Makes my heart rejoice!
20-25% drops from Summer becoming increasingly common in the standard 2 bed category.
Still sticky at the lower end but thats unlikely to last in the current climate.
It would be interesting to know if people are securing further discounts the advertised rate. Pre-Covid I would have thought the chances were close to zero. Now I think one would be foolish if they did not also request a reduction on the AP.
The lower end could prove stickier as there will always be a preference for people to live on their own (where possible) so if you have been paying 1250 to share a 2 bed you might now be willing to pay 1400 for your own place.
I think we will need to see quite an increase in supply to see much in the way of further reductions. From what I can tell of places near me which have gone up is that they are going pretty quickly (I didn’t bother checking prices unfortunately so I don’t know was this as a result of realism on the part of the LL).
Yeah hard to know. Landlords at the lower end are often operating off tighter margins so there mightnt be the same scope to cut. However they mightnt have an option if 2 beds or simply better quality rentals become accessible to their target segment .
Id definitely be offering below asking at the minute anyway. All they can say is no.
If you are a LL who doesn’t have a big monthly repayment to the bank you can probably adapt to the new reality quite quickly. Re the 2 beds, if the REITs and/or Airbnb (there is still a surprisingly large stock of places still up on Airbnb) are tackled in a meaningful way then the prices will quickly tumble. I wouldn’t be holding my breath on this though.
I find the Airbnb situation staggering. It would simply be a line of code in their pricing algorithm to set maximum number of days a year a property could be rented for. They refuse to do this, and refuse to pass info onto councils / local government.
Well that is where you would expect the state to step and legislate…Anyway I read that Airbnb will probably be more forthcoming with this information in due course as they realise this is very bad PR for them.
Similar one here, let agreed at Euro 1,900 per month (obviously could be more depending on negotiations… or less).
I stayed in one of these in 2012/2013. I had the slightly smaller bedroom and my rent was Euro 590 per month.
You can see a, let’s just say… uncannily similar apartment below which is being sold for Euro 425K. Obviously tech has vastly expanded around this area since back then also.
Thanks for posting the one for sale for comparison. 5.3% gross yield. Rent / Price approaching a more normal ratio. Wouldn’t be surprised to see rent trend down on a place like that to about 1.7k.
It is probably likely it was let at a price lower than asking so it might not be that far away from 1.7k now. If it was approx 1.3k in 2013 I can see it going below 1.7k over the next year or so. There are still quite a number of STL’s in that area.
Quite interesting, rents everywhere in commuting distance to Dublin actually increasing, very substantially too. Dublin city centre rents naturally the biggest victim of WFH/remotely but elsewhere in Dublin holding pretty firm or increasing. I’m surprised by this.
And the following from same thread…
From an initial glance at his high level findings I am finding it difficult to reconcile this statement with reality. I don’t think I will read much more of his report as a result.
Indeed, when there are more than 4,000 properties available to rent in Dublin, there is downward pressure on rents.
Hmmm, not sure it’s wise to just say you won’t read it as you don’t agree with him! I can only assume this is being compiled based on the raw data of listing prices, which on the face of it cannot be disputed? Maybe some landlords are actually accepting less than what’s on the lease to future proof themselves, but the data is the data. You have provided multiple examples of drops in rental asking prices but most of these are Dublin city centre which has shown a decrease. Anyway, I also expect a further drop in Dublin rents and recently negotiated a 10% decrease with my landlord, but the stats paint a strange picture.
I was probably being a bit flippant
However I think it is quite easy to see that AP for rents in Dublin (based on the Pretty Charts figures) are back ~20% for 1 and 2 bed apts since Covid struck and the stock hitting ~3k levels. I don’t see where his assertion that it needs to approach 4k for rents to come back.
This one has dropped to 1600.
Its a very basic apartment based on the photos.
In a ‘normal’ market (one that doesnt have exponential inward migration) in that location Id say it shouldnt command mote than about 1000-1200 per month.
I wouldn’t disagree but could this have commanded 2k I wonder late last year?