Saturday 18 November 2017

Average rents hit highest level since 2002 - and continue to rise

(Stock image)
(Stock image)
Charlie Weston

Charlie Weston

Rents had their highest rise on record last year, just as measures have been put in place to limit increases.

The average cost of rented accommodation shot up by an average of 13.5pc in the year to last December. Rents nationwide are at a new high of €1,111 on average.

The latest Daft.ie rental report shows the rise last year was the largest annual increase ever recorded. Daft first started tracking rental costs in 2002.

The Government extended rent caps last month in a bid to restrict rises by nominated areas designated as rent pressure zones. Landlords can only increase rents by 4pc per year for three years in designated areas.

In other areas, landlords can only raise the rent once every two years since new laws came into effect at Christmas. But landlords are free to hike rents in the case of new tenancies. The measures are set to help sitting tenants. The Daft.ie index reflects new rent deals.

Dublin saw a 14.5pc surge last year, the second highest rate on record since 2002. Rents in the capital are now €200 more than they were when the last peak was recorded in 2008. Average rents in the capital are now €1,643.

Rents nationwide are at a new high of €1,111 on average. Photo: Getty Images
Rents nationwide are at a new high of €1,111 on average. Photo: Getty Images

In Cork, rents rose by 12pc last year, down from 18pc earlier in the year. The average cost is €1,096. Rents in Galway are 10pc higher at €975 on average than a year previously, while rents in Limerick - at €875 - have risen 12.5pc in the past year.

Irish Independent

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