Housing Completions Slump… only 5,625 new homes built in Q1+2 of 2015

Flat-Lining

26 August 2015

Housing Completions Continue to Slump (source: DECLG)

Bad news for potential purchasers, anyone renting or on housing lists. According to data recently released from the Department of the Environment, Community and Local Government (DECLG) there have been 5,625 house completions nationally for the 6 month period January to June 2015. Current completion levels suggest we may have just over 11,000 houses completed this year at a time when the Government’s Housing Agency says we need 21,000.

In the first 6 months of 2014 there were 4,832 completions. The total for Q1 + Q2 of 2015 represents a 16% increase- however this percentage increase is just 793 housing units for the entire country. Current housing output continues to struggle well below the level required for sustainable output.

The consensus industry view is that the greater Dublin area alone needs around 8,000 new homes every year. Housing completions for the greater Dublin area continue to run at 1/3 of this figure.

Here is a table of completions for the greater Dublin area for the first half of 2015:

  • Dublin City Council: 313 (incl 112 apartments)
  • South Dublin Co. Council: 141 (incl 53 apartments)
  • Dunlaoghaire Rathdown Co. Council: 356 (incl 242 apartments)
  • Fingal Co. Council: 562 (incl 82 apartments)

Total for 4 Dublin local authorities 1,372 (incl 489 apartments)

So there are fewer than 500 new apartments completed in Dublin local authorities this year, half of them in Fingal and only 112 in Dublin City.

Social Housing statistics are even more stark. There have been only 20 completions nationally in Q1 2015. Nationally there were 158 social housing completions in 2014. 

The Financial Times reported last week that:

“The housing market should be recovering, since Ireland is now the fastest-growing economy in the Eurozone. Instead, its structural flaws threaten to stifle the recovery just as Irish people are starting to feel that the worst of their economic problems are behind them. Up to 25,000 houses need to be built every year to meet demand, experts say but are being held back by steep regulation, the building trade has not kept pace”

Other posts of interest:

Local Authorities take over fewer than 1,200 NAMA Housing units in four years

Realistically, the industry will probably manage to build a total of 9,000 houses a year | CIF

Speculative Residential Costs and Sales prices | Look back 12

“This government’s housing policy will literally put people on the streets” | Damien Kiberd

Housing Crisis | Supply, Demand and Cost

Housing Crisis | NAMA funds €1.5m ‘trophy homes’?

Construction Sector starting to slowdown | Central Statics Office

 

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