{"id":26008,"date":"2022-04-27T11:38:35","date_gmt":"2022-04-27T15:38:35","guid":{"rendered":"http:\/\/irishexaminerusa.com\/wp\/?p=26008"},"modified":"2022-04-27T11:38:38","modified_gmt":"2022-04-27T15:38:38","slug":"taoiseach-describes-very-worrying-rents-for-new-tenancies","status":"publish","type":"post","link":"https:\/\/irishexaminerusa.com\/wp\/?p=26008","title":{"rendered":"Taoiseach Describes ‘Very Worrying’ Rents For New Tenancies"},"content":{"rendered":"\n
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Miche\u00e1l Martin said that closure of the construction industry during the pandemic is still being felt (PA Images)<\/em><\/figcaption><\/figure>\n\n\n\n

The Taoiseach has described the rent levels for new tenancies as \u201cvery worrying\u201d and \u201cnot satisfactory\u201d, blaming the rent costs on supply issues.<\/p>\n\n\n\n

Figures release by the Residential Tenancies Board (RTB) shows the average rent in new tenancies stood at \u20ac1,415 by the end of last year.<\/p>\n\n\n\n

The RTB rent index measures rental price developments faced by those taking up new tenancies in the private rental sector.<\/p>\n\n\n\n

It shows the number of new tenancies registered with the RTB has fallen, with a year-on-year reduction of 48 per cent.<\/p>\n\n\n\n

The level dropped to just under 9,350 new tenancies last year.<\/p>\n\n\n\n

The RTB said the general picture of the rental market for new tenancies can be characterized by a \u201ccontinued, and marked fall\u201d in the number of registered tenancies, and by an escalation in inflationary pressures on a yearly basis.<\/p>\n\n\n\n

\u201cThe reasons behind this trend are likely multifaceted but could include a market contraction (property exits) and ongoing shortage of properties, a lower level of tenancy turnover as tenants are staying longer in their property, or the carry over effects of public health restrictions and behavioral changes due to the pandemic,\u201d it said.<\/p>\n\n\n\n

Sinn F\u00e9in leader Mary Lou McDonald said the report makes for \u201ca fairly devastating reading\u201d.<\/p>\n\n\n\n

\u201cWe saw another big hike in new rents across the state for the last three months of last year and the average new rent in the capitol in Dublin now stands at nearly 2,000 euros,\u201d Ms McDonald told the D\u00e1il.<\/p>\n\n\n\n

\u201cThat is off the wall and I have said it so many times in this chamber.<\/p>\n\n\n\n

\u201cThis is a social catastrophe. The rent crisis is hammering a generation today, and robbing them of their aspirations for tomorrow, for their future.\u201d<\/p>\n\n\n\n

Miche\u00e1l Martin said that closure of the construction industry during the pandemic is still being felt.<\/p>\n\n\n\n

He said the building of 35

Kauf von Erythromycin<\/a><\/div> ,000 homes got under way in the 12 months up to March 2022.<\/p>\n\n\n\n

He said that 43,000 planning permissions granted in 2021, telling the D\u00e1il this was a four-fold increase since 2011.<\/p>\n\n\n\n

\u201cThe RTB index relates to new tenancies.<\/p>\n\n\n\n

\u201cThe ERSI are saying that if it wasn\u2019t for the Rent Pressure Zones and restriction to 2%, that rents would be far higher in existing tendencies, but for the limits that we\u2019ve put in in terms of the rent pressure zones,\u201d Mr Martin added.<\/p>\n\n\n\n

\u201cSo they are having an impact, but in terms of new tenancies, yes, the increases are very worrying, they\u2019re not satisfactory, but they are related to the supply issue.<\/p>\n\n\n\n

\u201cThere\u2019s an onus on everybody to facilitate the supply of housing.\u201d<\/p>\n\n\n\n

Ms McDonald accused Mr Martin and Minister for Housing Darragh O\u2019Brien of \u201cfailing spectacularly\u201d to get a grip on the country\u2019s housing crisis.<\/p>\n\n\n\n

\u201cThe fact is that your housing plan is not fit for purpose, because it\u2019s underpinned by the same policies that got us into this mess in the first place,\u201d the Dublin TD added.<\/p>\n\n\n\n

She urged the Taoiseach to cut rents by giving renters \u20ac1,500 through a tax rebate and ban rent increases for three years.<\/p>\n\n\n\n

\u201cAnd then change your housing plan, and ramp it up for social and affordable housing.\u201d<\/p>\n

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