With Ireland’s housing supply still struggling to meet demand, investors in Dublin’s residential rental market are quietly enjoying some of the strongest yields in Western Europe. Q1 figures show several suburbs performing above expectations — and if you’re looking for stable income, these areas are worth a closer look.
Clonsilla is delivering a 6.3% yield, driven by family renters and young professionals looking for affordability with access to the city. Tallaght follows closely at 6.1%, with consistent demand from students and commuters using LUAS. Finglas remains attractive due to low entry costs and a healthy 5.9% return. Even the more mature markets of Lucan and Rathfarnham are maintaining yields around 5.5–5.7%.
The rebound in tech-sector hiring from firms like Meta and Google is fueling rental demand in established commuter belts. Meanwhile, a lack of new housing supply is keeping upward pressure on rents. With some rent caps lifting in high-demand zones, long-term lets are becoming more profitable again.
For investors, 2-3 bed apartments within walking distance to LUAS or DART stations remain the best bet. There’s also a growing trend of restructuring property ownership through limited companies for better tax efficiency.