Q3 2026 Current Trends in the Dublin Residential Property Market
There has unquestionably been a shift in buyer sentiment in recent months. Buyers are more cautious and considered, which is understandable given heightened global uncertainty, the increase in ECB interest rates and negative commentary around the Dublin property market. However, this change in sentiment has not translated into a significant slowdown in activity.
Our Q3 transactional data shows a 50% increase in our sales volumes, supported by increased supply in May and June and strong activity throughout the summer. Greater choice has taken some of the heat out of competitive bidding, with the average selling price over asking falling to +6.2% from +10% in Q2. Nevertheless, demand remains strong, with 90% of our listings agreed above asking price. The market continues to favour sellers, although the imbalance between buyers and sellers is now less pronounced than earlier in the year and especially so at the upper end of the Dublin residential property market.
Sales Market: More Supply, but Demand Remains Strong
Our average selling price in Q3 was €625,908. 90% of our listings were agreed above asking price, up from 88% in Q2, while just 2% sold below asking. This demonstrates that although the scale of bidding has reduced, competition for correctly priced properties remains very strong. Properties sold quickly, taking an average of just 5.4 weeks, compared with 7.2 weeks in the same period last year. Market cooling is much more noticeable at the upper end. Properties above €1 million are now taking an average of 14.4 weeks to sell, with selling prices on average 4.2% above asking. The average price per sq. ft. was €745, slightly below €749 in the previous quarter but 6.7% higher than the same period in 2025. The fall through rate remains above average at 18%, higher than the 13% in the previous quarter reflecting increased buyer nervousness.
Who is buying and who is selling
Owner-occupiers accounted for 90% of our buyers, demonstrating that the market continues to be driven by people buying homes rather than investors. First-time buyers accounted for 63% of purchasers, while 21% were trading up. 60% of our buyers were single purchasers and 65% of these were women, continuing a trend we have observed in recent years. Mortgage buyers represented 60% of transactions, with the remaining 40% purchasing with cash funds. Irish buyers accounted for 65% of purchasers. Our typical buyer was 41 years of age, for first time buyer it was 33 years of age. 61% of our sellers were landlords exiting the market.
Rental Market: Supply Remains Tight
The number of rentals we completed fell 10% compared with the previous quarter, reflecting the continued shortage of available rental properties. Our average monthly rent was €3,084, broadly consistent with Q2, demonstrating that rents appear to be stabilising at the upper end of the rental which is certainly more challenging. Our average tenant was 32 years of age, compared with 37 in Q2. 41% of our tenants work in technology. Average tenant household income increased significantly to €151,840, up 25% on the previous quarter. Irish tenants accounted for 42% of our transactions, while 32% were from continental Europe.
Looking Ahead
The most significant development in Q3 was the increase in sales activity. More properties coming to market provided buyers with greater choice and helped moderate the exceptional levels of bidding seen earlier in the year. However, with 90% of our properties still selling above asking prices and average selling times of just 5.4 weeks, underlying demand clearly remains strong.
As we enter the final quarter of 2026, the outlook is more uncertain. Buyer sentiment has weakened, but so far activity has remained resilient. Interest rates, geopolitical events, the Budget and the wider economic outlook will all influence confidence and market conditions in the months ahead. Accurate pricing will therefore be increasingly important. Buyers have become more considered and price sensitive, particularly at the upper end of the market. Location, condition and energy efficiency will continue to influence how a property sells, and sellers who price realistically should continue to achieve strong results. Those who come to market with overly ambitious expectations are likely to struggle compared to the first half of the year.
The rental market remains challenging. Transaction volumes are falling, rents remain above €3,000 per month across our portfolio and the significant increase in tenant household incomes highlights the growing affordability pressures facing renters. With landlords continuing to exit the market, there is little evidence yet of the meaningful increase in rental supply required to ease these pressures.
Overall, we expect Q4 to be a more considered and potentially more fragmented market. Demand remains strong, but confidence is more fragile and buyers are increasingly selective. As always, different locations, price ranges and property types will perform very differently.
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