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Exploring affordability in the Irish housing market

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  • Corrigan, Eoin
  • Foley, Daniel
  • McQuinn, Kieran
  • O'Toole, Conor
  • Slaymaker, Rachel

Abstract

This paper examines housing affordability in Ireland by looking at the distribution of housing costs across households. Using microdata from the SILC survey over the period 2006-2016, the contribution of this paper is threefold. First, the paper considers the trends in the cost of housing in Ireland across groups of households split by age, region, household structure, and their position in the income distribution. Second, we apply selected international housing affordability definitions and explorethe share, and composition, of households in Ireland that would be captured by these definitions. We do not find evidence of universal affordability difficulties in the Irish market. However, certain groups do face acute affordability challenges. Third, working towards a definition of housing cost affordability for use in Irish policy discussions, we provide some guidance as to what such a definition could look like.
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Suggested Citation

  • Corrigan, Eoin & Foley, Daniel & McQuinn, Kieran & O'Toole, Conor & Slaymaker, Rachel, 2018. "Exploring affordability in the Irish housing market," Papers WP593, Economic and Social Research Institute (ESRI).
    • Handle: RePEc:esr:wpaper:wp593
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    References listed on IDEAS

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    7. Eoin Corrigan & Daniel Foley & Kieran McQuinn & Conor O’Toole & Rachel Slaymaker, 2019. "Exploring Affordability in the Irish Housing Market," The Economic and Social Review, Economic and Social Studies, vol. 50(1), pages 119-157.
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    Cited by:

    1. Roantree, Barra & Maître, Bertrand & McTague, Alyvia & Privalko, Ivan, 2021. "Poverty, income inequality and living standards in Ireland," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT412, June.
    2. Conor O'Toole & Kieran McQuinn & Philip Economides, 2021. "Household savings constraints, uncertainty and macroprudential policy," Scottish Journal of Political Economy, Scottish Economic Society, vol. 68(2), pages 238-260, May.
    3. Grotti, Raffaele & Russell, Helen & Fahey, Éammon & Maître, Bertrand, 2018. "Discrimination and inequality in housing in Ireland," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT361, June.
    4. O'Toole, Conor & Slaymaker, Rachel, 2020. "Review of the Rebuilding Ireland Home Loan scheme," Research Series, Economic and Social Research Institute (ESRI), number RS104, June.
    5. Wouter Vangeel & Laurens Defau & Lieven De Moor, 2023. "Young Households’ Diminishing Access to Homeownership Attainment in Europe," Sustainability, MDPI, vol. 15(8), pages 1-28, April.
    6. Roantree, Barra & Slaymaker, Rachel & Doolan, Michael, 2022. "Low income renters and housing supports," Research Series, Economic and Social Research Institute (ESRI), number RS141, June.
    7. McQuinn, Kieran & O’Toole, Conor & Allen-Coghlan, Matthew & Coffey, Cathal, 2019. "Quarterly Economic Commentary, Winter 2019," Forecasting Report, Economic and Social Research Institute (ESRI), number QEC, June.
    8. Corrigan, Eoin & O'Toole, Conor & Slaymaker, 2020. "Credit demand in the Irish mortgage market: What is the gap and could public lending help?," Papers WP671, Economic and Social Research Institute (ESRI).
    9. Fahey, Éamonn & Russell, Helen & McGinnity, Frances & Grotti, Raffaele, 2019. "Diverse neighbourhoods: an analysis of the residential distribution of immigrants in Ireland," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT376, June.
    10. Uloma Jiburum & Maxwell Umunna Nwachukwu & Harold Chike Mba & Celestine Nnaji Okonkwo & Donald Chiuba Okeke, 2021. "Determinants of Public Housing Affordability for Large Income Diversity Groups in a New-Town Capital City: A Case Study of Abuja, Nigeria," SAGE Open, , vol. 11(3), pages 21582440211, September.
    11. Allen-Coghlan, Matthew & Judge, Conor & O'Toole, Conor & Slaymaker, Rachel, 2019. "A county level perspective on housing affordability in Ireland," Research Notes RN20190402, Economic and Social Research Institute (ESRI).
    12. Maria Jose Doval Tedin & Violaine Faubert, 2020. "Housing Affordability in Ireland," European Economy - Economic Briefs 061, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    13. Cathal Coffey & Kieran McQuinn & Conor O'Toole, 2022. "Rental equivalence, owner‐occupied housing, and inflation measurement: Microlevel evidence from Ireland," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 50(4), pages 990-1021, December.
    14. Eoin Corrigan & Daniel Foley & Kieran McQuinn & Conor O’Toole & Rachel Slaymaker, 2019. "Exploring Affordability in the Irish Housing Market," The Economic and Social Review, Economic and Social Studies, vol. 50(1), pages 119-157.
    15. Kelly, Jane & Mazza, Elena, 2019. "Mortgage Repayment Affordability across the Income Distribution," Financial Stability Notes 15/FS/19, Central Bank of Ireland.
    16. Laurence, James & Russell, Helen & Smyth, Emer, 2022. "Housing adequacy and child outcomes in early and middle childhood," Research Series, Economic and Social Research Institute (ESRI), number RS154, June.
    17. Conor O'Toole & Rachel Slaymaker, 2022. "Back to the Future? Macroprudential Policy and the Rebirth of Local Authority Mortgages in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 53(4), pages 223-260.
    18. Umfreville Paul & Sirr Lorcan, 2020. "Reform and policymaking: Theory and practice in the Irish housing context," Administration, Sciendo, vol. 68(4), pages 215-236, December.
    19. McQuinn, Kieran, 2020. "Property prices and Covid-19 related administrative closures: What are the implications?," Papers WP661, Economic and Social Research Institute (ESRI).
    20. McQuinn, Kieran & O’Toole, Conor & Slaymaker, Rachel, 2021. "Credit access, macroprudential rules and policy interventions: Lessons for potential first time buyers," Journal of Policy Modeling, Elsevier, vol. 43(5), pages 944-963.
    21. O’Toole, Conor & Martinez-Cillero, Maria & Ahrens, Achim, 2021. "Price regulation, inflation, and nominal rigidity in housing rents," Journal of Housing Economics, Elsevier, vol. 52(C).
    22. Maître, Bertrand & Curristan, Sarah & Russell, Sarah, 2022. "Intergenerational poverty in Ireland," Research Series, Economic and Social Research Institute (ESRI), number RS150, June.
    23. Roantree, Barra & Doorley, Karina, 2023. "Poverty, income inequality and living standards in Ireland: Third annual report," Research Series, Economic and Social Research Institute (ESRI), number JR4, June.

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