Rising House Prices See Buyers Taking On More Debt – Brokers Ireland

Press Release

Thursday 19th June, 2025  

Commenting on the CSO Residential Property Price Index showing prices up 7.5 % overall in the 12 months to April, Brokers Ireland noted the month-on-month increases are generally slowing, with higher prices being reached outside of the East.

Rachel McGovern, Deputy Chief Executive at Brokers Ireland said: “As a consequence of high prices those who need mortgages to buy homes are taking on ever larger levels of debt.

“There are a number of different factors at play now that didn’t apply over a decade ago, such as the fact that many borrowers have higher levels of savings, be they of their own or with assistance from family; many are also on higher incomes but we’re also in a more volatile global situation where it’s more difficult than ever to predict how interest rates will go into the future.”

She said relatively small changes in interest rates can have a huge impact over the lifetime of a mortgage.

Home prices are remaining elevated because competition is intense for “the scarce resource that is a home to buy.” And of course those on average wages are losing out all the time.

She said “the severely dysfunctional housing market needs to be treated by policymakers for the emergency it is.”

“The Government’s awaited new housing plan, due next month, must involve fundamental change, it must address the impediments in zoning, planning and infrastructure, and it must be prepared to face up to and confront any vested interests standing in the way.”

Ends

Further information:

Rachel McGovern,    Deputy Chief Executive, Brokers Ireland

Tel. 086-8259938

Mairéad Foley, Foley Ryan Communications

Tel. 086-2556764