Tag Archives: Property Crisis

This morning.

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.

Via Daft:

‘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)

This morning/afternoon.

A report into available properties for those on Housing Assistance Programme (HAP)

Meanwhile…

…Social Democrats Housing Spokesperson Cian O’Callaghan. said:

“The ‘Locked Out’ report reveals that the housing crisis is getting worse, not better. The number of properties, affordable for HAP tenants to rent, is virtually non-existent unless top-ups on the rent are provided.

“The Housing Minister claims the provision of affordable housing is a priority for the government, but where is the evidence of that?

“House prices and rents are exponentially increasing, while the number of properties available to rent is shrinking rapidly. HAP tenants, who are unable to pay the runaway rents now being quoted in every part of the country, are among those most at risk of becoming homeless.

The standard HAP rate, which has not been increased since 2016, must now be increased as a matter of urgency. However, the only way to really resolve this crisis is to seriously ramp up the supply of social, affordable and cost-rental homes. The Minister promised to do this. When will he deliver on those promises?”

Report here

Simon Communities

This afternoon.

Ireland’s Parliamentary Budget Office (PBO) has published a ‘snapshot’ of the housing market in 2021.

Viewer discretion advised.

Via RTÉ News:

From 2012-2020, it finds that average wages grew by 23% while house prices grew by 77%. For some, this is making house ownership “unachievable”, the report states.

It says high prices relative to incomes are “pushing potential buyers out of the market and into rental accommodation, social housing or emigration.”.

It notes that prices rose during the Celtic Tiger era at an average rate of 12.6% a year.

Prices rose by an average 7% a year from 2015-20.

The PBO cites the figure published by Banking Payments Federation Ireland last year that home ownership among those under 30 has collapsed from 60% in 2004 to 27% in 2020.

Using the Demographia International Housing Affordability Survey (DIHAS), which measures house prices against median incomes, it concludes that Irish house prices are “severely unaffordable” and have been for several years.

It says that housing affordability has worsened for renters, noting that rents are now 40% higher than their pre-crisis levels in Dublin, where rents have doubled in the past decade, and 20% higher in the rest of the country.

 

‘Collapse’ in home ownership among young adults – report (RTE)

RollingNews

Today’s Irish Times

ESB writes:

The Irish Times View on Getting on the Property Ladder. We don’t know how well off we are. Part 2. Today: Get lost in the bed-office-pub triangle on Grand Canal Street for €875k… Renovated four-bed near Dublin’s Silicon Docks has potential rent of €57k a year.

Get lost in the bed-office-pub triangle on Grand Canal Street for €875k (Irish Times)

Minister for Housing, Local Government and Heritage, Darragh O’Brien (left) and Minister for Finance, Paschal Donohoe TD addressing media at Government Buildings yesterday

This morning.

The Dáil is set to vote today on a proposal to introduce a stamp duty charge of 10% on the purchase of ten or more houses under plans agreed by Cabinet last night.

Via RTÉ:

After more than two weeks of deliberations the Government has moved to change tax and planning laws to prevent big investors buying up housing estates.

The higher charge will also apply where someone acquires ten or more units on a cumulative basis over a 12-month period.

However, it will not apply to those bulk buying apartments, which is the focus for many in the Opposition already.

Dáil to vote on proposal to introduce 10% stamp duty on bulk buying (RTÉ)

RollingNews

Meanwhile…

In fairness.

Meanwhile…