Concern for students as rents now higher than Celtic Tiger peak

Rents in the capital are now 5.2% higher than their previous peak

Concern for students as rents now higher than Celtic Tiger peak

Image: Daft.ie

Rents rose nationwide by an average of 3.9% in the second quarter of 2016, according to the latest rental report by Daft.ie.

This is the largest three-month increase in rents since early 2007 - and means that, at €1,037, the average monthly rent nationwide is at its highest level on record.

In Dublin, the annual rate of inflation in rents in the year to June was 11.1% - its highest since late 2014.

Rents in the capital are now 5.2% higher than their previous peak in early 2008.

For the fourth quarter in a row, the highest rate of inflation country-wide was in Cork city, where rents rose by 18% in 12 months.

Rents in Galway are 13.9% higher than a year previously, while rents in Limerick have risen 15.5% in the last year.

In Waterford city, rents are up by 13.3% in 12 months, while outside the major cities the increase has been 9.7%.

daft.ie Rental Report: Q2 2016 - An infographic by the team at daft.ie

'Severe shortage'

There were just over 3,600 properties available to rent nationwide on August 1st, an increase on the 3,100 available in May.

However, Daft.ie says rental listings rise annually ahead of the academic year - and the August figure is the lowest on record for the time of year.

In comparison, there were almost 6,800 properties listed nationwide on August 1st 2014.

Report author Ronan Lyons said: "Ahead of a new academic year, the latest figures highlight the severe shortage of accommodation for students."

"While a large number of purpose-built student apartments are either being built or are planned, these will take time to come on stream and will only cater for those on higher incomes."

"The majority of students will face tough choices about where to study and where to live."

He also looked at the numbers on Newstalk Breakfast.