Irish Property Market Forecast 2026: Prices, Mortgage Rates & Housing Trends in Ireland
The Irish property market in 2026 continues to be one of the most closely watched in Europe.
After years of rapid growth, prices are still rising — but at a slower pace. Mortgage rates have eased, housing completions are improving, and demand remains solid across the country.
If you’re planning to buy, sell, or invest in property in Ireland in 2026, here’s what to expect — from house prices and mortgage rates to rental market updates, regional insights, and government housing schemes.
Irish Property Market Overview 2026
The Irish housing market enters 2026 with confidence but caution.
Prices continue to climb, supported by strong demand and limited supply, yet affordability remains stretched for many buyers.
According to recent data, Irish house prices are up by 7.4% year-on-year to late 2025 — with growth of 5.3% in Dublin and 9.2% outside Dublin.
The median sale price now stands around €385,000, rising to €475,000 in Dublin and €340,000 elsewhere.
While the market remains competitive, experts forecast a moderation to 3–5% growth in 2026, as affordability limits begin to cap price inflation.
Will Irish House Prices Fall in 2026?
Despite speculation, house prices in Ireland are not expected to fall in 2026.
Demand from first-time buyers and movers remains strong, supported by population growth and stable employment.
What’s driving price growth:
- Persistent demand from first-time buyers and upgraders
- Low housing stock, with around 13,000 second-hand listings nationally
- Improving but insufficient new builds
- Rising wages and economic resilience
Even with more homes coming to market, Ireland’s supply still falls short of demand.
In fact, one in five homes sold in late 2025 went for 20% above asking price, showing just how fierce competition remains.
Mortgage Rates in Ireland 2026: Easing but Leveling Off
The mortgage landscape has become more favourable for buyers.
The average Irish mortgage rate is now around 3.58%, down from the highs of 2023, following several ECB rate cuts during 2024–2025.
However, the European Central Bank has signalled a pause in further reductions, so buyers should expect stable, not falling, rates through early 2026.
Every 0.25% change in mortgage rate equals about €13 per €100,000 borrowed — a small but meaningful saving for homeowners.
Housing Supply in Ireland: Improving but Still Tight
One of the biggest challenges in the Irish housing market remains the supply shortage.
- Over 9,200 new homes were completed in Q2 2025 — a 35% increase year-on-year
- Total completions for 2025 are forecast at around 34,500, the highest in over a decade
- Yet, experts estimate Ireland needs 45,000–50,000 new homes annually to meet demand
With planning delays, land hoarding, and slow zoning approvals, it will take time before supply catches up.
Expect 2026 to bring slight relief in urban areas, especially Dublin and Cork, as apartment completions increase.
Regional Property Market Trends 2026
Dublin
Dublin remains Ireland’s most expensive market. Prices have risen about 4.8% year-on-year.
Limited supply, particularly in family-home segments, continues to fuel bidding wars. Average asking prices sit around €475,000–€500,000.
Cork
Cork’s strong employment base in tech and pharma drives solid growth. Prices rose nearly 6–7% in 2025, and demand for new-build apartments is rising.
Galway
Galway’s property prices climbed 8–9% last year, fuelled by its thriving med-tech industry and limited stock of quality family homes.
Limerick
Limerick remains one of the most affordable Irish cities, yet saw over 10% annual rent growth in 2025. Continued regeneration projects are likely to push prices further in 2026.
Rental Market Outlook 2026: Still Under Pressure
Ireland’s rental market remains critically undersupplied.
By February 2025, fewer than 2,300 rental listings were available nationwide.
- Average rent: €1,956/month
- Rent inflation: +6.9% annually
- Highest growth outside Dublin, especially in regional cities
Despite new cost-rental and social housing schemes, landlord exits and rising costs keep supply low.
Renters should expect continued competition in 2026, with modest rent growth of around 5%.
Government Housing Schemes and Policy Updates 2026
Help-to-Buy (HTB)
Extended until 2029, offering up to €30,000 or 10% of the purchase price as a tax rebate for first-time buyers purchasing a new-build home.
First Home Scheme (FHS)
A shared equity initiative bridging the gap between mortgage and property price, helping thousands of new buyers secure homes across Ireland.
Residential Zoned Land Tax (RZLT)
Introduced in 2025, this 3% annual tax on zoned, serviced land aims to discourage land hoarding and accelerate new housing development.
Housing for All
The Government’s long-term plan continues with:
- Higher annual build targets (aiming for 50,000+ homes per year by 2030)
- Grants for vacant property renovations
- Investment in affordable and cost-rental housing
These policies are slowly shaping supply but won’t deliver immediate relief in 2026.
Sustainability: BER Ratings and Green Homes on the Rise
Energy efficiency is now a key factor for Irish buyers and investors.
Homes with high BER ratings (B2 or above) sell faster and command higher prices.
Government initiatives include:
- Grants and low-interest loans for home retrofitting
- Target to upgrade 500,000 homes to BER B2 by 2030
- Green mortgage products offering lower interest rates
For sellers, investing in energy upgrades not only boosts value but also shortens time on market.
Economic Outlook for 2026
Ireland’s economy remains robust:
- Record employment levels
- Wage growth keeping pace with inflation (~2%)
- Strong exports in tech and pharma sectors
However, global risks — from trade tensions to EU-US relations — mean the market could remain sensitive to external shocks.
For now, steady growth and consumer confidence continue to support housing demand.
Irish Property Market Forecast 2026: Key Takeaways
Expected national price growth: +3% to +5%
New-home completions: ~35,000 units
Mortgage rates: Stable around 3.5–3.7%
Rents: Rising moderately (+4–5%)
Outlook: Continued demand, slow supply recovery, and strong focus on sustainability
For Buyers
2026 offers opportunities — but preparation is key.
Secure mortgage approval early, use Help-to-Buy or First Home Scheme, and prioritise homes with strong energy ratings to save in the long term.
For Sellers
It’s still a seller’s market.
Well-maintained, energy-efficient homes priced correctly are selling fast — often with multiple offers. Presentation, professional staging, and strong marketing remain crucial.
For Investors
With steady rent growth and supportive policy, 2026 can deliver solid yields.
Focus on green and energy-efficient properties to maximise returns and tenant demand.
Conclusion:
The Irish property market forecast for 2026 points to stability, moderate growth, and ongoing competition for quality homes.
Interest rates are easing, but supply challenges keep the balance tilted toward sellers — for now.
Whether you’re planning to buy, sell, or invest, 2026 will reward those who stay informed, act early, and focus on long-term value.
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