· With an average rental price of €1,673, September experiences the most expensive average and median rental prices since our records began in August 2022 – representing a 10% increase in rental prices from the previous month.
· 101 homes to rent across the whole three counties in the Mid-West in September 2023, a decrease of 18 homes from the previous month (-15%) and a decrease of 40 homes from the same time last year (-28%).
· Limerick City and Environs continues its gradual upward trend in terms of rental availability since the beginning of 2023, with 31 homes available to rent. This is the first time residential rental availability in the city and environs has exceeded 30 since August 2022. The past two months have been the most expensive on record for Limerick City with prices for September at €2,060 and prices for August at €2,096. This is a 20% increase from the same time last year – equating to an additional spend of €347 per month or c.€4,100 per year.
· The whole of Co. Limerick saw the number of homes available to rent increase to 49 in September 2023 – an increase of 4 homes from the previous month. This is relatively on par with rental availability compared to September 2022 at 51 homes to rent. Despite this, September experienced the highest average rent across the whole county of €1,943, a 5% increase on last month and a 26% increase since September 2022. This 26% increase equates to an addition spend of c.€400 per month or €4,800 per year.
· Co. Clare had 27 homes available to rent in September. This represents a 31% decrease compared to the previous month, or a 47% decrease compared to the same time last year. The average cost of rent in Clare continued its upward trajectory in September, increasing to €1,543, up 8% from August and up 26% from September 2022.
· With 25 homes available to rent in Tipperary for September, it seems that the 52 available homes in July is an outlier. The 25 listed homes represent a decrease of 29% compared to the 35 listed homes in August 2023, and a 36% decrease compared to the 39 listed homes in September 2022. The average cost of rental listings in Tipperary remains high at c. €1,300 and has done so for the last 3 consecutive months. This represents a c. 10% increase when compared to the same time last year.
Commenting on the release, Seán Golden, Chief Economist and Director of Policy at Limerick Chamber said
September experienced the most expensive average and median rental prices since our records began and overall, the price trend has been upward over the last year, which is a very worrying sign for renters. However, it isn’t all bad news, the Mid-West has had triple digit availability for the last three months, this is the first time since December 2022. However, this is also on a downward trend. The lack of adequate rental availability has put upward pressure on rental price and in turn causes upward pressure on wage demands. Limerick City and county are on a very slow upward trend, but it will take some time to reach the critical mass if it continues at its current pace. Comparing this to the whole county of Limerick, there has been somewhat of a plateau, meaning the city gains are coming from county losses. Unfortunately, despite some increases late in the summer, Clare and Tipperary have experienced sharp declines over the last year. Meanwhile, average rental prices have increased since last month for the 3 counties in the Mid-West, leading to an average rent of €1,673 in the Mid-West. Comparing this to last year would mean that new renters are paying an additional €4,100 per year.
Commenting on the release, Eoghan Carr, Economist and Policy Analyst at Limerick Chamber said
With an average rental cost of €1,673, in the Mid-West, September 2023 is now the most expensive average rental price since our records began. This highlights the constant up-hill battle renters and prospective buyers face. To add insult to injury, the energy efficiency of homes listed are poor, for example, just 4% of homes listed in Limerick were A rated, while there were no A rated homes listed in Clare and Tipperary. Therefore, with the winter looming, the uncertainty surrounding energy prices amongst other inflationary pressures, will be cause for concern amongst renters. It has been consistent over the last year whereby the energy efficiency of rental homes is suboptimal; September saw three quarters of homes being rated a C or below. There needs to be a strong drive at political level to ensure energy upgrades for property can done at an affordable level for owners, which in turn will be passed to renters through more affordable energy bills.
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