Rents in Dublin rose ten times the level outside
the capital in the 12 months to end of March 2014 according to the quarterly
Private Residential Tenancies Board (PRTB)/ESRI Rent Index. Meanwhile as
reported last week,
there were 39,250 BTL (buy-to-let) accounts in arrears in Q1 2014 and 70% of the loans
are tracker mortgages - - repayments are set to fall again after last week's ECB
The PRTB said that on an annual basis, nationally, rents were 3.5% higher than in quarter 1 of 2013. Nationally,
rents for houses were 1.6% higher, while
apartment rents were 5.6% higher than in
the same quarter of 2013.
Annual growth in the Dublin market was stronger,
up by 8.4%, with Dublin house rents up by
6.7% and Dublin apartment rents higher by
10.3%. In contrast, annual growth in rents
for the market outside Dublin was more subdued,
recording growth of 0.8% when compared
to the first quarter of 2013. Again the performance
differs by property type. Monthly rent for houses
outside Dublin increased by just 0.1%,
while apartments outside Dublin experienced an
increase of 2.1%.
In the first quarter of 2014, monthly rents were
close to 23% lower than their peak in late
2007, with Dublin rents down 16.4% from
peak. Rents for houses are 24.0% lower
than they were in the fourth quarter of 2007.
Rents for houses outside Dublin are 26.5% lower than their peak, while rents for Dublin
houses are 15.0% lower than in late 2007.
Monthly rents for apartments are nearly 21% lower than they were in the first quarter of
2008. Apartment rents outside Dublin are 24.6% lower than their peak, while rents for Dublin
apartments are 15.0% lower than in late
2007. Dublin apartments account for 22.8%
of registrations with the PRTB
The Rent Index is based on about 30,000 tenancies
registered with the board.
“The private rented sector in this country
continues to reflect a story of two very different markets,” said
Anne Marie Caulfield, director of the PRTB. “Dublin continues
to show a strong year-on-year growth in rent levels, while the rest of the
country shows only a marginal increase over the year to the end of March.”