The latest findings in the Daft.ie Q1 2023 Rental Price Report indicates a moderate outlook for the private rental sector, as rent increases slowdown quarter-on-quarter. Overall, however, the private rental sector continues to present challenges for households as renters face little comfort with year-on-year rent increases standing at 11.7%.
Threshold’s National Advocacy Manager Ann-Marie O’Reilly commented on the report, stating:
“While rent increases have slowed down quarter-on-quarter, renters are facing little comfort as overall rent prices have increased by 11.7% year-on-year, placing additional pressures on households as they navigate a cost-of-living crisis.
“Regional areas are continuing to face some of the largest increases, with renters in Mayo facing a 21.1% year-on-year increase in rent prices, the highest increase in the country. Those looking for a single room in a house share are facing rent increases that are beyond reasonable; 18% in Cork City Centre, 33% in Limerick City Centre and 10% in Dublin City Centre.
“The report shows that renters are likely to pay a higher rent when moving into a new home. While the report does not differentiate between Rent Pressure Zones (RPZs) and non-RPZs, approximately three quarters of rental homes are in RPZs. The increase in rents for new tenants suggests a breach of RPZ rules.
“The private rental sector (PRS) is heavily relied on to provide homes to those who are unable to buy or are on a social housing waiting list. There are no signs to indicate that this will change. However, the level of social and affordable housing and the provision of new tenures such as cost-rental can be enhanced to meet shortfalls in the PRS. We are beginning to see progress on this.
“Latest reports that Local Authorities are within reach of hitting the set target for the tenant-in-situ scheme for the year already is welcoming news, as this scheme ensures renters can stay in their homes.
Threshold’s free helpline is open Monday to Friday, 9am- 9pm at 1800 454 454, with webchat at www.threshold.ie/advice/help for any renter in need of advice or support.