Of course the answer will vary depending on individual circumstances. But as ING Commercial Banking senior economist Ian Bright says additional measures and calculations may be able to help.

Buying just because prices are rising "can be financially dangerous"
Bright tells how comparing the cost of renting to the cost of owning can help broaden the picture of how expensive houses are. Likewise, he details the house price to wage ratio. Bright says: “One thing is clear, it can be financially dangerous to buy a property just because prices have increased over the past few years.”
He adds: “Once you have done some basic comparisons and are aware of the risks involved, you can decide whether to put in an offer for that €300,000 house.”