Average house price in Northern Ireland rises above £200,000

For the first time since the property market collapse of the late 2000s, the average cost of a house in Northern Ireland has surpassed £200,000, according to official data.

Figures released by the Northern Ireland Statistics and Research Agency (Nisra) indicate that average prices rose by 2.1% between the first and second quarters of this year.

In the second quarter of this year, the average house price stood just shy of £202,500. This figure is nearly identical to the price level observed in the final quarter of 2007, precisely when a property bubble began to deflate. Nevertheless, due to the impact of inflation, houses are considerably more affordable in real terms today.

Compared to a year ago, prices have climbed by 9.2%.

Lisburn and Castlereagh holds the distinction of being the most expensive local council area, with an average house price now exceeding £240,000. Conversely, Mid and East Antrim is the most affordable council area, where the average price is just under £178,000.

The average price for a detached house crossed the £300,000 threshold in mid-last year and is currently £312,000. Semi-detached houses reached an average of £200,000 at the beginning of this year, increasing to £204,000 in the second quarter.

Apartment prices saw a significant jump of almost 6% between the first and second quarters of the year, reaching £148,000. This represents the largest quarterly increase since 2013.

Comparable data from the rest of the UK suggests that house prices in Northern Ireland are rising at a much faster rate than in Great Britain. In certain areas of England, particularly London, prices are experiencing a decline.

The robust jobs market and a persistent shortage of new homes have been key factors supporting house prices in Northern Ireland. New housing completions continue to be well below pre-pandemic levels, hampered by infrastructure constraints, especially limitations in wastewater network capacity.