As housing availability worsens in Ireland, rents rise by 7%: Study

DUBLIN, Ireland: Rents across Ireland rose by more than seven percent in the third quarter of 2024 compared to last year, according to a Daft.ie report, with a quarterly increase of 1.7 percent.

This marks the 15th consecutive quarter of rising rents, with the national average reaching 1,955 euros per month, 7.7 percent higher than last year and 43 percent above pre-pandemic levels.

Dublin's rental inflation has intensified, approaching rates seen in other parts of the country. In the second quarter, Dublin rents were 5.2 percent higher year-over-year, while outside the capital, rents increased by an average of 8.9 percent. Limerick City saw the sharpest rise at 19 percent, with Cork and Galway up over ten percent, and Waterford rising by 5.8 percent. Outside city areas, rents rose by 9.3 percent in Munster and 10.5 percent in Connacht-Ulster.

The report highlights a critical shortage of rental homes. As of November 1, only 2,400 properties were available nationwide, a 14 percent drop from the previous year and far below the 2015-2019 average of 4,400.

Economist Ronan Lyons from Trinity College Dublin noted that while Dublin had limited rental inflation in 2023 due to a surge of new rental properties, the recent slowdown in construction is likely to tighten Dublin's rental market further.

Lyons emphasized that the new government should prioritize boosting the supply of private rental housing rather than solely focusing on owner-occupied homes and social housing.