Irish rents see sharpest quarterly rise in more than 20 years with 4.4% jump in one quarter as average two-bed apartment reaches €2,176
Open-market rents rose by 4.4% in the first quarter of 2026, according to the latest Daft.ie Rental Report, marking the largest quarterly increase recorded since the series began in 2002 as revised rent rules came into force nationwide.
18 May 2026 | 📧 editor@ipropertyradio.com
The report, authored by economist Ronan Lyons, found that rents increased between January and March by the same amount they rose during the entirety of 2025, with annual rental inflation now reaching 7.8%. The average monthly rent for a two-bedroom apartment nationally has climbed to €2,176.
National market rents are now 40% above pre-Covid levels and 81% higher than a decade ago. The increase has varied significantly across the country, with Dublin rents rising 23% since Covid compared to an 86% increase in Connacht-Ulster.
According to Lyons, the sharp rise coincides with the revised rent control framework introduced in March, which allows rents to reset to market levels when tenancies end.
“The scale of the increase in early 2026 suggests that this opportunity has been taken up widely, where tenancies have recently turned over,” Lyons said.
He added that the “initial impact has been to bring about an increase in market rents larger than any seen over the past 25 years.”
Despite some increase in listings since the start of the year, rental supply remains severely constrained. On 1 May, there were just 2,374 homes available to rent nationwide, down 4% year-on-year and representing the third-lowest May figure recorded since 2006.
Availability remains significantly below historic norms, with both rental stock and listing volumes running at roughly half the 2015-2019 average.
Dublin continues to experience the most acute supply pressures. The number of homes available to rent in the capital fell by 23% year-on-year to just 1,187 properties on 1 May. The average monthly rent for a two-bedroom apartment in Dublin now stands at €2,536 following a quarterly increase of 4.3%, matching the previous record set in early 2007.
Outside Dublin, the four other major cities — Cork, Galway, Limerick and Waterford — recorded annual rental inflation of 13%, with average rents for two-bedroom apartments reaching €2,062. Market rents in those cities are now 64% above pre-Covid levels and 110% above Celtic Tiger peaks.
Galway City remains the most expensive regional city for renters, with average rents for a two-bedroom apartment reaching €2,290, while comparable rents in Cork City stand at €2,126 and in Limerick City at €2,187.
The report also highlighted mounting pressure across regional rental markets. In Leinster outside Dublin, rents increased by 4.1% during the quarter, the largest quarterly rise on record for the region. In Connacht-Ulster, rents rose by 5.3% during the quarter, with average rents now more than double Celtic Tiger levels.
Room rents also continued to rise nationally. Average room rents increased by 6.4% year-on-year, bringing the average monthly rent for a double room in a house to €806. However, room availability declined sharply, with only 2,549 rooms available nationwide on 1 May, down 22% compared with the same date last year.
Lyons cautioned that the recent increase in listings outside Dublin may not represent a lasting improvement in supply. He noted that some landlords may have delayed listing properties until the revised rent rules came into effect earlier this year.
“Overall supply remains very constrained, and the recent increase is unlikely to represent a sustained improvement in rental availability,” he said.
