New houses built in County Tipperary down 41% in twelve months

A total of 264 houses were built in Tipperary in 2012, a decrease of 41% on the previous year, according to the Construction Industry Federation (CIF).

A total of 264 houses were built in Tipperary in 2012, a decrease of 41% on the previous year, according to the Construction Industry Federation (CIF).

During 2011 there were 449 houses built in Tipperary but that number dropped by 185 units during the following 12 months.

In North Tipperary the number of houses built fell from 256 units to 151 units, a drop of 41%. This percentage drop was matched in South Tipperary with the number of completions going from 193 units to 113 units built in 2012.

The latest CIF Housing Statistics Bulletin also reveals that the number of Tipperary housing starts fell to 139 units during the first eleven months of 2012. This is a decrease of 33 units or 19% from the 172 units started during the same period the year before.

78 of the new starts were in North Tipperary, a decrease of 32 units or 29% on the same period the year previously. South Tipperary saw the number of starts fall to 61, from 62 the year before. This is a drop of 2%.

A total of 8,488 houses were built in Ireland during 2012, according to the new CIF figures. This represents a drop of 1,992 or 19% on the figure for 2011 when a total of 10,480 houses were completed.

Despite the 2011 and 2012 each having set a low benchmark for the number of completed residential units, the CIF is also predicting that the coming year will see a further slight reduction. This is based on the drop in residential unit commencements for the first 11 months of 2012. Only 3,895 new units had been started by the end of November 2012, which is 336 units below the comparative figure for 2011 when work had begun on 4,231 units. This represents a drop of 8%.

According to the latest CIF Housing Statistics Bulletin, the largest number of house completions during 2012 were in Dublin, Cork and Galway respectively. In Dublin 1,266 units were completed, in Cork 1,213 were finished and a further 499 were built in Galway. The largest percentage drops in house completions during 2012 were in Galway City (56% drop), Kilkenny (46% drop), Fingal (45% drop) Tipperary (41% drop), Carlow (39% drop) and Mayo (38% drop). The number of units completed increased during 2012 in Limerick City (up 130%), Cork City (up by 95%), South Dublin (up by 38%), Longford (up by 29%), Sligo (up by 19%), Laois (up by 17%) and Louth (up 4%).

During the first 11 months of 2012 the largest number of commencements were also in Dublin (753 units), Cork (405 units) and Galway (350 units). The biggest percentage drops in commencements took place in Cavan (down 79%), Waterford County (down 56%), Louth (down 46%) and Monaghan (down 36%). There were increases in the number of commencements in Limerick, Dun Laoghaire Rathdown, Dublin City, Cork City, South Dublin, Kildare, Galway and Wexford.

Speaking about the figures, CIF Director General Tom Parlon said, “2012 was a very difficult year for the house building industry throughout the country, although there are signs of increased activity in some areas. During the coming year it looks like we will see another drop in the number of houses built nationally. The level of commencements for the first eleven months of 2012 were down by 8% on the same period for the year before. A drop in the number of new builds commencing leads to a fall in the number of completions.

“We are hearing about work beginning on a number of new or housing developments or an expansion of existing projects so that may lead to an increase in completions for the latter half of 2013. But overall the low commencement rate for 2012 has led us to forecast another drop in housing units built during the coming year.

“There is no doubt that house building reached unsustainable levels during the boom years, but the industry has now gone through six successive years of decline. The ESRI estimates that this country requires 15,000 – 20,000 new homes to be built each year but we are significantly below that figure.

“However there are some positive indicators which should start to impact on the sector soon. The commencement figures detail an increase in new builds in urban areas. This tallies with the increased demand for residential property in these areas which has been highlighted by the various property market commentators and estate agents.

“The banks have also promised to increase the level of mortgages during the coming 12 months. If that funding is provided it should help stimulate the industry and lead to further demand, particularly in the urban areas where there are low levels of vacant housing stock as detailed in the latest National Housing Development Survey,” Mr. Parlon concluded.