As well as an increase across the country, Dublin now records ridiculous rent prices to rank as highest in Ireland at just under €2,000 per month.
New findings have revealed the exorbitant price of the average rent in Dublin, Ireland’s capital city, reaching almost €2,000 per month. This can be a key factor in deciding which city is better, Dublin vs Galway.
The Residential Tenancy Board (RTB) Index for Q4 in 2021 has been released, showing a nine per cent increase in the average rent across the country entirely, the highest growth since the fourth quarter of 2017.
High rent prices have dominated the headlines for a while now. So, these findings will come as no surprise to those currently priced out of renting in the capital.
The RTB Index findings – what it means nationally
RTB uses the standardised average rent to determine their figures; this is a mix adjusted rent that also takes into consideration the changing mix of properties in a particular area.
The average price of Dublin rent now stands at €1,972 per month. When breaking down Dublin Local Authorities, it is €1,836 in Finglas County Council and €1,910 in Dublin City Council.
Average rent is €1,901 in South Dublin County Council and a whopping €2,173 in the Dún Laoghaire-Rathdown County Council.
Dublin is, by far, the highest price in the country. In second is Wicklow, at €1,522. Kildare stands at €1,373, Meath at €1,356, Cork at €1,247, and Limerick with €1,203 per month. Galway city comes in at €1,293 per month.
Thankfully it is not as high across the board, as the likes of Leitrim (€739), Donegal (€762), Cavan (€778), and Monaghan (€805) show.
What this means for renters – being priced out of moving out
The news means that it is almost impossible for people to rent accommodation in Dublin and other parts of the country, as the figures demonstrably show.
Indeed, Gavan Reilly, Political Correspondent for Virgin Media News, tweeted how 12 months’ average rent in Dublin is €22,920. However, 12 months’ income for someone on minimum wage is only €21,840.
The average rent price nationally in new tenancies is around €1,415. Meanwhile, it is €1,366 for a three-bedroom house. In Dublin, it is an average of €2,133 per month for a three-bedroom.
About the RTB Index – where the figures come from
The data released by RTB is independently analysed by the Economic and Social Research Institute (ESRI).
This measures three things: new tenancies in existing rental properties, new properties being let for the first time, and new tenancies in properties that have not been let in the previous two years.
RTB Director Niall Byrne commented on the Index. He said the new index “shows continued growth in rents being set for this proportion of the overall private rented sector”.
A 2021 study by Numbeo revealed that Ireland ranks tenth in the world rankings for expensiveness if rent is included in the cost of living. Meanwhile, the Bank for International Settlements (BIS) ranked Ireland’s housing as the second least affordable worldwide.
The figures are indeed a cause for concern. Action will be needed to reduce the prices to make property more affordable.