House prices in Northern Ireland eased back at the start of this year as rising interest rates and still-high inflation further dented household incomes.
The market posted its second consecutive quarterly decline in the first quarter of 2023 to leave the average price of a home in the province at £172,005, according to the Residential Property Price Index, down 1.8% on the last quarter of 2022, and solidifying concerns that affordability is beginning to be stretched.
However, on an annual basis, prices are still 5% higher than the same period last year and the continued lack of supply of new stock – either new build homes or existing housing stock – mean the market remains well supported.
The data release from the Land and Property Services showed new housing starts in the first quarter stood at 1,361, 29% down on the same time last year and the lowest level since 2014. Housing completions, meanwhile, were also down 25% on an annual basis in the first quarter and will likely fall further given the slide in starts.
Northern Ireland is also the cheapest region of the UK to buy a home with average prices in Scotland reaching £185,000, in Wales £214,000 and in England £304,000.
On a regional basis within the province, prices range from £148,548 in Derry City and Strabane to £204,112 in Lisburn and Castlereagh.
Regional house prices in Northern Ireland:
Antrim and Newtownabbey
Quarterly Change: -1.3%
Annual Change: 6.8%
Standardised Price: £177,272
Ards and North Down
Quarterly Change: -4.8%
Annual Change: 2.6%
Standardised Price: £191,690
Armagh City, Banbridge and Craigavon
Quarterly Change: -0.5%
Annual Change: 6.1%
Standardised Price: £154,738
Belfast
Quarterly Change: -1.6%
Annual Change: 3.6%
Standardised Price: £158,219
Causeway Coast and Glens
Quarterly Change: 0.7%
Annual Change: 7.9%
Standardised Price: £196,021
Derry City and Strabane
Quarterly Change: -3.4%
Annual Change: 1.8%
Standardised Price: £148,548
Fermanagh and Omagh
Quarterly Change: -2.7%
Annual Change: 4.7%
Standardised Price: £158,172
Lisburn and Castlereagh
Quarterly Change: -1.8%
Annual Change: 8.2%
Standardised Price: £204,122
Mid and East Antrim
Quarterly Change: -0.4%
Annual Change: 5.4%
Standardised Price: £159,984
Mid Ulster
Quarterly Change: -2.7%
Annual Change: 3.1%
Standardised Price: £163,498
Newry, Mourne and Down
Quarterly Change: -1.3%
Annual Change: 4.3%
Standardised Price: £183,203
