Asking prices for residential property in Ireland fell by 4.2% during the second quarter of 2010, according to the latest report published by property website Daft.ie.

According to their data the national average asking price for property in Ireland has fallen by 37% since the peak and now stands at €220,000. The average time to sell a property is eight months, down from 10 months at the start of the year.

In Dublin asking prices fell by 5% in the past three months and are now some 40% lower than prices seen during the peak. Elsewhere in the country, prices are on average some 34% below the peak. In Cork and Limerick prices fell by 3% and 2% respectively during the last three months, while prices in Waterford fell by 7%.

The largest falls in the country were in Donegal, Cavan and Monaghan, where asking prices fell by an average of 11%, having been static for the past six months.

Ronan Lyons, economist with Daft.ie, said: "While falls in asking prices are slower than last year, the market is still in adjustment and the total stock for sale, particularly outside the main cities, remains high. Nonetheless, evidence from Dublin in particular shows that properties are selling. Almost half the number of properties listed in the capital in January are now at the sale agreed stage or already sold.

Lyons concluded: "Around the country, about 5,000 properties were listed for sale in April. Of these, 15% of properties have already been sold, while a further 10% are sale agreed. This represents a slight slowing down, compared with the first quarter, when 20% of properties listed in January were sold by April 1, with a further 10% sale agreed."