A new 64-unit housing development on the west side of the city was sold out within 48 hours of going to the market last weekend.

At the same time, second-hand homes are fetching well above asking prices as demand in Galway’s “sellers’ market” shows no sign of slowing down.

The An Tobar development on Letteragh Road, Rahoon, was brought to market by O’Donnellan and Joyce Auctioneers last weekend and its Managing Director, Colm O’Donnellan, told the Galway City Tribune that within two days, all 64 properties had been sold.

The three- and four-bed units had starting prices of €450,000 and €535,000 respectively and, according to Mr O’Donnellan, all were snapped by eager first-time buyers who plan to live in the area.

“We launched this new Cairn Homes development of 64 homes last weekend and there was a huge response — they were sold within 48 hours.

“They were all sold to young couples buying their first homes,” he said.

O’Donnellan and Joyce, one of Galway’s largest auctioneers, was seeing huge demand in the second-hand homes market, too, said Mr O’Donnellan — exemplified last week when a Salthill property sold for almost €300,000 more than the asking price.

The two-bed house, located at 104a Lower Salthill, was sold at auction for €625,000, having been brought to the market with an advised minimum value of €350,000.

Mr O’Donnellan said the response to this property reflected the demand from the market for properties within five miles of the city, and close to the seaside.

“That particular house had very strong interest because of the location of the property, in the heart of Salthill. And it is very tastefully finished.

“We are finding this in Salthill, and elsewhere too — Barna is very strong as well — that these places are delivering what people are looking for. There are a number of people out there with the means to acquire this type of property,” explained Mr O’Donnellan, adding that sales were slower outside the city bounds.

This level of demand presented a major challenge for first-time buyers, he continued, as every house that came to the market was being sought after by a number of potential buyers.

“A four-bed property in Knocknacarra will likely have four to five people bidding on it. That is pushing up the price and there can only be one buyer. For those who underbid, that can be terribly disappointing,” said Mr O’Donnellan.

“That’s why it’s special to see young couples buying their first homes in the Cairn development and you see the delight when they have the opportunity to see and acquire something,” he added.

Meanwhile, one of Galway’s most expensive properties ever to come to the market has gone on sale on Maunsell’s Road.

The Edwardian St Anne’s, at 16 Maunsell’s Road, is also being handled by O’Donnellan and Joyce, and has been valued at €1.95 million.

The property, which was formerly the residence of Bishop Michael J Browne and is believed to have been visited by Pope John Paul II during his visit to Galway in 1979, was described as “iconic” by Mr O’Donnellan.

And while it’s not the most expensive property ever to go on the market, with “a good few selling for in excess of that”, it’s believed to be up there with the most costly.

Pictured: The two-bed house at 104a Lower Salthill, which sold for €625,000 – €275,000 higher than the initial advised minimum value of €350,000.