Irish Rents Skyrocket, Far Outpacing EU Averages
Rental rates in Ireland have surged dramatically since 2010, climbing more than four times the average seen across the European Union. A new report highlights the stark contrast.
Soaring Rental Costs
Eurostat data indicates that between 2010 and the first quarter of 2025, average rents in Ireland jumped by 115%. This increase significantly outstrips the EU average of 27.8% over the same period.
EU-Wide Trends
Across the EU, rental prices generally increased, with 26 countries experiencing rises. Estonia (220%), Lithuania (184%), and Hungary (124%) saw even greater increases than Ireland. Greece was the exception, with a decrease of 11% in rental prices.
House Price Fluctuations
Irish house prices have experienced considerable volatility since the 2010 financial crisis, when they initially dropped by 12.5%. Further declines followed in subsequent years before a rebound began in 2014.
House Prices vs. Rents
Eurostat’s analysis reveals that in most EU countries, house prices increased more than rents between 2010 and 2025. Hungary and Estonia saw house prices more than triple. Only Italy saw a decrease in house prices, falling by 4%.
Diverging Trends
While house prices and rents in the EU followed similar patterns initially, their paths diverged after 2011. Eurostat noted that “While rents have increased steadily, house prices have followed a more variable pattern.”
Government Response
In response to falling supply, the Irish government has reformed rent pressure zones (RPZs) to encourage investment. Landlords can now reset rents to market rates when a tenant leaves, although critics worry this could lead to evictions.
Latest Data
The most recent data indicates continued price growth. Across the EU, house prices rose by 5.7% annually in the first quarter of 2025, while rents increased by 3.2%. Compared to the previous quarter, house prices rose by 1.4% and rents by 0.9%.
As of July 2024, the average monthly rent nationwide in Ireland was €1,836, marking a 0.9% increase compared to the previous year (Residential Tenancies Board).
