The housing market in the Republic of Ireland is dysfunctional. While new dwelling completions have risen (CSO, 2018), the country continues to face an affordability crisis.
The cost of housing has risen much faster than incomes. This is particularly true for certain categories of worker.
This InBrief compares trends in worker pay to housing costs in the private rent and house sale sectors. While all three occupational groups show signs of growing inaffordability, these problems are particularly acute for workers in the two lower paid occupational groups. Workers in these categories: Group 2: Clerical, Sales and Service workers and Group 3: Production, Transport workers, Craft & Tradespersons and other Manual workers, have experienced wage gains that are far lower than increases in asked rents between 2010 and 2018.
The average worker in these categories could not afford a mortgage for the median house sold in Dublin and other major urban areas according to the latest available data.