Sir, – Catherine Morrissey describes a sudden 40 per cent rent increase imposed by a landlord (February 24th), which is an undoubtedly difficult situation but hardly a representative one. Ciaran Walsh (February 26th) expresses the surprising idea that “the rental market is controlled by property owners”; were that the case then there would have been no collapse in rents in the last few years before the recent resurgence.
Any fair analysis of the property crash and the housing crisis would recognise that all of the different groups involved – landlords and tenants, prospective homebuyers and current homeowners – have experienced financial and emotional pain and many continue to do so.
The idea that rents are too high is not an unreasonable one but it doesn’t follow that all landlords are making profits, bearing in mind that many invested during a boom when they overpaid for property the same as everyone else, and also recognising the considerably higher taxes and charges now been levied on landlords in particular.
It should also be clear that rent control is a double-edged sword. Had rents been fixed any time between 2002 and 2009, for example, then rents in the years 2010 to 2014 would generally have been substantially higher than they actually were.
As in all free markets, there are price fluctuations and the balance swings between buyer and seller. We already have a reasonable type of rent control – private landlords cannot set rents higher than a legally defined market rent, landlords are legally obliged to report rent increases to the Private Residential Tenancies Board (PRTB) and tenants can appeal rent increases to that body.
There is a clear need to hear the views of all parties in the housing and property market. Things are not always as they seem. Regarding alleged discrimination by landlords against tenants on rent allowance, it needs to be said that many landlords prefer to avoid rent allowance not because of the tenants but because of the difficulties of dealing with community welfare officers and local authorities. It is not pleasant to deal with public officials who renege on agreements with landlords, arbitrarily reduce agreed rents and encourage tenants to breach their lease agreements by unilaterally reducing rent payments. It may not be a popular position, but surely landlords’ rights should be respected too. – Yours, etc,
PAUL CARROLL,
Clane, Co Kildare.