Rory Hearne: Housing crisis will worsen in next decade — even if policy works

The average Cork City home, priced at €307,000 now, will cost €442,000 in just seven years, while rents are projected to rise over 35% in that time

In Cork the population is set to grow by 40% by 2031, and projected social and affordable housing need is set to increase by 14,000 households. Picture: Eamonn Farrell/RollingNews.ie

A terrifying prospect lies ahead of us. The housing crisis is set to continue to worsen over the next decade, based on current housing policy actually working. That might seem counterintuitive given that policy is supposed to be solving the crisis. 

However, that is what’s forecast in the analysis undertaken by KPMG for the draft Dublin and Cork Council 2022-2028 development plans. Even with current housing policy, rents in Cork are projected to rise by 36% by 2028, and in Dublin, rents are projected to rise by 50% to an average rent of €2,500 a month, for a one-bedroomed apartment.