According to the Daft.ie Rental Price Report, the price of rent in Roscommon was, on average, 3.6% higher in the final three months of 2020 than a year previously. The average listed rent is now €745, up 51% from its lowest point. Rents in Connacht rose 3% year-on-year, reflecting a sharp fall in availability. Just 138 homes were available to rent on February 1st, down over 60% compared to a year ago.
The average rent nationwide in the final three months of 2020 was 0.9% higher than a year previously, according to the latest Rental Report by Daft.ie. The average monthly rent stood at €1,414 in the final quarter of 2020, up from a low of €742 per month seen in late 2011.
The national average hides significant regional variation, though. In Dublin, rents fell 3.3% during the year 2020, with rent declines concentrated in the second and fourth quarters of the year. In the rest of the country however, rents rose by 5.4% on average during 2020, with only a modest fall in the second quarter lockdown and an increase during the final three months of the year. In Limerick city, rents were almost 4% higher year-on-year, while in Cork and Galway cities the increase was just under 5%. In Waterford city, rents rose by 5.6% – the same rate of increase as in the rest of the country.
“Rents in the capital – and in Ireland’s other main cities – remain at twice their level a decade ago”, commented Ronan Lyons, economist at Trinity College Dublin and author of the Daft Report.
“Oftentimes, people query whether the basics of supply and demand apply to the housing market. These latest figures should remove any lingering doubts about the importance of supply in lower rents.
“Outside Dublin, Covid-19 has led to a further worsening of supply conditions in the rental market, with the number of homes coming on each month down 17% on already low levels.
“While demand for rental homes outside the capital has fallen – with the rise in unemployment – it has not fallen as much as supply, pushing rents further upwards”.