With the banking crisis deepening and first time buyers delaying entering the property market because they either can’t get mortgages at present or they think it is more prudent to assess the economic situation further before taking the leap, the good news is that rental prices are decreasing in Mayo.
In the fourth quarter of 2008 rents in Mayo dropped by 4.5 per cent according to a Daft.ie survey published this week. While this is good news for those in rental accommodation it is not so positive for owners of investment properties.
According to Daft there are almost double the number of rental properties on the market as there were this time last year with rents nationally down by 12 per cent in the last year.
A snapshot of rental payments in Connacht sees a one-bedroom house/apartment costing €508 per month, a two-bedroom costing €614, a three-bedroom €678, a four-bedroom €737, and a five-bedroom €849. This doesn’t include Galway city where rental prices are considerably higher, as much as €300 more for a five-bedroom property and €80 more for a one-bed.
Claremorris Fianna Fáil county council candidate Gerard McHale has welcomed the report which he said provides some good news for hard pressed consumers.
“Falling rent rates will make life a little easier for people who face salary cuts or possible job losses,” said Mr McHale who also encouraged tenants to enter negotiations with their landlords in order to achieve these rent savings.
