Understanding Mayo’s rising property costs: Insights from a local expert
Rental prices in Mayo are continuing to rise, according to the latest data from Daft.ie.
The report shows that the average cost of rent in Mayo has increased by 5.8pc in the last year, bringing the average monthly rent to €1,415. Nationally, the average rent cost has risen by 6.9pc.
Breaking this down by property type, a three-bedroom semi-detached house is now costing renters €1,212 a month, a 5.3pc increase from this time last year. A two-bedroom terraced house, on average, will cost €1,047 a month, up by 6.3pc from 2024.
While this increase may seem high, local auctioneer Cyril Burke noted that, compared to other counties, rent in Mayo is not nearly as expensive.
“A three-bedroom semi-detached property for €1,200 is reasonably good value compared to the likes of Galway City and Dublin. It is still relatively affordable, and you might have two earners living there.”
For comparison, average rent in Galway City now stands at €2,295, while in Dublin City Centre it is €2,508.
Looking ahead, Mr Burke stated that the rent reform measures set to take effect on March 1, 2026, are expected to have a significant impact on the market.
“Landlords will only be able to increase their rent by 2pc. Additionally, if somebody wants to sell their house and there is a tenant in it, they have to sell it with the tenant in situ. They cannot, under the new rules, vacate the tenant. That is going to have a dramatic effect on rent.”
The new regulations will also introduce a ban on no-fault evictions for large landlords and create six-year rolling tenancies aimed at improving security for renters.
Daft.ie also published its latest house price report this week, revealing that the average house price in Mayo is now €234,406, a 7.9% increase from last year.
On average, a three-bedroom semi-detached house now costs €151,000, which is a 2.7pc increase from 2024. One-bedroom apartments have seen the most significant jump, with prices rising by 23.4pc to €102,000.
Mr Burke has put that steep increase down to the lack of availability of one-bedroom apartments in Mayo: “Now you see the most increase in the report was in one-bed apartments, and I think the reason for that is there's a very low volume of one-bed apartments being sold. I can't recall even selling one in the last five years myself.”
He remains optimistic about the direction of the market: “Overall, the rate of increase is slowing, and I think that supply is beginning to rack up. The first of a number of affordable schemes is beginning to be rolled out, one of which we are expecting in Q4 in Castlebar. There will be more of those coming.”
Mr Burke highlighted that the biggest challenge to increasing supply lies with small-scale developers. Many small builders and developers are unable to access funding due to their records following the financial crash, leaving them with little to no access to finance from the main pillar banks.
“That is the problem. I know a man who went down with the crash,” he explained, “He reinvented himself as a builder doing renovation work. He has managed to get land and planning permission for four houses, but the two main pillar banks are refusing to lend to him because of his credit history.”
With limited access to financing from the pillar banks, many small builders are turning to third-party finance providers, who charge higher interest rates.
“That’s why there are no small builders, it’s a killer on the margin for them,” Mr Burke said, “It leaves the other bigger companies in more of a monopoly situation. The minimum the banks should be doing is giving the finance to the builder who has the land and has the planning permission.”
Despite these challenges, he remains hopeful about the future of housing in Mayo, particularly for first-time buyers and young couples looking to get on the property ladder.
“I think there is light in the short term, there’s going to be more options, and when more supply comes, the prices will level off, and more affordable schemes are coming. There will be a flow of affordable schemes, and that will help to stabilise the prices as well.”
Mr Burke also pointed to new planning guidelines from the Department of Housing, which are expected to increase the supply of development land in the coming year.
“All councils are reviewing their plans now, in the next six to eight months we will have new development plans with new targets in place,” he explained, “There will be a lot more land zoned, and that will make the land more affordable because there is a tax coming in as well for people who have zoned land and are sitting on it. This means there will be more land on the market, giving developers more options.”
Despite rising rents and house prices, Mayo remains relatively affordable compared to major cities like Galway and Dublin. With upcoming rent reforms, new planning guidelines, and affordable housing schemes on the horizon, there is cautious optimism that increased supply will help stabilise the market.
This article has been funded by the Local Democracy Reporting Scheme.