Dublin estate agents expected house prices in the capital to rise by an average of 5%, driven by continued shortfalls in house supply and intense bidding wars for more energy-efficient turnkey homes.
However, the Sunday Times Dublin Property Price Guide 2026, in partnership with AIB, shows that estate agents are more cautious in their outlook for the year ahead than they were in 2025 when they predicted price increases of 6.25% and 12% in some areas.
Prices for second-hand three-bed semi-detached homes in Artane now cost more than €700,000 on average, and Killester three-bed semis are expected to follow suit in 2026, according to the guide.
Ballyfermot remains one of Dublin's more affordable areas, but properties are increasingly selling for more than €400,000 in the neighbourhood.
The most expensive areas for three-bed semis are Ballsbridge and Sandymount (both €1.15m), with Ranelagh (€1.06m), Milltown (€1.02m) and Rathmines (€870,000) completing the top five.
Conversely, the most affordable areas are Neilstown (€310,000), Darndale (€330,000), Clondalkin (€340,000), Ballymun (€350,000) and Springfield in Tallaght (€350,000).
Agents in Howth, Sutton and Dublin 16 (Rathfarnham, Ballinteer, parts of Dundrum) are least optimistic about price growth and expect increases of 2-4% (Howth, Sutton) and 2.5% (Dublin 16) over the next 12 months.
Many buyers in the second-hand market are couples with mortgage approval, often finding themselves competing for properties in parts of Dublin they had not previously considered buying in.
“Once again, this year’s Dublin Property Price Guide shows a market being driven primarily by a mismatch between supply and demand," said Sorcha Corcoran, editor of the Sunday Times Dublin Property Price Guide.
"Although new homes are being delivered, they are absorbed quickly and at high price points, while the exit of private landlords has intensified pressure on buyers.
"With bidding wars still widespread - particularly for energy-efficient, turnkey homes - estate agents expect prices to continue rising in 2026, albeit at a more moderate pace.
Dublin house prices are expected to increase 5% this year.
"There is some hope on the horizon, however, as housing policy reforms and lower interest rates begin to shift the focus towards longer-term solutions.”
(Pic: Getty Images)
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