Mortgage approvals surged by 62% in the first quarter of 2017 compared to the same period last year, according to figures released last week by Banking & Payments Federation Ireland (BPFI).
The figures also revealed that the value of the loans approved is rising even faster – by 77.5% year on year.
However, the number of loans actually drawn down to close home purchases in the same period was just 27.4% up year on year.
The gap between approvals and draw downs illustrates the pressure in the housing market with significantly more money approved for home purchase than has been actually spent in the period.
The figures were published just a day after Central Bank governor Philip Lane rejected suggestions that the economy is on the brink of another housing bubble.