Dublin rent prices soar

Rents in Dublin continue to rise. Photo: Ross McGovern

The cost of rent continues to rise in Dublin, where the high demand for apartments has resulted in a 5 per cent increase in rental costs.

The Private Residential Tenancies Board (PRTB) index, tracks rents paid as opposed to the rate of rent initially sought by the landlord.

The index shows a marked divergence between rental costs in the capital and elsewhere in the country, where prices are continuing to fall. Director of the PRTB Ms Anne Caulfield said the index was a “story of two markets”.

It now costs an average of €1,022 a month to rent an apartment in the capital, the highest level in more than 3 years. The cost of renting houses has also risen, with the average monthly rental rate of €1,135.

The increase rates will put further pressure on already overstretched social housing organisations, including the Iveagh Trust. The economic downturn has led to significant reductions in the State’s financing of the social housing sector.

Homeless charities also expressed concerns that the rise in rental costs would leave more people homeless in the capital. Focus Ireland said the rise brought the risk of homelessness a “little bit closer” for thousands of people already struggling to get by.

The index is compiled by the Economic and Social Research Institute (ESRI) on the PRTB’s behalf and is based on the board’s register of more than 237,000 tenancies throughout the State.

Student Unions have also voiced their concern at the figures, with a growing number of students becoming increasingly desperate to find suitable accommodation. The Liberties is a popular location for students with the Dublin Institute of Technology’s (DIT) Aungier Street and Kevin Street campuses located nearby.

Fiachrá Duffy, the Vice President of Student Welfare for the DIT’s Student Union (DITSU), believes that the increase in the cost of rent is placing further pressures on students.

“Students across the board are feeling the burden; they are being forced further out of the city or being forced to settle for sub-standard accommodation.”