The cost of renting a home in Donegal has risen by 6.1% in the past year to an average of €638 a month.
The latest snapshot of private rents from Daft.ie shows Donegal prices are on the up:
- 1 bed apartment: €441 up 2.5%
- 2 bed house: €509 up 3.8%
- 3 bed house: €596 up 1.3%
- 4 bed house: €656 up 2.6%
- 5 bed house: €721 up 10.7%
Rents rose nationwide by an average of 11.3% in the year to September 2018.
This represents the tenth consecutive quarter in which a new all-time high for rents has been set and also in which annual inflation in rents has been greater than 10%.
The average monthly rent nationwide during the third quarter of 2018 was €1,334. This is €304 per month higher than the previous peak in the Celtic Tiger day of 2008 and over €590 higher than the low seen in late 2011.
Ronan Lyons, economist at Trinity College Dublin and author of the report says the condition of the private rental market remains a cause for huge concern.
The strong rise in rents around the country stem from demand not being met by supply, Mr Lyons said.
He said: “A comparison of the country’s households and its dwellings reveals an acute shortage of apartments, not family homes. However, the recent increase in residential construction is being driven by estate houses, not apartment schemes. Dramatically increasing the construction of urban apartments, for both market and social housing sectors, must become the priority for policymakers in 2019.”