DNG, a nationwide estate agent, has welcomed the introduction of the new Residential Property Price Register, which was on Sunday.

The register will be available on www.propertypriceregister.ie and reveals the price paid, date of sale and location of all residential properties sold since Jan 1st 2010.

At the present time the Data Protection Act prohibits estate agents from providing the sale price of properties they sell.

According to Keith Lowe, managing director, DNG, the new register should not be confused with a house price gauge: "The register does not include property details such as whether the property is a house or an apartment, the size of the property, the site size or the accommodation type.

"Also, as the register is compiled at the end of the transaction similar to the CSO House Price Index there will be a long time lag between the date when the transaction is agreed and the home purchase completion.

-- Advertisement --

"We would estimate that this time lag is between 3-6 months. This is how long it takes an average sale to complete from taking a booking deposit to handing over the keys on completion of the sale when a mortgage is involved (Cash transations will not have this delay). With this in mind, the register will not act as price guage nor is it intended to do so."

He also added: "Whilst the register will provide transparency in terms of actual sale prices of properties it will be particularly helpful in providing data on the number of transactions happening at any given time and by locality which will be an indication of the state and health of the property market."

An initial assessment of transaction levels based on the register carried out by the company (see below notes) confirms a strengthening in the Dublin market where transaction levels have risen dramatically compared to last year. The increase of 45% in 9 months and 60% in the quarter shows a market that is continuing to strengthen. This trend was also confirmed by a recent report (released last Friday) by DNG where they revealed the first increase in property prices in the capital in the last 6 years (of 3%).

There has also been an increase in the number of residential property sales of 16.5% and 18% respetively in Cork and Galway and whilst not as pronounced as Dublin it is a welcome trend.

Despite these rises in activity DNG believes there is still an artificially low level of transactions and prices across the country reflecting on over correction in the market, a opinion mirrored by the Central Bank.

(GK)