The average rent across the country between April and June was up 7.3% on the same time last year, new data shows.
The figures from Daft.ie show that the average rent was €1,922 per month, 41% higher than before the Covid-19 outbreak.
When compared to the first three months of the year, rents rose by an average of 2%.
This marks the 14th quarter in a row in which rents nationwide have increased.
Today's report shows that inflation in market rents remains significantly lower in Dublin than elsewhere in the country. The average rent in Dublin was €2,427.
In the capital, rents in the second quarter of the year were 3.5% higher than a year earlier, while elsewhere in the country they were on average 10.6% higher.
Market rents rose particularly sharply in Limerick City, up 21% year-on-year.
Other cities also saw double-digit increases, ranging from 13% in Galway to 10% in Waterford.
"Between mid-2022 and mid-2023, a slow-down in inflation in open-market rents occurred, driven by Dublin and in particular by the construction of significant numbers of new rental homes in the Dublin area," said Ronan Lyons, Associate Professor in Economics at Trinity College Dublin and author of the Daft.ie report.
"However, as seen by very rates of inflation in market rents in the other cities, this was limited to the capital, where new supply was concentrated," he added.
The report highlights the shortage of rental properties available across the country.
On 1 August, there were just over 2,200 homes available to rent, effectively unchanged on the same date a year previously and half the 2015-2019 average of 4,400.
"This most recent reports suggests that, even in Dublin, improvement in the availability of rental homes is stalling," Mr Lyons said.
"Without new rental supply, it is likely that future pressure on rents will be upward, further straining affordability for those on regular incomes.
"It remains incumbent on policymakers to first develop a thorough understanding of rental supply dynamics and second devise detailed plan on dramatically increasing rental supply, in all major rental markets, over the coming years," he added.
