New figures from the Banking and Payments Federation Ireland suggest that there has been a surge in mortgage approvals.

But these potential home-buyers are competing for a dwindling supply of property, this resulted in a number of the people approved to buy a home not ultimately drawing down mortgages.

In the three months to the end of August, 3,411 mortgages were approved. That's a 25.7% increase on the same time last year.

These mortgages had a total value of €682m - 37% higher than the corresponding figure 12 months ago.

The value of mortgage approvals rose by 2% year-on-year and by 3.5% month-on-month.

Both re-mortgage and top-up mortgage approvals grew on a year-on-year basis - with re-mortgage activity accounting for 8.5% of the value and 7.7% of the volume of mortgages.

This data comes a day after it was revealed that the average price of a three-bed semi-detached house in Ireland has risen above €200,000 for the first time since before the property crash.

At the end of the third quarter the average three-bed-semi cost €200,093. That's €4,732 more than the end of June - and a 6.37% year-on-year increase.

The average price in Dublin city has risen to €373,333 since June