Rate of decline in national rent prices slowing
Published 07/02/2011 | 05:00
Property rental prices are continuing to fall nationally, according to a new survey published today.
But the report, by economist Ronan Lyons of property website Daft.ie, has revealed that the rate of decline is slowing and rent in some Dublin areas is actually on the rise.
In Dublin, rents in some areas are up to 2pc higher than last year as the price of property in the capital has begun to level off, while rents in Cork and Galway went largely unchanged.
Average rental prices now stand at €830 a month, 27pc below the 2007 peak, following a fall of 0.6pc over the course of 2010.
Rents in Limerick and Waterford fell by between 3pc and 4pc over the course of 2010 and rents outside main cities have fallen 3.5pc.
The report also revealed that the total number of properties to rent nationwide has fallen from a high of over 23,000 in 2009 to 16,000 at the start of this month.
"Across large parts of the country, however, there remains a significant oversupply on the market, which is pushing down rents," Mr Lyons said.
Commenting on the report, economic analyst Lorcan Roche Kelly said that outward migration would continue to drive down rents.
Referring to the ESRI prediction that 100,000 will leave in the next two years, he said that many would be younger people "who normally rent".