A single first-time buyer now needs to earn more than €100,000 a year to afford a typical first home in three Irish counties, according to new research examining the growing gap between earnings and property prices.
Dublin has been joined by Wicklow and Kildare in the six-figure income group. The study estimates that a single buyer needs an annual income of €108,000 in Dublin, €101,250 in Wicklow and €100,238 in Kildare to meet the borrowing requirement for a typical first-time-buyer property under standard mortgage rules.
Only Dublin was above the €100,000 mark in the previous year’s research. The latest figures show the affordability challenge for people buying alone is becoming more pronounced outside the capital.
Median salary falls short across every county
The gap is not confined to Ireland’s most expensive housing markets. The research found that a single person earning the national median salary of €44,816 would fall short of the estimated income required to purchase a typical first home in every one of the country’s 26 counties.
Longford recorded the lowest estimated income requirement, at €48,375. Even there, the figure sits above the national median salary.
Dublin has the largest gap. The estimated salary requirement of €108,000 compares with a local median income of €49,224, a difference of €58,776. A single buyer earning the local median would need to more than double their income to reach the level used in the study.
Key figures at a glance
County Estimated income required Local median income Dublin €108,000 €49,224 Wicklow €101,250 — Kildare €100,238 — Longford €48,375 — National median salary €44,816 —
The figures are estimates based on the methodology used in the research and should not be interpreted as guaranteed mortgage approval thresholds.
How the affordability calculation works
The research compares property prices with earnings and then applies the standard mortgage lending framework for first-time buyers.
Under the Central Bank of Ireland’s mortgage measures, first-time buyers can generally borrow up to four times their gross income, while the standard loan-to-value limit means they must provide at least a 10% deposit.
That creates two separate hurdles. A buyer needs enough savings to meet the deposit requirement, but also needs sufficient income to support the mortgage required to purchase the property. Having a deposit therefore does not necessarily solve the affordability problem.
For a single buyer, the income limit is particularly significant because there is only one salary supporting the mortgage application.
Affordability pressure is spreading beyond Dublin
Dublin remains the most difficult market in the research, but the emergence of Wicklow and Kildare at the six-figure level shows how affordability pressures extend into neighbouring counties.
The wider pattern is also important. Even counties with substantially lower property prices can remain difficult for a single median-income worker to access. This means the issue cannot simply be explained by the cost of homes in Dublin. The relationship between local wages and local property prices is equally important.
House prices and wages are moving at different speeds
Economist Austin Hughes said the continuing increase in Irish house prices relative to wages was making it harder for first-time buyers to find properties within their financial reach.
When property prices increase faster than earnings, mortgage borrowing based on income does not rise at the same pace. A buyer can therefore find that their borrowing capacity has increased while the price of the type of home they need has increased by considerably more, leaving a growing gap between what they can borrow and what they need to spend.
Buying alone creates an additional challenge
The figures also highlight the particular difficulty faced by people trying to enter the market on one income. Two-income households may have greater borrowing capacity, although they still face deposit requirements and other household expenses. A single buyer does not have a second income to increase the amount that can potentially be borrowed.
That makes the relationship between salary and property price especially important. The problem is most visible in Dublin, where the estimated income required for a typical first-time-buyer property is more than twice the local median income.
State and family support can alter the picture
The research does not mean that every person earning below the stated income levels is automatically unable to purchase a home. Individual mortgage applications are assessed by lenders and can be affected by savings, existing debts, household expenditure and other financial circumstances.
Some buyers may also benefit from State housing supports or financial assistance from family. Those options can reduce the amount a household needs to fund independently. However, dependence on additional assistance can itself reveal the scale of the affordability gap. Buyers without access to family wealth or other financial support may have fewer ways to bridge the difference between their income and the cost of a home.
No county is within reach of the national median salary
The most striking finding is its national spread. A single worker earning the national median salary of €44,816 would fall below the estimated income requirement for a typical first-time-buyer property in all 26 counties, according to the study’s methodology.
That does not mean homeownership is impossible for every single median-income worker. It does show, however, that purchasing a typical first home on one median salary is difficult across the country when standard mortgage limits are applied.
The findings also show how sharply the challenge varies between locations. Longford’s estimated requirement is only modestly above the national median salary, while Dublin’s is more than twice that level.
The growing gap for single buyers
The latest research points to a housing market in which income has become an increasingly important barrier for people attempting to buy without a second household salary.
Three counties now have estimated income requirements above €100,000 for a single buyer, while even the lowest requirement identified in the study exceeds the national median salary.
The figures do not measure every aspect of housing affordability and should not be treated as individual mortgage decisions. They do, however, provide a clear illustration of the distance between typical earnings and the cost of entering the property market alone.
For single first-time buyers, the challenge is therefore not simply saving a deposit. It is also earning enough to secure the level of borrowing required for the type of property available in their local market.
