Rent prices across Mid-West up 30% with no cost rentals available in the region

In Limerick city, rising rents of 19% represent an additional annual spend of almost €3,700 for a new tenancy

Last month, the number of homes available to rent across Limerick, Clare and Tipperary was just 87, down from 173 less than a year ago.

The number of homes available to rent in Ireland's Mid-West is just half what it was less than a year ago, with prices rising by almost 30% as supply shrinks.

According to the most recent Mid-West Rental Monitor published by Limerick Chamber, increasing rental prices are having a significant impact on people's ability to save for a home, with the current interest rate environment also creating additional challenges for prospective homeowners.

Calling for affordable rental options in the region, Seán Golden, chief economist at Limerick Chamber noted that to date, no cost rental has been delivered across the Mid-West, adding that this needed to change "as a matter of urgency."

Shrinking supply

Last month, the number of homes available to rent across Limerick, Clare and Tipperary was just 87, down from 173 less than a year ago. At the same time, the average rental price has risen from €1,329 to €1,549, the highest its been since August 2022. 

Across Limerick city and suburbs, the number of rental properties has more than halved since August last year, with average prices up 19%, representing an additional annual spend of almost €3,700 for a new tenancy.

Just 46 homes were available to rent in the whole of county Limerick, up two from the previous month with average rent now just under €1,800.

Across Clare and Tipperary, there has been a dramatic decline in the number of available rental properties, falling by 61% and 65% respectively in just ten months. 

Only 22 homes were listed in Clare in June, with rents rising by 9% in the same period. Similarly, just 19 properties were available in Tipperary, down from 55 in August last year, with rents also rising marginally to €1,146. 

Low BER quality

As supply in the region disappears, the quality of properties available has also worsened, with Economic and Policy Analyst, Eoghan Carr noting that most rental homes have a low Building Energy Ratings (BER).

"Not only is it expensive to rent, but the energy performance of homes is quite poor resulting in increased energy bills," said Mr Carr. "There needs to be an increased push in retrofitting older homes to bring them up to a more modern standard, this should remain a priority for Budget 2024."