Irish Housing: An international Comparison
Putting Ireland’s housing system in an international context
This report* benchmarks Ireland’s housing system against its European peers, examining demographic trends, housing delivery, public investment, social housing provision and housing quality.
Ireland’s demographic profile remains a European outlier
The population of Ireland has increased by approximately 16% over the past decade to 5.45 million people, compared with growth of around 2% across Europe overall. Official projections (Eurostat) suggest that Ireland’s population could increase by a further 10% by 2035. Unlike many European countries facing weak demographics, Ireland continues to experience strong population growth driven by both net inward migration and natural increase. This creates a level of underlying housing demand that is largely unmatched elsewhere in Europe.
Fastest rate of homebuilding in Europe, but significant deficit remains
Following recovery over recent years, the rate of homebuilding in Ireland is now the fastest in Europe when measured relative to the population. Housing completions exceeded 36,000 units in 2025 and are expected to hit 40,000 in 2026. This is equivalent to seven homes per 1,000 people compared with a European average of around three. While housing construction activity is falling across much of Europe, Ireland is one of the few countries expected to continue increasing output over the coming years, reflecting strong demand, increasing public investment and improving delivery capacity across the housing sector. Despite higher completions recently, a significant deficit remains. The Housing Commission estimates a housing shortfall of between 212,000-256,000 homes, while international stock comparisons suggest a deficit of up to 400,000 homes.
Public housing output picking up; an important market anchor
Government support for housing has increased substantially recently. In 2024, it amounted to 2.3% of GNI*, the highest in Europe. This has contributed to Ireland becoming amongst the strongest performers for new social housing output. Ireland has made significant progress in expanding state-supported housing delivery, but sustained investment will be required if current momentum is to address the sizeable housing deficit that has built up over decades of under-supply.
Efficiency of new homes amongst the best in Europe
Ireland is building some of the most energy-efficient homes in Europe. New Irish dwellings typically achieve non-renewable primary energy consumption levels of between 32 and 40 kWh per sqm annually, compared with a European average of approximately 54 kWh. Strong insulation standards, airtightness requirements and high-performing building fabric mean Ireland compares favourably with leading European countries. Areas for improvement include greater use of district heating and low-carbon heat sources.
*independently produced by Goodbody for Glenveagh