This article is from page 4 of the 2006-04-25 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 4 JPG
HOUSE prices in Ennis have jumped by almost 25 per cent in just over a year, a leading property dealer has revealed.
And the trend is likely to continue, with demand for homes in the town and environs on the rise.
David Costello of Costello Auctioneers says that the value of property in Ennis over the last 14 months has shot up.
The auctioneer pointed to examples where values rose by as much as 27.7 per cent over fifteen months.
A two-bed ground floor apartment in Ard Caoin on the Gort Road launched in February 2005 at €157,500. These are now making €195,000 an increase of 24 per cent.
“We would expect the next phase at €200,000,” Costello said.
Four bed semi-detached homes in Shanballa, on the Lahinch Road, went on the market at €197,500 and were reaching €250,000 towards the end of 2005, an increase of 25 per cent in 14 months. These properties are now costing €265,000.
Detached houses in Ballyalla Grove started at €360,000 in late 2004 and by 2006, they were selling at €460,000, an increase of 27.7 per cent over 15 months.
Costello says there are “a number of reasons for this kind of increase. One is that previously, houses in Ennis did not appreciate at the same rate as in other towns of similar size. Some part of the increase can be attributable to catching up. Also, the investment market in Ennis was very flat and it started coming back in 2005.”
A lack of residentially zoned land coming on the market is also fuelling the climb, he said. The town’s multicultural make-up is also driving the price of property, with an increase in the number of migrant workers needing accommodation and with many now buying property in the town.
“There’s exceptionally strong demand from indigenous home owners and first time buyers coming in,” the Ennis property expert said.
Costello said he believed that home-values in Ennis would continue to increase.
“I can see detached houses having an increased rise in value now as they also begin to catch up. The only thing that might slow house prices down would be a substantial increase in interest rates. I can’t see a rise of one or one point five having a major impact,” he added.