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'I have lots of friends who left Ireland because the rents are too high here'

'I have lots of friends who left Ireland because the rents are too high here'

Extra.ie​a day ago

The new changes to Rent Pressure Zones announced this week have 'loopholes that can be abused' by unscrupulous landlords, one renter has said.
Eilís Walsh, 29, works in marketing for a social enterprise, and is paying €520 per month for an apartment in Limerick as a long-term tenant.
'I've been here a few years and I'm lucky, relatively speaking. There could be someone in an identical apartment a few doors down who has just moved in and paying much more,' she said. Eilís Walsh, 29, works in marketing for a social enterprise, and is paying €520 per month for an apartment in Limerick as a long-term tenant.
'Once a tenant does leave and the property can be brought to market rents, I think that in itself is unregulated because the standard of the property versus the rent that's being charged is insane.
'There's a lot of intimidation from landlords because there is a housing crisis, so you are more likely to try and stay renting where you are, even if the conditions are bad.
'My apartment is very poorly insulated and extremely cold for most of the year but I can't leave because everywhere else will cost much more.' 'If most landlords can make a few extra bob, they'll go for it. The property won't have to be kept up to a good standard if they can't evict a tenant but have an incentive to get the tenant to voluntarily leave,' Ms Walsh said.
The new rules also distinguish between small landlords, with three properties or fewer, and large landlords who own more than three.
Small landlords will still be able to evict tenants on a no-fault basis but cannot reset the rent unless the tenant leaves voluntarily.
This has led to concerns that landlords may act nefariously in a bid to get tenants to leave of their own accord.
'If most landlords can make a few extra bob, they'll go for it. The property won't have to be kept up to a good standard if they can't evict a tenant but have an incentive to get the tenant to voluntarily leave,' Ms Walsh said. A stock image of a rental property. Pic: Getty Images
The Department of Housing admitted this week that the changes will lead to increased rents for 'several years' until the RPZ changes stimulate investment in construction and the subsequent increase in new apartments leads to increased housing supply.
'Why are we punishing or scapegoating new renters by making them pay more? People have to move for all sorts of reasons. There's a lot of room for that system to be abused in terms of the new apartments,' Ms Walsh said.
A report by the Housing Agency found that the RPZ changes may take as many as 'three to four years' before they contribute to more homes being built, while rents will increase in the short-term.
Ms Walsh noted: 'That's assuming that they are built at the speed that the Government expects.
'They haven't met their targets for housing in the past.
'So many decisions in this area are being made for profit as opposed to a duty of care for people living in Ireland. I have so many friends who moved abroad because the rent is just not worth it,' Ms Walsh said.
'I can't see the housing crisis getting better in the next five years unless there's a change of government.
'We all know that there's a lot of TDs who are landlords as well.'

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Cabinet warned of race to hike rents
Cabinet warned of race to hike rents

Extra.ie​

time5 hours ago

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Cabinet warned of race to hike rents

The Cabinet was given a warning that there is a 'significant risk' landlords would impose 'significant rent increases' before laws expanding Rent Pressure Zones are enacted, can reveal. The nationwide extension of RPZs – which cap annual rent increases at 2% – was part of a suite of rental reform changes approved this week. However, the memo circulated to ministers before they agreed the changes on Tuesday highlighted risks to tenants by not immediately legislating after the announcement. The secret document, obtained by warned that landlords who are entitled to conduct a rent review would likely do so in advance of the changes on March 1, 2026. The nationwide extension of RPZs – which cap annual rent increases at 2% – was part of a suite of rental reform changes approved this week. Pic: Shutterstock It read: 'With no restriction in rent increase, other than not charging above market rent, there is a very significant risk that landlords who haven't already carried out a rent review during the past two years may decide to increase rents before March 1,' the memo warned. Currently, landlords outside RPZs can conduct rent reviews every two years with 90 days' notice. has estimated that roughly 11,502 tenancies could see rents legally raised to market rates if the new laws were enacted on March 1 next year as initially planned. To offset this risk, the memo also proposed to bring forward priority legislation to reduce the time period whereby rent reviews could be initiated. 'It is proposed to bring forward priority legislation to extend the protections of RPZs to non-RPZ areas at the earliest possible date,' the memo read. Currently, landlords outside RPZs can conduct rent reviews every two years with 90 days' notice. Pic: Getty Images In an indication of the chaotic nature of decision-making at the heart of Government, while ministers were told of the plan to fast-track the legislation to extend RPZs nationally on Tuesday morning, hours later officials in the Department of Housing were stating that 'all' of the changes would come in on March 1. 'It's a mess,' one minister told The Department of Housing confirmed last night that any rent reviews that are initiated between now and when the new legislation is enacted will be still be valid even if the 90-day period lapses after the law has been passed. 'The law that stands on a given date applies to serving, on that date, of a notice of rent review,' he said. Sinn Féin housing spokesman Eoin Ó Broin told that the plans were being made up 'day by day'. 'This just confirms the utter shambles of the Government's proposed changes of RPZ regulations. They are making up as they are going along,' he remarked. 'They are changing proposals by the day, and as a consequence renters are being put at risk of even further rent hikes and in some cases – where they can't afford the increases – possible homelessness,' he said. Sinn Féin housing spokesman Eoin Ó Broin. Pic: Gareth Chaney/Collins Photos Mr Ó Broin said that the Government needs to 'take a step back' and 'reconsider this entire proposal and as a matter of urgency'. 'They need to bring forward and enact legislation to extend to the rest of the state as a matter of urgency, but all of the rest of the proposed changes must be scrapped,' he said. Taoiseach Micheál Martin said yesterday that he expects rent caps to be extended nationwide by this summer. Tánaiste Simon Harris told the Dáil yesterday that the emergency legislation would be brought forward next week to extend rent caps nationwide. That gives land – lords a window of several weeks to initiate rent hike proceedings. 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Taoiseach slams 'over the top' rent backlash saying changes are just 'modest'
Taoiseach slams 'over the top' rent backlash saying changes are just 'modest'

Irish Daily Mirror

timea day ago

  • Irish Daily Mirror

Taoiseach slams 'over the top' rent backlash saying changes are just 'modest'

Taoiseach Micheál Martin has said that there has been an 'over the top' reaction to 'modest' Rent Pressure Zone changes, as he denied 'putting the fear into anyone'. Mr Martin also insisted that Rent Pressure Zones (RPZs) will absolutely be extended nationwide before the Dáil breaks for its summer recess. Rent Pressure Zones (RPZs) will be extended nationwide in the next few weeks to limit the annual increase in rents to 2 per cent per year on inflation. New rules will also be introduced to create six year contracts and contracts of indefinite duration. After six years, or any time a tenant leaves voluntarily, landlords will be able to reset the rents to market rates. In February, Mr Martin confirmed that RPZ legislation would be reviewed. When asked on RTE Radio if RPZs might be ended, Mr Martin said addressing housing issues will 'entail politically very difficult decisions' and that the lack of 'security of environment for investors' had to 'stop and change'. When asked in Louth today if he regretted flying any kites, he insisted that he never refused to rule out the RPZs being lifted entirely. Mr Martin also branded the reaction to the changes as 'over the top', stating that many would describe the plan as modest. The Taoiseach said: 'It wasn't flying any kite. You see the substance this week. The response was over the top, not from you [the media] but from other politicians. The response was completely over the top. 'Everybody knew there was a review of the RPZ. It was announced in October last year. I did not refuse [to commit to them being kept in place]. I said they were being reviewed. The response to what I said was completely exaggerated and over the top and motivated by politics, not from the media. 'But politicians came out and said in the Dáil in March, 'You're getting rid of our RPZs. I never said we were getting rid of RPZs. The Housing Agency was asked to do [a review]. It was commissioned in October last and people just raced away and said, 'We're getting rid of RPZs'. We never said we were getting rid of RPZs. 'What I did say was, unequivocally, we have to get private sector investment into housing. The Department of Finance are saying we need a €20 billion investment to get to 50,000. The State is doing €7bn to €8 billion. There has to be a private sector dimension to apartment building. 'The challenge I put to the opposition is, where are your solutions to get to the €20bn investment level that's estimated by the Department of Finance as necessary to underpin, you know, an increase from thirty odd thousand to 50,000. 'I said in the Dáil repeatedly, we are not getting rid of RPZ. I said repeatedly in exchanges with the Social Democrats, from Sinn Fein, but it was a great line. It was a great line to put the fear up people. I didn't put the fear up anybody.'

Taoiseach defends rent reform plans, slams 'over the top' political backlash
Taoiseach defends rent reform plans, slams 'over the top' political backlash

Irish Examiner

timea day ago

  • Irish Examiner

Taoiseach defends rent reform plans, slams 'over the top' political backlash

The Taoiseach has hit back at the 'over-the-top' reaction to 'modest' proposals around the rental system. The Government announced sweeping changes to the rental system on Tuesday that will cap rent increases at the rate of inflation. However, during periods of high inflation, hikes for most tenancies will be limited to a maximum of 2%. The changes will also end 'no-fault evictions' for larger landlords — those with four or more tenancies — who will no longer be allowed to terminate a tenancy where the tenant has met their obligations, except in very limited circumstances. The changes have been heavily criticised by the opposition, with Sinn Féin's Pearse Doherty telling the Dáil that 'the madness of this plan is matched only by the incompetence of the Government's approach.' "It is a complete and utter botch job," Mr Doherty. In response, Tánaiste Simon Harris said the plans will pass through the Oireachtas before the end of this Dáil term — in just five weeks — and accused the opposition of 'continuing to misinform people.' Speaking in Dundalk on Thursday, Micheál Martin said that the timeline would be met. Mr Martin described the RPZ (Rent Pressure Zone) move as 'significant' and said it would be 'followed by the Housing Activation Office and other measures.' "The RPZ measure is important because it sets the scene for the long-term [and a] more sustainable rental market." Mr Martin added that his original comments in the Irish Examiner in February had been seized upon by the opposition in a way he called 'over-the-top.' "I wasn't flying any kite. We've seen the substance this week. I think you guys (the media_ flew a few kites. The response was over the top, not from the media, but from other politicians. The response was completely over the top. Everybody knew there was a review of the RPZ. It was announced in October last year. "The response to what I said was completely exaggerated and over the top and motivated by politics, not from the media, but politicians. "We never said we were getting rid of RPZs. They were being reviewed with a view [to changing the system]. What I did say was, unequivocally, we have to get private sector investment into housing. And we do. "I said in the Dáil repeatedly, we're not getting rid of RPZs. I said repeatedly in exchanges with the Social Democrats and Sinn Fein, but it was a great line. It was a great line to put the fear up people. I didn't put the fear into anybody." The Taoiseach also rejected the claim that the timeline for passing the reforms had shifted due to criticism. In a technical briefing on the changes earlier this week, the five-week timeframe was not confirmed. Asked if this indicated that the Department of Housing was unaware of the Government's proposed schedule, Mr Martin said it did not. "The extension of the national (rent pressure zone) is going to be covered either in the planning bill that will be done before the summer recess, that's the bill that's rolling over the planning permissions, or you can do a short bill. There's no big deal about that." Read More Funding available for schools to procure mobile phone storage, department says

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