Cork City North Suburbs: Supply set to cool inflation in Cork's north suburbs
After three years of heady inflation running at 8pc, there are indicators that the steam is finally being let out of the market in Cork's north suburbs. Prices are up by 6pc but are predicted to increase by a more sustainable 3pc this year.
Our local agent, Michael O'Donovan of Savills, reports that this is thanks to a steady stream of new-home development in the pipeline, which should keep the area's housing supply topped up for years to come.
At Ballinglanna at Glanmire, for example, a new three-bed semi costs €320,000 and a four-bed semi comes in at €380,000.
There are plans for 700 new homes at Ballyvolane with 599 houses and 154 apartments likely to be released over 10 years. Meantime a further 600 homes are in the pipeline for the Old Whitechurch Road just outside of Blackpool.
- Average Price €307,000
- Areas Blackpool, Mayfield, Sunday's Well, Glanmire, Knocknaheeny, Montenotte
- Up + 6%
- One Year Forecast + 3%
- Assessing Agent
Savills
Delayed plans for 200 apartments at Sunday's Well will also cater for the young professional migrant workers coming into the area, which is of course the backyard of Apple's Europe headquarters at Hollyhill. The multinational employs 6,000 in Cork and its impact on the property market is significant.
At the upper end, new four-bed townhouses in the grounds of Arbutus Lodge in Montenotte have been priced at €720,000 and seem to be generating good interest both from well-off new arrivals and from locals trading down from top-end luxury homes.
Cork City North Suburbs
House Type | 2019 | 2020 | 2021 |
---|---|---|---|
3-bed Semi | €265,000 | €281,000 | €289,000 |
4-bed Semi | €300,000 | €318,000 | €328,000 |
4-bed Detached | €435,000 | €461,000 | €475,000 |
5-bed Detached | €440,000 | €466,000 | €480,000 |
4-bed Bungalow | €260,000 | €276,000 | €284,000 |
One-bed Apartment | €140,000 | €148,000 | €152,000 |
Two-bed Apartment | €160,000 | €170,000 | €175,000 |
2-bed Terrace | €165,000 | €175,000 | €180,000 |
3-bed Terrace | €180,000 | €191,000 | €197,000 |
3-bed Townhouse | €190,000 | €201,000 | €207,000 |
Ex-council 2-bed | €130,000 | €138,000 | €142,000 |
Ex-council 3-bed | €150,000 | €159,000 | €164,000 |
Owner-occupiers account for more than four-fifths of sales in the north suburbs and first-time buyers make up about one-third of buyers.
All said, however, the average price of a home in the area hiked above €300,000 for the first time since the property crash.
Property Hotspot: St Lukes
Period houses in this enclave are likely to escalate in value ahead of the market with a trend towards acquiring older homes subdivided into flats and converting them back into a single resdience. The
This is an area renowned for some of Cork's most luxurious top-end homes, as underlined by the €2.3m sales of Glanmire Rectory on 5.8 acres, which recently changed hands for €2.3m through Savills.
The landmark property had been on the market for four years, demonstrating that it's still difficult to shift top-end homes but that at the right price, the money is there for trophy houses.
Another handbrake on inflation round these parts is the Central Bank's lending regulations, which generally exert some drag once average three-bed-semi prices poke up above €300,000, making it difficult for average earners to get a loan. Second-hand three-bed semis are predicted to go to €289,000 this year, with four-bed semis already up to €318,000.
From an investor's viewpoint, anyone who bought a two-bedroom apartment five years ago at €85,000 has now doubled their capital investment. The average example will now sell for €170,000.
How much is your House worth in 2020?
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