One of the largest builders in the country, McInerney, has said the increase in the affordability of housing will allow an improvement in the market over the coming months.

Following its AGM meeting on Thursday, the company said price incentives and an increase in mortgage interest relief has seen affordability improve radically and believes the “price correction in the market has now taken place”.

As a result, McInerney predicts house sales will return to previously high levels once mortgage availability and consumer sentiment improves.

In the UK, house sales are 17% lower than this time last year and are taking longer to complete than previous, they said.

The company said it was difficult to predict the full-year fall in unit completions.

It said the affordable and social housing sector was performing well and the company said it planned to seek growth from this area.

Following the announcement, McInerney shares were unchanged on the Dublin market at €0.91.

Source: Irish Times