Dublin is a thriving and popular relocation hub for people from all over the world. In fact, in Dublin alone, there are 1.2 million people. When you consider there are just over 5 million people in the Republic of Ireland as a whole, that’s a massive volume of residents choosing the Dublin lifestyle. And it’s easy to see why, following a huge push from the government to promote the technology sector, investment has turned Ireland and, in particular, Dublin into a hotspot for expats, students, and IT professionals.
If you are looking to invest in a property in this diverse city, you are probably already aware that nationally we can expect property prices to rise around 5% in 2022. Currently, the average property price in Dublin sits at €402,028, and the anticipated increase in value makes Dublin an attractive investment opportunity. This, combined with the news that quality housing stock is low in the most sought after areas of Ireland. This means for investors; it makes sense to consider investing in the up and coming regions of Dublin rather than the already established property hot spot where you can get more for your money.
Where is the best place to buy in Dublin?
Dublin, along with the rest of Europe, is currently seeing property prices rise. Property prices in the city have increased by 8.4% year on year. That being said, rental prices in Dublin and the outer suburbs are still relatively high compared to other areas of Ireland. A three-bedroom property in Dublin city rents for an average of €2948, which will still provide a healthy yield for any investor looking to Dublin for their next opportunity. When considering the best places to buy in Dublin, you may want to consider the up and coming areas of the city, which provide amenities for families and commuters looking for the perfect balance between city life and quiet neighbourhoods. While your rental income may be less than a property in the city centre, you will likely pay a lower purchase price. This means your overall yield and profit is healthier than it would be if you opted for a smaller property in Dublin’s most elite districts.
In this guide, we will look at five of the top up and coming areas in Dublin and advise you on where we consider the best places to buy in 2022 can be found.
Drumcondra is a well-connected yet leafy neighbourhood with buckets of old-world charm. The area is both friendly and tranquil and just a 20-minute stroll from Dublin’s O’Connell Street and just a short hop to Dublin Airport. In recent years the suburb has become lined with trendy cafes, independent retailers and yoga studios. The location is ideal for city commuters and families alike, with many safe, quiet cul-de-sacs and green spaces. While many properties in the area have been snapped below the average market price due to their need for refurbishment, it’s still possible to grab a profitable investment opportunity in the area. For example, a two-bedroom terraced house needing some TLC can be purchased for around €295,000. You can expect to let a two-bedroom property for €1850 a month, giving you a yield of 8.13%.
Approx 7.3km North-West of Dublin city Finglas can be found close to Dublin Airport and the M50 and N2 motorways. The village centre is cosy, with a traditional atmosphere and boasts a range of shops and cafes, shops and restaurants. Finglas also has several leafy parks and green areas for visitors to enjoy. It is popular with commuters due to its excellent positioning and is known as one of the best Dublin neighbourhoods for families due to its selection of schools and community. Finglas presents a perfect opportunity for anyone looking for a value for money Dublin property. As an investor, it’s possible to find properties that provide a healthy yield. There is a wide range of properties on offer ranging from family homes to luxury apartments like the one pictured below. This two-bedroom luxury apartment can be purchased for €224,950 and rented for approx €2200, earning a gross yield of 11.73%.
Situated close to the M1 where you can reach the heart of Dublin in less than 35 minutes. This small seaside town has a lot to offer. With a relaxed vibe, locals have access to a range of cafes, restaurants and bars, and fresh seafood. As well as sandy beaches, a restored castle and a fully operational harbour. Balbriggan is an excellent choice for any investor looking to invest in a long term residential property or indeed a shorter-term holiday let due to its tourist rich location. In addition, it’s out of city location, which makes housing more affordable. For example, this three bedroom terraced house which boasts a bright and light-filled interior in the heart of Balbriggan. This three bedroom terraced property is currently on the market at 240,000 euros and could be rented for 2200 euros a month, providing a yield of around 11%.
Located just 4.5km north of Dublin city is the quaint village of Crumlin. Popular with young families who want to be within easy reach of the bustling city but still want a quiet, green, child-friendly neighbourhood. Crumlin has a village centre, offering retail shops, convenience stores, pubs, and restaurants. The village also has several parks and recreation areas for residents to enjoy and numerous trails for walking, cycling and exploring. Crumlin is also home to the largest children’s hospital in the country. There is a selection of family-friendly terraced properties or semi-detached houses with off-street parking below the 400,000 euro Dublin average. For example, this three bedroom property with generous outdoor space and a multi-car driveway is currently on the market for 320,000 euros. In this area you can expect to rent a property like this for 3000 euros a month, providing a yield of 11.25%.
Clondalkin is the most affordable area in the south of the city. This growing and thriving community are within easy reach of the city centre and the coast. There are transport links into the city which are perfect for students and commuters looking to live in a quiet yet vibrant area that is growing and becoming more popular all the time. Recent years have seen several amenities pop up in the Clondalkin area, including restaurants, shops, salons and leisure centres. The site also boasts a 26-hectare park with everything from running and cycling tracks to playparks and a cafe for young families to enjoy. A range of properties is available in the area, from great family homes to cosy apartments. You’ll find some of the most attractive property prices in the Dublin districts for an investor. This three bedroom property, with ample driveway and garden, is currently on the market for 269,000 euros. You can expect to receive a rental income of 2200 per month, providing a yield of 9.8%
These are just five areas of Dublin where investors can make a good return on their investments through buy to let properties. In addition to the purchase price, an investor should expect to pay 1-2% stamp duty plus legal fees (around 1-1.5% plus VAT). Dublin’s booming economy, sustained population growth, and growing reputation as a technology hub is receiving a lot of attention for all the right reasons. Ireland’s buy to let market is still an attractive prospect due to the moderate property prices, especially in the up and coming areas with great transport connections into the city, it’s clear that Dublin’s lesser known sites pose an excellent opportunity for any potential investor.
If you consider investing in a Dublin property, we recommend you seek expert advice from a company with knowledge and experience in the area you are looking to invest.