But recovery in June sales hints at market returning to normal levels for the summer
Northern Ireland’s housing market has recorded its weakest second quarter since the Covid-19 pandemic wreaked havoc on sales during 2020, new HMRC data suggests.
Provisional figures published by the tax authority on Thursday, estimate 5,290 residential property transactions were completed in the three months to June 2025.
That was 590 fewer sales than the same quarter last year and 1,870 below the 7,160 homes sold in the first three months of the year.
Sales in the first quarter were in part driven by the hike in stamp duty, which came into effect on April 1 2025.
The deadline and falling interest rates contributed to one of the busiest opening quarters for the Northern Ireland housing market since the Celtic tiger era.
Sales fell sharply in April, with just 1,260 homes changing hands.
But the market gradually recovered through the second quarter, with 1,880 sales recorded in May, rising to 2,150 in June.
That was just behind the 2,020 sales recorded in June 2024.
While it hinted at the housing market returning to normal levels through the summer months, it nevertheless left the second quarter (Q2) total as the lowest since the 2,230 recorded in Q2 2020, when the market had to temporarily close due to coronavirus.
The pandemic months aside, the 5,290 sales in last quarter meant it was the weakest Q2 recorded by HMRC in Northern Ireland since 2016.
The data remains provisional, meaning the final total could be revised slightly upwards in the coming months.
HMRC’s report said the 14% rise in sales between May and June “reflect transactions recovering from the dip seen” following the ending of the temporary stamp duty thresholds.
The official figures come after PropertyPal independently published its own second quarter market analysis last month which claimed sales activity in the second quarter was 12% up on the second quarter of 2024.
