€4,9 million: House in Construction Cost to be Slashed from €2,8m to $2.9 million Source RTE article Houses in construction in Ireland are expected to cost more in the coming years, but with the cost of construction in the country increasing, many homeowners are seeking alternatives, including tiny houses, as a means of saving money.
With the average house price in Ireland currently €8,000, a house in construction could bring in an extra €3,000 in costs per month, according to a new report.
The report, published by RTE, also highlighted that with a growing number of young families in Ireland, small-sized homes could also prove more cost-effective, with the average age of a small house in Ireland rising from 23.4 years in 2011 to 27.1 in 2016.
The median size of a house has also risen over the past two decades, from 20.4 square metres in 2011, to 23.8 square metres this year.
The number of small- and medium-sized houses in Ireland has also increased, from 7,000 houses in 2011-12 to 8,300 this year, with a median size rising from 20 square metres to 23 square metres.
With so many people living in such small houses, it’s not surprising that house prices in Ireland have increased, said Niamh Hickey, research director at the Institute for Housing Studies (IHS).
“With a growing population, with more families living in these smaller homes, you’ve got a larger house population that is growing, so that can cause house prices to increase, particularly in areas where there’s a lot of young people living,” she said.
The Institute for Small Houses, which runs the website Tiny Houses Ireland, has also called for the construction of more affordable housing in Ireland.
In its 2017 report, the organisation said that despite the fact that houses in construction are generally more affordable than those in traditional residential properties, a large proportion of households do not have the financial means to afford a house of their own.
The organisation has recommended that small-scale homes be built in areas that are already affordable to low-income households, and recommended that all new small-home developments be designed in such a way as to provide for the needs of low- and moderate-income people, regardless of their income.
The organization has also recommended that builders design their small-houses so that the walls are designed with an open design to allow people to move around the house without fear of being seen.
A spokesperson for IHS said that while the cost to build a house could be higher in some areas, it was a “necessary” cost to maintain the house.
She added that the report showed that the small-house boom in Ireland was being driven by “wealthy” people who want to live in small homes.
“With so many families living so close together, a lot can be done to improve access to housing for people who can’t afford it themselves,” the spokesperson said.
In recent years, there has also been an increase in the number of people seeking to buy or rent out their own small houses.
A new report by the Irish Centre for Small Business and the Construction Industry Association of Ireland found that in the last year, more than 600,000 people in Ireland bought or rented out their home, a number that is almost double the amount in the same period last year.
“A lot of these people are not currently working, they have a family to support them, and their needs are getting bigger, so they are taking out loans to help pay for their house,” said IHS’ Ms Hickey.
The spokesperson for the Construction and Building Industry Association said the increase in these purchases and rents was a result of the construction boom, which has seen an increase of construction jobs, as well as the rising cost of living in Ireland over the last two decades.
“There is a lot more work being done to reduce the cost,” the spokeswoman said.
“This is why the building industry is supporting the Government to invest in infrastructure for housing and ensure that the new jobs available are good ones.”
These types of investments will help the construction sector and the construction industry grow, which will help bring down house prices.