Who wants to put up their hand and say they are a landlord? Few landlords are willing to identify publicly as such, despite most being individuals rather than institutions.
In fact, 82 per cent of landlords own just one or two properties. Many are self-employed or PAYE workers who bought a property as an alternative to a pension, using after-tax income for deposits and taking out 20-year to 30-year mortgages.
These properties have provided crucial housing for thousands of families, many of whom receive Housing Assistance Payment (Hap). These landlords stepped in to fill a gap left by the government’s failure to deliver sufficient social housing. But over time, the pressures mounted. Many landlords now leaving the market cite Rent Pressure Zones (RPZs) and indefinite-duration tenancies as the final straw.
The government looks set to move on the future of the RPZs soon, and it can’t come quick enough.
For many landlords, the numbers no longer add up. Pre-2015 RPZ rents are often far below market rates and capped even for new owners, deterring investment. Many landlords are selling with vacant possession—removing homes from the rental market—or leaving properties empty for two years to reset rents: an appalling outcome in the midst of a housing crisis.
One such landlord I spoke to described the rollercoaster of risk and stress involved first-hand.
“In 2024, I sold an investment property in Fairview after 18 years. Initially bought as a pension plan, it became unviable after the financial crash, when the loan was sold to vulture funds. By 2023, ECB rate hikes had pushed my tracker mortgage up 450 per cent, while rent rose only 2.3 per cent. The figures didn’t compute. I broke even and walked away—not for profit, but for peace of mind.”
She described managing the property as “like living under the sword of Damocles: trapped in negative equity, rising costs, and tightening regulations.”
“The relief I felt when I sold was immense. I can now sleep at night without fearing what the government will do next. I’m not alone,” she said.
Meanwhile, tenancies are being treated as valuable commodities. Long-term tenants cling to below-market rents, reducing their mobility. Students no longer vacate rentals over the summer—they hoard them, afraid of not finding a new property in October. A tenant in Bray might turn down a job in Walkinstown because they cannot afford to give up a cheap tenancy. The system traps people, reduces supply, and increases competition.
Some worry that if rent controls were removed, rental prices would skyrocket. However, Ireland had rent controls in the 1980s. When they were removed, rents didn’t jump significantly; rather, rental supply increased and rent levels dropped. Finland faced similar supply issues in 1995, but a bold housing minister chose to burst the dam. Rents rose slightly but later decreased as supply improved. Similarly, in 2012, Irish rents were falling due to oversupply.
As a society, we must recognise that many young people are living in their childhood bedrooms well into their thirties due to severely reduced supply. RPZs must be abolished sooner rather than later – they are unsustainable and offer no incentive for landlords to remain in the market.
We are not calling for a radical overhaul of the regulatory regime, but for a simple, fair proposal: allow rents to reset to market rate when a tenant leaves or a property is sold. For ongoing tenancies, permit increases of 4 per cent annually for four years, then revert to pre-2015 rules. This modest change would go a long way towards restoring balance.
The housing crisis will not be resolved by ignoring landlords. If they continue to exit the market, it is tenants who will suffer most. It is time to stop vilifying landlords and start creating a rental system that works – for everyone.
Mary Conway is chair of the Irish Property Owners Association, which represents private residential landlords
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