Bank of Ireland has released its latest Economic Pulse survey today in conjunction with the European Commission. The Economic Pulse surveys are conducted by Ipsos MRBI on behalf of Bank of Ireland with 1,000 households and over 2,000 businesses on a range of topics including the economy, their financial situation, spending plans, house price expectations and business activity.
The Housing Pulse gained ground in April 2018, coming in at 116.1 from 114.2 in March. The share of respondents expecting prices to increase over the next 12 months ticked up this month in all regions bar Dublin. Most households also expect rents to rise in the year ahead.
When it comes to the ‘buy versus rent’ debate, the April survey finds that 70% think it is cheaper to purchase a property in their area than it is to rent. This is up from 60% at the start of 2016 and owes much to house prices still being around 20% off their previous peak whereas rents are well above theirs.
Commenting on this trend, Group Chief Economist at Bank of Ireland, Dr. Loretta O’Sullivan said, "Rising houses are a stumbling block for a lot of people, so some households are opting to do up or renovate an existing property instead of moving. Ratings hits like ‘Room to Improve’ might also be having an impact! Our latest survey finds that almost one in three is planning on spending a large sum of money on home improvements in the next 12 months."
Source: www.businessworld.ie
