22,000 respectively for that house type. The average purchase price of a new three-bed semi in Meath is €482k; in Kildare €500k and €548k in Wicklow while in Cork it's €459k and €485k in Galway. When asked where they believe we are in the market cycle, 60% of respondents believe prices are increasing but will level off soon – while 18% believe they have peaked and should start to decline. Gerard O'Toole, President of the SCSI, said the report indicated mounting concern over the supply situation and by extension with a recent slowdown in home construction. 'Fifty-one percent of agents in our survey cite lack of supply as the main factor driving price inflation, up from 46% a year ago. In 2023, the figure was 35%, so we can really see the impact the lack of supply is having on house prices. 'At the same time, 70% of agents are reporting low stock levels of new and second-hand homes, again underscoring the persistent challenge of limited supply in the market.' 'Over the past five years more than half of agents have consistently highlighted low stock levels, stressing that constrained supply remains a fundamental issue impacting the market.' 'With the ESRI forecasting that 37,000 new homes will be built this year, well short of the Government's target of 41,000, the urgent need to address infrastructural shortcomings and for the Housing Activation Office to become fully operational as soon as possible cannot be overstated.' 'The other main factors, which our members believe are influencing price movements include the state of the economy (20%), while a further 16% said the continued availability of government support schemes such as Help to Buy and First Home Scheme are influencing house prices.' 'Looking at where we are in the market cycle, 78% of agents believe prices will level off soon or have already peaked. In the medium to long term, the only way to ensure prices stabilise is to ramp up supply' Mr O'Toole said. Sign up to the Irish Mirror's Courts and Crime newsletter here and get breaking crime updates and news from the courts direct to your inbox.
The Journal
7 days ago
- The Journal
People Before Profit slam SocDems for readmitting Eoin Hayes following Palantir controversy
PEOPLE BEFORE PROFIT have strongly criticised the Social Democrats for readmitting suspended TD Eoin Hayes to its parliamentary party. A spokesperson for the Social Democrats announced yesterday evening that Hayes, who has been on suspension for eight months, has been brought back into the fold by acting leader of the party Cian O'Callaghan. Hayes lost the whip on 10 December, 2024, when he provided incorrect information to the media about the sale of shares in Palantir Technologies, his former employer. Palantir provides militaries, including the Israeli Defence Forces, with artificial intelligence models used in battlegrounds to help identify targets. Its software has been used by Israel to identify targets in Gaza. Advertisement In February of this year, a review carried out by the national executive of the Social Democrats endorsed the decision to suspend Hayes 'indefinitely' from the parliamentary party. However, in yesterday's statement, O'Callaghan remarked that Hayes has been suspended from the parliamentary party for close to eight months and that he 'should be given a second chance'. Meanwhile, Hayes offered a 'full and unequivocal apology for giving the incorrect information to the media about when I divested from Palantir'. Hayes said he has donated $51,000 to three humanitarian organisations active in Gaza – split between, UNRWA, Unicef and Doctors without Borders. This evening, People Before Profit condemned the Social Democrats for what it said was a decision 'cynically announced late.. to minimise scrutiny' to readmit the Dublin Bay South TD. The party said that Hayes was 'rightly suspended' over his profits and incorrect information regarding his divestment from Palantir. 'When confronted at a press conference in December, Hayes refused to answer 23 direct questions from journalists on when and how he sold his shares,' the statement continued. Related Reads 'Embarrassed is an understatement': SocDems says it's taken 'a knock' with Hayes controversy Explainer: Why was newly elected Social Democrats TD Eoin Hayes suspended just days into the job? It said that the Social Democrats have offered 'no transparency' on the matter and that by readmitting Hayes, it sends a message that 'ethical standards, public trust and Palestinian solidarity are less of a priority than seats in the Dáil and points in opinion polls.' People Before Profit's Councillor Conor Reddy said that it was his view that many people who voted for the Social Democrats will be 'deeply uncomfortable' at Hayes's return to the party, having voted 'because they thought [the Social Democrats] were different'. 'Palestine solidarity is not a fashion accessory for election season. It is a test of political integrity and the Social Democrats have failed that test in this case,' the statement concluded. 'People Before Profit called for Eoin Hayes to resign in December. We reiterate that call today.' Readers like you are keeping these stories free for everyone... A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation. Learn More Support The Journal
