Noel Ahern (Dublin North West, Fianna Fail)

These are official figures. I accept that some estate agents have produced figures based on their own data. In any event, this constitutes the average price for a new or second-hand home. First-time buyers opt for cheaper homes. The average prices are beefed up by second-hand established homes, of which there is always a shortage. As the careers of those people who may have moved 20 or 30 miles out of the city progress, they return to Glasnevin, Clontarf, Clonskeagh or wherever. There is particular pressure on such established second-hand homes.

Overall, we are in a spiral at present. Early last year, most predictions were for an annual increase of 5% or 6%. However, prices took off last year in the middle of the year. While this may have been partially due to the state of the economy, it was also due to the financial institutions, particularly those which introduced 100% mortgages. This appears to have propelled us into a new cycle in which we remain at present. While there have been many predictions to the effect that we will escape from it as the year progresses, at present, as the Deputy noted, prices are rising by more than 1% per month. We are doing everything in our power to slow that down.

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