In 2024, investment in the Irish property market increased to €28.7 billion, marking a 13% boost from 2023, following a period where investments decreased by 6% compared to the previous year. The most notable growth was seen in the residential sector, which accounted for 84% of total investments, amounting to €24.2 billion. This surge was mainly due to household purchases.
The commercial property sector exhibited mixed results. Although investment in commercial properties increased by 75% to €4.5 billion, it still did not reach historical averages despite this recovery from a severe decline the preceding year. A key contributor to this growth was the hotel industry, achieving record investment levels with €939 million.
Conversely, the private rented sector struggled, with investments falling to just €246 million, marking the lowest level since 2017. The office market in Dublin remains challenging, as there have been few completed deals since 2022, affecting overall commercial investment figures. Nevertheless, early 2025 hints at a modest improvement, even though activity remains low compared to long-term trends.
Looking ahead, there are expectations for further recovery in the market. This optimism is due to potential decreases in borrowing costs and the general stability of the Irish economy, despite external policy uncertainties.
For more details, you can read the full article on The Irish Times.