However, they remain 17.7% lower compared to a year earlier. The price of homes in the rest of Ireland, outside of Dublin, rose by 0.1% in May compared with a decline of 2.1% in May last year - the first rise since January 2008. Prices are down 14.2% compared to the same time last year. The CSO figures show that house prices in Dublin are 55% lower than at their highest level in early 2007. Apartments in Dublin are 61% lower than they were in February 2007, while residential property prices in Dublin are 57% lower. Economist Alan McQuaid, from Merrion Stockbrokers said that both the Central Bank and ESRI have in recent research suggested that the housing market may be close to a bottom, with signs of pent-up demand among under-35s seeking to buy a family home. But he added that there is still a huge oversupply in many parts of the country outside Dublin, which will continue to weigh on overall prices for some time to come.
The increase in house prices nationwide was the first since September 2007, the CSO figures show. The figures reveal that residential property prices in Dublin increased by 0.5% in May - the third month in a row in which Dublin house prices have risen.