Asking prices for houses in South County Dublin increased by over 12% to the middle of 2013. According to the second quarter report for this year published by property website Daft.ie, this is the strongest year-on-year growth in asking prices recorded in any part of the country since early 2007.

For the country as a whole prices have fallen by 6% in Leinster, 11% in Munster and 12% in Connacht-Ulster over the last 12 months.

Prices dropped by 6% on average in Cork city and 6.6% in Galway. The typical asking price now stands at over 54% below their peak in 2007.

The report says the total stock of properties sitting on the market nationwide is just over 41,000, the lowest level since mid-2007.

Properties sold within 4 months

Across the country as a whole, the proportion of properties finding a buyer within 4 months has increased from 34% in mid-2012 to 45% now.

In the capital, two-thirds of properties are currently sold within 4 months compared to one-third in Connacht-Ulster.

Commenting on the report, economist with Daft.ie Ronan Lyons said "This is the first time such rapid growth in asking prices has been recorded anywhere in the country for six years".

"The underlying cause of rising prices in Dublin is a lack of supply in the capital, while demand has steadily been rising. But with conditions still weak in many parts of the country, it is likely that over the next 12-24 months, we may have to get used to the idea of prices rising in some places - particularly in urban areas - while they fall elsewhere" he added.

Kieran Harte is the Marketing-Director of Daft.ie. He says there are some surprises in this report.