As the autumn selling season gets under way, estate agents are predicting that prices are likely to rise again before the end of the year. First-time buyers continue to move into the greater Dublin area to find less expensive homes, while well-heeled buyers are competing for the limited supply of family homes close to the city centre to reduce commuting time. Still, others are cashing in on the property boom by selling their city homes and buying less expensive properties in the provinces.

Early indications in the Dublin second-hand market suggest that there will be a flood of properties coming on the market in the next two to three months as vendors move to capitalise on the higher values. House-builders are warning that the Government threat to take 20 per cent of all development sites for social housing will send new house prices higher in schemes due to be completed before the new planning Bill is enacted. With limited opportunities for investing in property, an ever increasing number of families are buying holiday homes abroad - mainly in Spain, Portugal and France. London property is getting more expensive and less attractive as an investment, according to experts.