David O’Connell writes:
‘Of interest in the housing rental problem. this barge in Sallins, county Kildare was for rent for 800 euros a month when the advertisement was published yesterday.
‘Today, the same boat, same ad, and its now 1400 euros a month.’
170 Grand canal way, Sallins, Co. Kildare (Daft)
The latest report from Daft shows the average market rent between January and March stood at €1,567 per month, double the average rental in 2011.
‘Perhaps more worryingly, it is not only market rental levels that are increasing but also the inflation rate in market rents, which hit 11.7% in the first quarter of 2022, up from just 1.2% a year earlier and only just below the all-time high of 11.8% experienced in late 2016.
…Inflation in market rents for Dublin 2, for example, now stands at almost 11% year-on-year, compared to -9% a year ago and just 1% two years ago.’
Indeed, this is an important part of understanding what’s different now compared to 2019. In 2019, the rental market appeared to be calming down, with inflation in Dublin, for example, falling from 11% in early 2018 to just 1% in early 2020. The pattern elsewhere in the country was similar, driven by a stabilization and then modest recovery in the availability of homes to rent.
Irish Rental Report Q1 2022 (Daft)
…Social Democrats Housing Spokesperson Cian O’Callaghan said
“The government’s response to this crisis has been to fiddle with rent caps, which are now set at 2pc. Given the double-digit rent increases replete across the country last year, it is clear rent caps are nothing more than window dressing. They are doing nothing to stop sky-high rent increases.
“The answer to these outrageous and unaffordable rent increases has been obvious for years now – ban rent increases and dramatically increase the supply of public, affordable and cost rental homes. Regrettably, the government is refusing to act – and ordinary people are suffering as a consequence.”
Daft Report here
From top: Daft report for the second quarter of 2021; Cian O’Callaghan
The latest report from Daft.ie shows that on average rents in Dublin increased in the second quarter of this year by around 0.5% with a national increase of 5.6%.
Cian O Callaghan – Social Democrat housing spokesman – whose party wishes to see a freeze on rent increases, said:
“Today’s report reveals the abject failure of this government to tackle the rental crisis. Rents climbed by an average annual rate of 5.6pc in the second quarter of this year, but the rates of increase were even higher in many areas.
For instance, rents in Kerry, Leitrim and Roscommon surged by more than 16pc while rents in Donegal, Cavan, Clare, Galway, Mayo, Sligo and Waterford all increased by more than 14pc.
“The unprecedented nature of this crisis is evident in the fact that it is now cheaper to repay a mortgage than pay rent in nearly every region of the country. In fact, the only two places where a mortgage for a three-bed home is more expensive than rent is in Dublin 4 and Dublin 6.”
Record increases in rents outside Dublin amid ‘chronic’ supply shortages – Daft report (Newstalk)
Monthly asking prices for rents in Dublin dropped in the first three months of this year, but increased elsewhere – according to the latest rental report from property website daft.ie.
The average monthly asking price nationally stood at €1,443 in the first quarter, up 1.7% on the same period last year.
With many people working from home during the pandemic, there has been an increased desire to live outside of the capital – and this is reflected in the report.
In Dublin, asking prices for rents were down 3.2% year-on-year, while prices in the rest of the country were 7.1% higher.
In Cork, Galway and Limerick cities, they are 6% higher than a year previously, while in Waterford they are 8.3% higher.
Outside the five main cities, asking rental prices are up 7.3% year-on-year.
Rents fall in Dublin, rise elsewhere – Daft report (RTÉ)
Old cottage in need of repair selling with c.7 acres
Seven acres tho.
Mullaghbawn, Drumkeeran, Co. Leitrim (Daft)
Ah but you’d miss the craic.
All the same.
Minister for Housing Darragh O’Brien
Meanwhile, under the Shared Equity Loan scheme planned by Minister for Housing Daragh O’Brien allocates €75m to offer equity loans of up to 30% on new-build homes under €400,000. The scheme will have no salary cap and will be aimed at allowing younger people purchase their first homes.
Social Democrats Housing spokesperson Cian O’Callaghan TD said:
“It is crucially important that the Government drops its plan for shared equity loans which will further inflate house prices. It would be grossly irresponsible if the Government proceeds with its plan to add fuel to the fire when it comes to house prices.
“There are already a number of factors pushing up house prices during the pandemic – these include reduced supply, an overall increase in household savings and favourable tax treatment of REITs [Real estate investment trusts] , which is pushing up the prices of apartments in particular and pushing out first time buyers.
“I’m calling on the Minister for Housing to drop his proposals for shared equity loans from the Affordable Housing Bill. We need measures that will increase the supply of affordable homes – not measures that will further increase demand and house prices.”
Here we go again. Look at the price, look at the condition. Shameless and possibly illegal…
Clanbrassil Street Upper, Dublin 8 (Daft)