Rental Costs Return to Peak Levels in Dublin *

16 Mar 2016

Key Point

Rents in Dublin have now exceeded the levels reached at the height of the property boom in Q4 2007 by 0.4% (Dublin apartments are 2% above peak; Dublin houses 1.1% below). Overall Rents outside Dublin are still 14.5% off peak, with houses outside Dublin remaining 16.2% under peak.

National Context

Table 1 shows the percentage change in the rental index from its peak in Q4 2007 up to Q4 2015.

Table 1

(Source: PRTB)

Dublin apartments have recovered the most at 2.0% above Q4 2007, while Dublin rents overall are 0.4% above peak. Dublin was the first area to experience rental increases over the period shown in table 1, growing steadily since 2010. National apartments are 4.4% off peak. Meanwhile, houses outside Dublin are still 16.2% below peak and national houses (including Dublin) are 12.9% below. Rents nationally are still 9.1% below the peak reached in Q4 2007.

Year to Q4 2015

The annual increase in rents up to quarter 4 2015 nationally has been 9.8%. This increase has been highest for national apartments (10.8%), followed by outside Dublin apartments (10.7%). The annual increase in monthly rent for houses outside Dublin was 9.8% (9.5% for Dublin houses).

Low Point to Q4 2015

Considering quarter 4 from 2007 to 2015, Dublin apartments have recovered the most from their low point (2010) by 37%. Dublin rents have increased by 34%, while outside Dublin rents have recovered 15% of their value. Figure 1 illustrates the changes.

Figure 1