Sunday 22 April 2018

Rental property: Supply at lowest in decade

Average rent and year on year increases
Average rent and year on year increases
Mark O'Regan

Mark O'Regan

A severe shortage of rental properties is driving up prices in the Dublin commuter belt by double figures.

Rental inflation has started to slow in the capital but now it is the surrounding counties that are being hit as people move out from the city.

During April, rental prices in Dublin rose by 7pc, to an average of €1,358 with supply at lowest in a decade.

However, prices are jumping at twice that rate in Meath, Kildare, Wicklow and Louth.

There were fewer properties available to rent nationwide on May 1 than at any point since 2006, according to the latest quarterly report.

The current figure of around 4,300 properties available for rent is down hugely on the figure of 7,200 a year previously.

Back in 2009, there were almost 24,000 rental properties available.

Economist Ronan Lyons said: "Over the last 10 years, the number of households renting has grown rapidly but a renter today finds themselves with less choice on the market than at any other time since 2006."

Cork, Galway, Limerick and Waterford have all seen price rises of between 5.6pc to 7.5pc.

The national average rent between January and March was just over €960.

Irish Independent

Business Newsletter

Read the leading stories from the world of Business.

Also in Business