The Amount Of Take-Home Pay Dubliners Are Spending On Rent Is Ridiculous
Renters in Dublin are now paying over have the monthly take-home pay on rent, according to new statistics released by Sherry FitzGerald. Those living in Dublin city are spending 55% of their income, after tax, far ahead of the 30%, recommended by financial experts.
The report in the Irish Times explains that when costs for renting go above 30% it prohibits ability to then save money for other life aspects. The rental cost in Limerick city, by comparison, is 30% of net-income and is the lowest on average for an Irish urban centre.
Speaking earlier this month, Sherry FitzGerald's CEO, Steven McKenna, predicted that rents could rise next year to 20% above what they were at the peak before the economic crash in 2008.
With the spiraling costs showing little sign of abating, young workers are especially hit hard with rent costs eating into graduate wages, with rent in Dublin up 13.9% year-on-year, according to Daft.ie.