According to the Demographia international survey(http://www.demographia.com/dhi-ix2005q3.pdf), at affordable levels, average house prices should be 3 x average wages.

When the bust has ran its natural course, Irish property prices will fall in line with international property prices.

Ireland (for the moment) has greater employment than the norm and other factors that would suggest a higher average price. Therefore a reasonable average price of four and a half times annual salary would be appropriate.

• if your salary is €30,000 then you will be able to buy a house worth €135,000.
• This is an unskilled person's salary so the house would be a 2 or 3 bed in a working class area.
• If your salary is €50,000 then you will be able to buy a house worth €225,000.
• This is a professional person's salary so the house would be a 3 or 4 bed in a good area.
• If your salary is €70,000, then you will be able to buy a house worth €315,000.
• This is a higher professional person's salary so the house would be a 4 or 5 bed in an exclusive area.

N.B In pre-bubble Ireland, average house prices were historically 4 x average annual wages.