The rise in the cost of living is having a significant effect on house hunters' ability to buy, worrying new research has revealed.
More than half (52%) of those looking to buy a home say the current rise in the cost of living has affected their ability to purchase a property, a new survey by MyHome.ie has found.
The research found that sentiment among prospective homeowners is low, as just over half of respondents have finances in place to buy a property in the next year, yet 42% say they are not confident about their ability to buy in that timeframe.
House prices are also a major issue, with 70% of respondents saying they have had to look beyond their top location choice because of price concerns. Prices rose by an average of 5.6% in the year to February 2022, the largest increase in almost 21 years, but energy prices are rising faster.
Gas is up almost 30% and electricity has risen more than 22%, while heating oil has more than doubled in price over the past year. And survey respondents do not see light at the end of the tunnel when it comes to house prices, with six in ten believing prices will rise in the next year.
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Prices are climbing at almost 15% a year, a rate blamed on a lack of properties for sale and buyers using pent-up savings from lockdown to bid extra on homes.
Just over one in ten people surveyed think the next 12 months will represent a good time to buy property, while 74% are worried about the state of the property market in general.
MyHome.ie's Joanne Geary said the findings were not surprising given the economic climate.
She added: "The rise in the cost of living has been significant and is a source of worry for all people, so it is not surprising to see homebuyer sentiment negatively affected in this survey.
"Our recent Property Price Report for Q1 2022 predicted buildings material inflation of 18% next year, which would most likely serve to put a brake on soaring market demand.
"This could be viewed as a positive result for the market, as we need to see demand easing in order to redress the imbalance between that demand and our chronic lack of supply."
It comes as truckers and hauliers are set to bring Dublin city to a "standstill" from this morning to protest at rising fuel costs.
The People of Ireland Against Fuel Prices group has warned it will not end the protest without a resolution to the crisis, and said it is prepared to protest "for at least one week, maybe even two".
Meanwhile, bus fares on all subsidised public transport services provided by Bus Éireann and Local Link outside the greater Dublin area are to be reduced by an average of 20% from today.
The plan to cut public transport fares was announced by Transport Minister Eamon Ryan in February and was among the measures included in the Government's package to help address the cost-of-living crisis.
The fare reductions will benefit customers on city services in Cork, Galway, Limerick and Waterford, as well as town services in Athlone, Balbriggan, Drogheda, Dundalk, Navan and Sligo.
Fares on inter-urban and commuter services will also fall, although fares on the commercial expressway services are not included. Passengers on TFI Local Link rural services operated by the 15 Transport Co-ordination Units around the country will also see their fares drop by 20%.
Minister Ryan said: "We want to make it easier for people to be able to choose public transport throughout the country and I am delighted this saving of 20% off public transport costs is now being implemented."
