Friday 21 October 2016

Rising rents pushing Dubs further afield


Rising rents
Rising rents

Dublin's rent prices have now reached their limit and the scarcity of available homes has driven people to the commuter counties in a mirror-image of buying patterns during the Celtic Tiger, new figures show.

Low supply and high rents in the capital now mean more and more people are heading to counties like Wicklow, Kildare, Meath and Louth, spending longer hours commuting and more money on petrol in the process.


South county Dublin remains the most expensive area to rent in the country, with average rents now €1,528-per-month.

But rising rental rates in commuter counties, as a result of extra demand, and a fall in the number of homes available means a commuter-belt bubble is inflating rapidly.

"Rent prices are now so high in Dublin that people's incomes can't stretch any further," said Ronan Lyons of Daft.ie, who compiled the latest quarterly rental report.

The statistics compare rental rates from the first quarter of this year to figures from the same period last year.

Rental rates in counties Wicklow, Kildare, Meath and Louth are now rising at twice the rate of those in Dublin.

Rent inflation in Dublin slowed from almost 17pc in April 2014 to 7pc in April 2015, largely because people just cannot afford to pay any more than their current salaries allow.

But this has been offset by an increase in inflation in Dublin's commuter counties, which has risen from 7.6pc to 14pc in the same period.

The housing supply side for rent in the counties bordering Dublin also make for sobering reading.

"On May 1, 2012 there were more than 2,200 homes for rent in the commuter counties, but on May 1, 2014 there were less than 400," Ronan Lyons told the Herald.

Rents have risen 8.2pc nationally in the first quarter of 2015, compared to the same period last year.

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