DAVY VIEW

The 0.6% gain in the Irish Residential Property Price Index (RPPI) in September is substantial, but was the softest rise since April, tentative evidence that the market is slowing. We are still broadly on track for RPPI inflation to slow to 6% by December. However, after cooling towards the turn of the year, the market will likely start to regain impetus in 2023, due to the loosening of the Central Bank rules on the mortgage lending and as the new First Home Scheme supports prices of newly built homes.