A LEADING housing charity has said that the latest Daft Rental Price report suggest that rent limits in designated Rental Pressure Zones are being blatantly disregarded.
With monthly rents in Limerick increasing by more than ten per cent over the past year, Threshold said this is despite the fact that rents in Rental Pressure Zones (RPZ) cannot be increased by more than general inflation as recorded by the Consumer Price Index – or by two per cent per annum, where this is higher.
Threshold Chief Executive John-Mark McCafferty said that approximately half of the rent-review notices brought to them in 2021 were invalid.
“Unfortunately, in some cases, the tenant accepts the invalid notice for fear of being unable to find a new rental home.
“Threshold urges all private renters to get in touch when they receive a rent review to check the validity of the rent increase, Mr McCafferty advised.
He identified the cost of living as one of the most pressing concerns for people throughout the country and cited ‘unrelenting rents’ as a significant factor in the increased pressure on people.
“With the rising cost of living, it will become increasingly difficult for private renters to pay these increases, as well as their other bills. These renters will always prioritise the money required to keep a roof over their head, meaning they may go without heat or be forced to cut back on other essential expenditure.”
He cited one in five private tenants in Ireland spending more than 40 per cent of their disposable income on rent. Close to one in ten private renters pay more than 60 per cent of their earnings on rent, and are also at greater risk of poverty, more likely to be burdened by debt and have gone without heat at least once in the last year.
Rents in Munster rose by 10.2 per cent year-on-year, reflecting very low availability.
“Given these statistics, it seems strange for Daft to argue for the removal of rent regulation between tenancies,” said Mr McCafferty.
“The Daft reports shows the number of properties available to rent was at a new all-time low on February 1 last, and the average national rent is almost double what it was ten years ago.
“In the same period, average weekly earnings increased by only 22 per cent,” he said.
The rent increases outside of the Rent Pressure Zones are equally worrying, with private renters in these areas being left at the mercy of the market.
