Dublin rents still rising but falling outside capital
RENT levels in Dublin rose in the second quarter of the year but fell slightly outside the capital.
Rents in Dublin grew by 3.5pc in the quarter when compared with the first quarter of 2013 and by 4.7pc on an annual basis, according to the Private Residential Tenancies Board (PRTB) survey compiled by the ESRI.
While Dublin house rents increased by 2pc, rents for Dublin apartments rose by 4.5pc compared to the first quarter, 2013.
On an annual basis, Dublin house rents rose by 3.6pc, while Dublin apartment rents increased by 5.6pc.
However, outside Dublin, overall rents in the second quarter, when compared with the first quarter of the year, were down by 0.3pc.
On an annual basis the decline was 1.3pc.
“The rate of increase accelerated in Dublin between quarter one and quarter two of 2013," said Anne Marie Caulfield, director of the PRTB. "This probably reflects the end of the bedsits market, with some landlords of that type of accommodation exiting the rental market."
She added that outside the capital the picture is different.
Dr John McCartney, research director at Savilles said: “Yields in Dublin have to fall, and with rents rising, the only way this can happen is through price growth. Therefore we expect recent price increases in the capital to continue, whereas there is unlikely to be significant growth in provincial markets outside the main regional centres”.