A recent study has shed light on the scarcity of rental properties in the Republic. According to data obtained by Savills estate agency, each 10,000 individuals on average have access to merely 5.9 shared or rental properties, based on information obtained from the Daft property site and taken across all 26 counties. Figures from August 19th indicate the ratio plunges further to 3.5, if only considering rental properties, compared to a pre-pandemic level of 9.1.
It was unveiled that Monaghan was the most challenging location to secure a rental property, providing only 2.4 properties for every 10,000 residents, with Roscommon (2.5) and Donegal (3.3) following closely.
Regardless of its eminent rental issues, Dublin reported 15.3 units per 10,000 people, insufficient concerning demand by a large margin. Despite this, Dublin’s ratio was almost twice that of Carlow, the next best county, with a ratio of 8.4. Interestingly, the absolutely available properties in Carlow were a mere 54, decisively lacking.
Simultaneously, Dublin’s rental or share property count, standing at 2,290, surpassed the combined count of all other State areas. The study also took into account second-hand homes for sale. Nationwide, 24.2 properties per 10,000 individuals were up for sale, although this figure varied significantly between counties. The current state of Ireland’s housing crisis and future directions remain important subjects for discussion.
Monaghan continues to rank last in both absolute and population-adjusted count of properties available, accommodating only 81 properties or 12.2 per 10,000 of the populace. This number is considerably less than half the national average. The highest amounts of property on the market are in Leitrim, Roscommon, and Mayo with 42.9, 41.5, and 39.3 properties respectively for every 10,000 people.
Dublin lands in the middle of this continuum, presenting a 19.5 ratio considering its almost 1.5 million population and the 2,912 used properties listed for sale. Meath, Kildare, Carlow and Louth have even fewer properties per population, trailing Dublin with ratios of 13.4, 14.3, 17.7 and 18 respectively.
According to a report, counties with fewer properties available are those considered commuting areas to Dublin. It suggests that competitive high pricing in Dublin is influencing a move towards house-hunting in neighbouring areas. Changes in working arrangements following the pandemic could also imply a greater number of people are exploring living options outside Dublin.
John Ring, Director of Research at Savills Ireland, raised a crucial point about the evident scarcity of rental properties across Ireland. However, he did not comment on what would be a satisfactory amount of secondhand houses available per 10,000 residents.
Mr Ring noted that the usual way of supplying rental properties through apartment development is not viable in locations outside Dublin. Very few large-scale apartment projects have commenced after the financial collapse. Due to a small number of landlords entering the buy-to-let market and many older landlords leaving the market, rental stock is limited. The creation of housing estates for rental purposes has also been dissuaded as a result of increased stamp duty.
Given the dwindling supply of rental houses, Mr Ring raised the pressing query about the plan for supplying private rented properties countrywide.