Rental costs rise by 2.7% in 2020 as Dublin rents average €1,745

The cost of renting a home in Ireland rose by 2.7 per cent in 2020 to €1,256 per month, according to the Residential Tenancies Board (RTB).

This was a significantly slower rate of growth than the 6.4 per cent recorded in 2019.

The RTB’s latest rent index covering the months between October and December shows the average rent in Dublin, the costliest area, now stands at €1,745 per month, a 2.1 per cent increase year-on-year.

This was down 0.8 per cent quarter-on-quarter, however, suggesting rents in the capital may now be falling.

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The counties with the lowest monthly rents were Donegal and Leitrim at €626 a month.

“The impact of Covid-19 on the rental sector continued into the fourth quarter of 2020,” said Padraig McGoldrick, interim director of the RTB. “The national standardised average rent remained static in the quarter and, overall, in the year there had been a significant trend of moderation in rental inflation relative to previous years.

“While there has been a definite trend in moderation in rent levels, it is clear affordability issues and related risks remain.

“We understand that Covid-19 presents many challenges and adjustments for those operating and living in the rental sector,” Mr McGoldrick said. “We continue to encourage those who are experiencing issues in their tenancies to keep lines of communication open and, if they still cannot resolve their dispute, to contact the RTB for support and information on how to resolve these matters,” he said.