Residential property prices have risen by 6.3% in the year to January.

This compares with an increase of 6.4% in December and a decrease of 3.3% recorded in the 12 months to January 2013.

Figures from the Central Statsitcs Office (CSO) show that in Dublin residential property prices fell by 1.3% in January but were 13.6% higher than a year ago.

The price of residential properties in the rest of the country were unchanged in January compared with a decrease of 1.6% in January 2013.

Prices were 1.2% higher than in January 12 months ago.

It comes after a report earlier this week raised concerns about a supply shortage of residential properties in the capital. The Housing Market Monitor from the Irish Banking Federation (IBF) also said that prices in the capital are continuing to rise.

The IBF study found that a two-tier market is now firmly established.