Rental crisis in Dundalk laid bare in Simon report

The rental crisis in Dundalk and across Ireland was laid bare in the Simon Communities of Ireland's Locked Out of the Market Study in June 2022, released last Sunday, when it revealed that over a three day study period in June, there was an average of nine properties available to rent in Dundalk during the study period, with only three properties affordable under Housing Assistance Payment (HAP).

Locked Out of the Market is a snapshot study undertaken every quarter over three consecutive days by Simon Communities of Ireland. This study was undertaken on from 13-15 June 2022. This report tracks the number of properties advertised to rent within the Department of Housing, Planning and Local Government (DHPLG) Housing Assistance Payment (HAP) limits. Details were gathered from Daft.ie for 16 areas across Ireland, including Dundalk. 

The study, Simon Communities of Ireland says, reflects the lived experience of people trying to find a home to rent in this period and also examined availability of properties within discretionary HAP limits in each of the 16 areas. This discretionary rate can be up to an additional 50% of the standard rate in Dublin, and up to an additional 20% of the standard rate elsewhere. The four household categories examined are as follows:

• Single person - study counts one-bedroom units
• Couple - study counts one-bedroom units
• Couple/One Parent and One Child - study counts two-bedroom units
• Couple/One Parent and Two Children - study counts two bedrooms or more 

Looking at the study's summary for Dundalk in more detail, there were no properties available within HAP rates for single people, couples, or households with one child, and if the 35% discretionary rate had been in place at the time of the study, an additional two properties would have been available under discretionary HAP.

The study states that rents ranged from €900 - €1200 for properties with one bedroom; from €1185-€1300 for two-bedroom properties, and the only three-bedroom property available had a monthly rent of €1750. The report adds that according to daft.ie, average rents in Co. Louth increased by 8.3% in the last year and now sit at €1420.

As of today, 13 July, there are currently seven properties to rent in Dundalk and surrounding areas.

Nationally, the study says that in all, there were only 657 properties available to rent at any price within the 16 study areas over the three dates surveyed. This represents a 70% drop in the number of properties available year-on-year. Only 37 properties were affordable under HAP limits across the four household types. This represents a drop in availability of HAP properties and also a drop in the proportion of HAP properties within the market. Simon Communities of Ireland says that this is "indicative of a housing system failing to support the most vulnerable households."

Wayne Stanley, Head of Policy and Communications at the Simon Communities of Ireland, said: “we’re seeing homelessness numbers go up and the availability of affordable properties decline to unprecedented levels. In May we had 10,325 people in homeless emergency accommodation. These numbers are truly shocking.

"We do acknowledge the positive intervention that the Minister for Housing has made with the increase in HAP rates. While it falls short of the 50% increase that we have been calling for, our study shows it will have a positive, if limited impact, in supporting those on HAP to secure a home. It will serve to relieve some of the pressure from those ‘topping up’ their HAP payment and struggling to make ends meet. In the context of the current cost of living crisis, this intervention will help keep some vulnerable households out of homelessness.

"However, we also have to acknowledge the depth of the crisis in housing. That means we have to start looking for options that can create some breathing room in the housing system. The 166,000 vacant homes identified in the census is a starting point. Attacking vacancy and bringing even 3% (5,000) of these a year into public housing system use for the next 2 years would give us that headroom. In the coming budget, we will be calling on the government to make that level of commitment.”