Banks in Ireland gave out 20% fewer mortgages in the first quarter of 2008 compared to the same period the year before.

The Irish Banking Federation and Pricewaterhouse Coopers found that approximately 30,000 new mortgages worth €6.3bn were issued during the first three months of this year. That figure is down on the 38,000 mortgages worth €7.8bn issued during the first quarter of 2007.

The IBF says it believes potential house-buyers are holding off on the move in anticipation of a further drop in prices.