Small private landlords will be squeezed out of the rental market by new regulations designed to offer tenants more protection, industry experts say.
The Institute of Professional Auctioneers and Valuers (IPAV) has warned prospective renters in small towns and rural communities that homes could potentially be harder to secure – due to regulations passed by the Oireachtas last month that extend notice periods landlords must give to tenants when they vacate properties.
Incoming IPAV President Gerry Coffey said the safeguards would “aggravate the dysfunction of an already dysfunctional market”.
He said the new rules impose an imbalance between the rights of tenants and landlords, and he also called for improvements to planning regulations to speed up the delivery of new homes.
Legislation was changed last month to give tenants more protection, leading to longer notice periods for tenancies.
Landlords must now give tenants 90 days’ notice to vacate properties if the tenancy was less than six months. Previously, this notice period was 28 days.
For leases longer than six months but less than one year, the notice period has been extended from 90 days to 152 days. Tenants who have lived in a property between one and three years must receive 180 days’ notice instead of 120.
Mr Coffey said he was concerned the regulations will exacerbate difficult situations outside capital cities where renters are struggling to find a home due to shortages of landlords and rental properties.
He pointed to figures from the Residential Tenancies Board (RTB) showing that the number of tenancies registered with the regulator fell by nearly 5 percent between late 2017 and late 2020. In the last quarter of 2017 there were 313,002 registered tenancies. This dropped to 297,837 within three years.
“The effect of these regulations now will likely be to accelerate the exit of private landlords from the rental market,” he said.
Mr Coffey was appointed IPAV President at the institute’s annual general meeting and conference in Athlone yesterday, where he called for a greater focus on the development of rapid-build modular homes to address the severe housing shortage.
He also expressed concern about planning issues, saying reforms were needed to allow for rapid delivery of homes.
“The system where it can take two years to complete a brownfield site is taking too long. The government must step in to prevent people from raising frivolous objections and introduce higher fees for anyone who objects,” he added.
https://www.independent.ie/irish-news/news/new-regulations-will-hammer-rentals-says-ipav-chief-as-he-pushes-to-open-up-planning-41827903.html New regulations will affect rentals, IPAV chief says as he pushes planning to open