Houses in the capital are selling for more than 30% above their asking price as a social policy expert warns there are "major signs of economic storms ahead".

Rory Hearne, assistant professor in social policy at Maynooth University, said "this can't go on" as he spoke about "the housing rip-off madness" continuing, with a former council house in Dublin selling for 31% above its guide price.

The property in Maryland, Dublin 8, went on the market last month at €450,000 and ended up selling for €588,000, more than €130,000 above the guide price.

The three-bedroom end-of-terrace house underwent a complete refurbishment last year, being extended, rewired, replumbed and internally insulated.

It has an open-plan kitchen and living room area, one bathroom and a small back garden.

In Association with

Another Dublin property went for 42% above its guide price last month after 40 people viewed the apartment in the few weeks in which it was on the market.

This two-bedroom apartment on Sarsfield Quay in Dublin 7 went sale agreed at €390,000, which was a €115,000 increase from its guide price of €275,000.

The property, listed on estate agency Auctioneera, is 62 square metres in size and has a living room, kitchen, two bedrooms and one bathroom.

Robert Gardiner, senior property negotiator with Auctioneera, said: "People are desperately anxious to get on the property ladder, and the likes of a turnkey, city centre apartment with ease of access to the wider transport network is a real draw for first time buyers and investors alike.

"We are still in a hot market and it is very competitive out there."