The latest report on market rents by Daft.ie shows depressing figures, with a 14.1% jump in the third quarter of 2022 compared with the same period in 2021.

Record levels of inflation in the last 12 months means that Ireland continues to see an "extreme" shortage of properties available to rent.

The data shows the highest year-on-year price hike since Daft began its reports in 2006 and is higher than the previous record of 12.6% recorded last quarter.

The average market rent during the Q3 was €1,688 per month, which is a 4.3% rise compared to Q2. This is also the highest quarter-on-quarter rise ever recorded in a Daft.ie rent report.

The average market rent in Q3 is also 120% higher than the average market rent seen in late 2011, which was €765 a month.

Rents may be higher or lower depending where in the country you live, with Dublin continuing to trend higher than the national average in rent inflation. It's currently rising at 14.3% year-on-year.

Cork city has seen a slightly less dramatic jump, but rent inflation has still risen by 12.1% compared to Q3 2021.

While both Dublin and Cork are seeing big jumps in rent inflation, larger hikes in rent are being seen in places like Galway (16.4%), Limerick (17.1%) and Waterford (17.1%).

Daft.ie results:

Dublin: €2,258, up 14.3% year-on-year
Cork city: €1,708, up 12.1% year-on-year
Galway city: €1,713, up 16.4% year-on-year
Limerick city: €1,604, up 17.1% year-on-year
Waterford city: €1,357, up 17.4% year-on-year
Rest of the country: €1,318, up 13.8%

Cost of Living protest in Dublin. 24th September 2022. Copyright Miguel Ruiz.

The Daft report also highlights the ongoing shortage of properties available to rent throughout the country.

As of November 1st, there were 1,087 homes available to rent nationwide.

While this is an increase compared to figures recorded on August 1st, when only 716 homes were available, it is down a quarter compared to the same period in 2021.

It is also only a quarter of the average number of homes which were available to rent between 2015 and 2019.

In Dublin, there were just 345 rental properties available as of November 1st, which is up slightly from the 292 which were available on August 1st.

Rents for sitting tenants has risen by 3.4% each year over the last decade, Daft.ie's report shows. Sitting tenants in Dublin have a higher than average rise year-on-year at 4.9%.

Under current Rent Pressure Zone (RPZ) legislation, rents can only be raised either by the rate of inflation or 2%, whichever is lower.

Rents in RPZ’s cannot be hiked more than 2% as the current rate of inflation runs at 8.2%.

Report author Ronan Lyons, an Associate Professor of Economics at Trinity College Dublin, stated that the continued rise in rents is due to a collapse in availability.

“Over the past 20 years, the best predictor of future changes in rents is the number of homes available at any particular point in time," he said. "As that has collapsed over the past 18 months, it was apparent that there would be significant upward pressure on rents all across the country."

“This has been confirmed in these latest figures, which show record quarterly and annual increases in market rents, despite rents already being at very high levels.”

Sinn Féin’s Housing Spokesperson, Eoin Ó Broin, has called on Housing Minister Darragh O’Brien to take “emergency action” to tackle the rising rents following the Daft.ie report's publication.

We're in the middle of a perfect storm when it comes to housing.@daftmedia
has recorded the highest increase in new rents since their records began. Govt must declare a housing emergency now and follow-up with emergency measures like a ban on rent increases – @EOBroin pic.twitter.com/gTL5icn7h2

— Sinn Féin (@sinnfeinireland) November 22, 2022

“The Minister for Housing, Darragh O’Brien, must take emergency action to tackle runaway rents. This means a three-year ban on rent increases," Ó Broin emphasised. It means a properly designed refundable tax credit to put a month’s rent back into every private renter’s pocket."

“It also means increasing and accelerating the delivery of genuinely affordable cost rental homes.”

He also criticised the Government for the way in which they treat Local Authorities and Approved Housing Bodies, arguing that bureaucracy prevents the development of affordable cost rental homes.

A Sinn Féin private members motion aims to declare a housing emergency.

Social Democrats Housing Spokesperson Cian O’Callaghan called the continued rent increases proof of the “abject failure” of the Government's Housing for All plan.

“The Government is busy patting themselves on the back and congratulating themselves as 28,000 homes are predicted to be delivered this year, despite a general consensus that at least 40,000 new build homes are needed each and every year," said O’Callaghan.

“We need an end to the constant Government spin on housing and a relentless focus instead on delivering homes that are affordable to rent and buy.”

The latest Daft report paints a grim picture.

📈Rents are up over 14% nationally in a single year (highest ever increase)

🏠60% less homes available to rent than this time last year

💵Average rents were €1,688 per month between July and September. pic.twitter.com/5qNxXoIacj

— Cian O'Callaghan T.D. 🏳️‍⚧️ (@OCallaghanCian) November 22, 2022