In Dublin a landlord of multiple properties described the rental market as “completely dysfunctional” and “not a good investment at the moment”.
The RTB was too slow in taking decisions, with landlords often left without a way to collect rent arrears even after winning a case, he said. “Every time we need to renew a lease, serve a notice, the rules have changed. It’s just a joke.” “There’s no shortage of houses, there’s a shortage of rental houses,” said Mr Doyle who was at the centre of controversy in 2020 when he posted a video on social media saying you could “pack” two families into a former council home and charge €5,000 in rent between them – he later said the video had been a “complete joke”.
On the question of profitability, Mr Brady said a property in Dublin making €24,000 a year in rent might lose €4,000 of that in letting fees, management charges, insurance and repairs, and then the €20,000 could be cut to €10,000 after tax for those on the top rate. But if the property was worth €400,000, landlords who opted to sell could make 2½ per cent on their investment with “no risk and no hassle”, he said.
Landlords will continue to exit. Very poor return on investment with heavy tax burden.