Rent up by 8.1% annually for new tenancies

Michael Bolton

A new study from the Residential Tenancies Board (RTB) shows 16.5 per cent of existing tenants in non-Rent Pressure Zone's experienced rent increases of eight per cent or more.

The report showed 74 per cent of sitting tenants experienced an annual rent increase of two per cent or below between Q2 2022 and Q1 2024.

Since Q1 2023, rents for new tenancies rose by 8.1 per cent nationally. Rents for new tenancies in Dublin rose 6.3 per cent year-on-year, compared with 12.2 per cent outside of Dublin.

The standardised average rent paid by new tenants nationally is now €1,612 per month, while for existing tenants it is €1,391 – a difference of €221 or 15.9 per cent.

The average standardised rent for new tenancies was highest in Dublin at €2,128 per month and lowest in Donegal at €950 per month.

Leitrim and Longford saw the highest growth in rent for new tenancies at 22.6 per cent and 22.5 per cent respectively.

Dublin City had the highest average rent for new tenancies at €2,084 followed by Galway City at €1,720.

Limerick City recorded the greatest annual increase in rent levels, rising by 18.3 per cent to €1,522.

Carrigaline Local Electoral Area in County Cork and the administrative area of Galway County have recorded four consecutive quarters of new tenancy rent inflation above seven per cent, which means they now meet the criteria to be designated as an RPZ.

Speaking on the release of the Rent Index figures and preliminary results of the Individual Property Level Analysis, Rosemary Steen, Director of the RTB said: “The RTB is the public body responsible for providing reliable data on Ireland’s rental sector.

"We welcome the latest Rent Index Report developed in partnership with the ESRI and the preliminary findings from the new Individual Property Level Analysis. Our Board will review this data in detail to guide our planning for 2025.

“For the first time, the Individual Property Level Analysis gives us data on landlords who may have breached RPZ rules. We will be communicating with these landlords as a priority to bring them back into compliance.

"Where there is deliberate and ongoing non-compliance, we will be using our full powers to investigate and sanction non-compliant landlords.”