Short supply drives up cost of renting a home across Cork

AVERAGE rental costs across Cork County continued on their upward spiral during the final quarter of 2017 – with the average rent now almost 50% higher than at their lowest point in 2011.

Figures contained within the latest Daft.ie Rental Report showed that the average rent in the county at the tail end of last year stood at €864 per month – representing a 1% increase on the previous quarter and a year-on-year increase of 8.6%.

The figures for Cork City made for even more sober reading, with the average rent standing at €1,180 at the end of 2017, representing an annual increase of 7.7%.

The situation across Cork mirrors that of the entire country, with rents rising by 10.4% during 2017, with the report saying the national average rent at the close of the year standing at €1,227.

The reports author, Trinity College economist Dr Ronan Lyons, said the housing crisis was key factor dictating rental coats across the country. He pointed out that 2017 saw the fourth consecutive year if double digit rent increases nationwide.

“The underlying pressure for rising rents remains due to the chronic shortage of available rental accommodation, at a time of strong demand,” said Dr Lyons.

The report showed there were fewer that 3,150 properties available to rent across the state on February 1, down by one-fifth on the figure for the same date 12-months ago and the lowest number ever recorded for this time of the year.

This was reflected across the province of Munster, with just 670 properties available to rent across the province, 20% fewer than at the same time last year.

The continuing dearth of properties would indicate that the trend of spiralling rents across the country is likely to continue for the foreseeable future.

While all of the counties in Munster recorded increases in average rental prices during 2017, Cork remained the most expensive followed by Waterford (€769), Limerick (€756), Kerry (€735) and Clare (€731).

The report showed that Munster rents outside of Cork, Limerick and Waterford cities rose by 2.7% between June and September and now almost 2% above their Celtic tiger peaks.

It found that Cork had the highest rents of the three Munster cites followed by Limerick (€1,004) and Waterford (€835).

Rents have risen by between 30% to 40% across much of Munster, but by a staggering 65% in Cork city from their lowest point.

Predictably, Dublin had the highest average rental rates in Ireland, with South County Dublin the most expensive at €1,995. Outside of the capital, Cork was the fifth most expensive county in terms of rental prices, with only the commuter belt counties of Wicklow, Kildare Meath and Louth coming in higher.

According to the report counties Longford (€605), Donegal (€599) and Leitrim (€542) are the least expensive places to rent in Ireland.