Average rent in Longford nearing €550 mark

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Average rent in first quarter of 2018 for new tenancies in Longford is €548 according to the Residential Tenancies Board.

According to the Residential Tenancies Board, in the January – March period of 2018 (Q1), the standardised national average rent for new tenancies in Co Longford was €548, up from €506 (+€42) on the previous year and up €1 on the previous quarter (Q4 2017).

The figures were contained in the RTB’s Quarter 1 2018 Rent Index Report which was published earlier this week in conjunction with the Economic and Social Research Institute (ERSI).

The annualised new rent increase nationally is +7.1% with Dublin the highest single region (+7.8%) while outside Dublin the annualised rate is down from Q4 2017: 8% to 6.3% in the GDA (Kildare, Wicklow, Meath) and 7% to 6.6% in outside the GDA.

In the larger cities Cork City’s year on year change was 3.4% compared to Dublin City, 8.8% and Limerick, 10%.

On a quarter by quarter basis, the report shows that the national rate of rental growth in Q1 2018 versus Q4 2017 was just 0.4%, signalling a moderation of rent inflation.

The equivalent quarterly increase was 1.1% in Q4 2017, 2.6% in Q3 2017 and 2.8% in Q4 2017. In Dublin, the quarterly growth rate was 1.0% compared to 1.1% in Q4 2017.

Reflecting the impact of Dublin and the GDA on the overall Index, just four counties in the country have new rent levels above the national average of €1,060 and they include Dublin, Kildare, Wicklow and Meath. The standardised average rents in Cork and Galway are also over €1,000.

“With continuing robust economic and jobs growth through 2017 and in to 2018 significant pressures remain on the private rental market in the first three months of the year,” said Rosalind Carroll, Director of the Residential Tenancies Board.

“However, while annual growth rates show an increase in Q1 2018, on a quarterly basis we have now seen three consecutive quarters of reduced growth rates both at a national level and in Dublin.

“We will need to monitor whether this quarterly trend continues during the rest of 2018.”

Ms Carroll went on to say that figures also indicated the particular pressures that existed in Dublin and the GDA.

“The four counties covered by these regional designations are the only ones in the country with new rent averages above the national average of €1,060,” she continued.

“Within this, the influence of Dublin is even more noteworthy as it is the only Region (of Dublin, GDA and Outside the GDA) that saw a year on year increase in rent inflation: the other two regions covering the other 25 counties saw the average rate of rental inflation fall.

“Finally, it is worth noting that the Rent Index is based on new tenancies registered each Quarter and therefore does not reflect what is happening within existing tenancies (the ‘base’ effect).

“Some of the new tenancies will be properties new to the rental market, ie, not let in the previous 24 months, or may have been subject to substantial change and therefore are exempt from the 4% rent restrictions of the Rent Pressure Zones (RPZs). Further reports and data will provide additional insight in to the impact of the RPZs and their impact on the rental market.”