The number of new homes built last year fell by almost 7 per cent to just over 30,000, official figures show, far short of Government targets of 40,000.
The Central Statistics Office (CSO) reported a total of 30,300 new housing units completed in 2024, down 6.7 per cent on 2023 figures. Before the general election, then taoiseach Simon Harris and Minister for Housing Darragh O’Brien each claimed that the number of new homes finished in 2024 would be close to 40,000.
The decline was led by a fall in the number of apartments, which slumped 24.1 per cent to 8,763 year-on-year and by 35 per cent compared with the third quarter. That decline, if it continues, could impact the Government’s ability to meet targets in the coming years.
Apartments accounted for almost 29 per cent of the completions during the year, a figure that has risen in recent years from 16.3 per cent in 2019. The bulk and scale offered by higher density developments has been highlighted as key factor in delivering on targets.
The CSO data showed more than half of the total was accounted for by scheme dwellings – houses that form part of a multi-unit development of two or more houses – which saw 16,200 completions, a rise of 4.2 per cent. Some 5,367 single homes were completed during the year, down 2.2 per cent on the previous year.
The majority of completed housing units were located in counties Dublin, Kildare, Louth, Meath and Wicklow.
“Five regions, Dublin, Midlands, Mid-East, Border, and the West of Ireland, saw a decrease in new dwelling completions between 2023 and 2024 with the highest fall in the mideast – Kildare, Louth, Meath, and Wicklow – at 17.5 per cent. Over the year, some 35.9 per cent of national completions were in Dublin with 18.4 per cent in the mideast,” said statistician Steven Conroy.
The data showed the Government failed to deliver on promises to deliver 40,000 housing units by the end of the year, a commitment underlined during the recent election.
Experts said if the Government wanted to deliver on further promises in the programme for government published last week, to achieve a target of more than 300,000 new homes by 2030, building would have to increase and almost double the number being built each year.
“This also means capacity constraints will continue to bind within the market, making it challenging for those who wish to buy or rent a home along with those who wish to secure a social or affordable home,” said Kate English, chief economist at Deloitte Ireland.
“The programme for government outlined a commitment to build over 300,000 new homes by the end of 2030. Markets will welcome this along with the reference to zoning more land and creating a regularly updated public audit of zoned, serviced and unzoned land. However, zoning more land will only assist if it is serviced or has the ability to be service; as land is not helpful without essential infrastructure.”
Ms English said the target was in line with the estimated annual housing demand figures published by the ESRI and Central Bank in 2024, so an uptick in completions would be necessary this year.
The CSO compiles the data from new residential connections to the electricity network.
Although commencements were strong in 2024 – nearly double 2023 at 60,243 new homes – Ms English said it was skewed due to the development levy waiver and water charges rebates that spurred developers to avail of them.
“With both incentives now expired, can commencements continue to rise? Such policies had a very real impact on viability and without it, may make some sites difficult to mobilise, even if the infrastructure is in place,” she said.
“The lower than anticipated completions means the price of buying a home will continue to be high and out of reach for some. Until we build more, or enough homes, affordability will continue to be a challenge.”
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