Soaring Dublin rents laid bare as costs rise 30pc in just 5 years
THE average of cost of renting a home in Dublin has soared in the last five years, with rents up 30pc in some parts of the city.
The Rent Report shows that only in three cities - Dublin, Cork and Galway - have rents increased, with sharp drops across the rest of the country.
An in-depth analysis of the cost of renting a home reveals that price hikes are being fuelled in the capital. It shows that, on average, rental costs for an average home are 5.5pc higher than five years ago, but much more in some places.
It also reveals that the tech sector which includes multi- nationals Google, Twitter, Facebook and airbnb - all based in the Dublin Docklands - is helping fuel the increases.
The most expensive average rent nationally is in Grand Canal Square, Dublin 2, at €1,945 a month, followed by Grand Canal Dock at €1,851 and Hanover Quay at €1,825.
The tech sector's influence also extends to the commuter belt. Another expensive area is Leixlip, Co Kildare, home to tech giants Intel and Hewlett Packard, where a home costs €1,041 per month. The Rent Report also shows:
l The average cost of renting a three-bed semi-detached home in Dublin has risen 3pc to €1,148 per month.
l A two-bedroom apartment is up by 11pc, to €1,147 per month. A one-bedroom apartment costs €930, up 9pc.
l Across all property types, the highest increase has been recorded in Islandbridge, Dublin 8, where increases of 26pc and 30pc have been found. A one-bed apartment is 30pc more expensive today, at €1,097 per month.
l Increases have also been recorded in Ranelagh, up to 28pc, and in Donnybrook. A one-bedroom apartment in Dublin 4 is now €1,107 per month, up 23pc.
l Some areas and property types have fallen in price, notably a two-bed apartment on the South Circular Road.
l Average rents for these now stand at €974, down 33pc.
l Other areas for three-bedroom homes where rents have fallen, albeit by modest amounts, include Balbriggan (down 5pc), Dun Laoghaire (6pc) and Swords (4pc).
The Rent Report is based on data collated by the Economic and Social Research Institute on behalf of the Private Residential Tenancies Board.
By law, all tenancies must be registered with the PRTB and among the details it records are the monthly rent and the type and location of the property being rented. More than 30 individual property types must be registered in a location before appearing on the database, and records of more than 400 locations across the country are held. This information is today published for the two most commonly-rented property types - a three-bedroom semi-detached home and a two-bedroom apartment.
The report shows that outside of Dublin, Cork and Galway, rents have dropped for a three-bed semi-detached home and almost all property types. Outside the cities, the only county where prices increased was Galway.
While rents have risen in the last year across most locations, the five-year trend of falling prices is further evidence of a two-speed economic recovery.
Larger cities including Dublin and Cork are considered economic drivers, and any upsurge in the economy would be expected to take there hold first.
However, with little activity in the construction industry, the shortage of available properties coming on to the market is being felt by tenants hoping to secure a home.