The Chairperson of the Irish Property Owners Association has said she recently had a landlord “crying down the phone” to her because of the state of the rental market. 

Yesterday, the senior Government Ministers signed off on proposals to extend Rent Pressure Zones (RPZs) across the country. 

It will mean the rent of existing tenants cannot be increased by a figure greater than the rate of inflation or 2% - whichever is lower. 

However, owners of new builds will be allowed to increase the rent of tenants by the rate of inflation - even if it is higher than 2%. 

Taoiseach Micheál Martin argued the reform would “protect tenants, create a platform for future investment and are part of a number of initiatives the Government is taking to enable us to [build] 50,000 houses a year.”

On Newstalk Breakfast, Irish Property Owners Association Chairperson Mary Conway said she was “at a loss” as to why the Government had extended RPZs across the country. 

“The first thing I heard of it was last night when your researcher sent me a text at half nine and it was like, ‘Oh my goodness, where has this come from?’” she said. 

“And I suppose I’m still in the same way this morning. 

“We do know that rent control doesn’t work; we’ve had it since 2016 - so, almost 10 years. 

“And in that time, we’ve seen more and more landlords leave the markets.”

A woman looks at properties advertised in an estate agent's window. Picture by: Jeff Gilbert / Alamy Stock Photo

Ms Conway said the reform means many landlords will be waking up and wondering if renting out a property is worth the “hassle”. 

“I’m an estate agent and I got a call yesterday from one of my landlords down the country - before any of this,” she said. 

“He’s got three properties in Dublin and he was crying down the phone. 

“He said, ‘Mary, I’m going to have to give notice to these tenants because the bank are after me and I don’t have any choice. I would prefer to be kind and do this myself rather than the receiver moving in.’ 

“So, one size does not fit all.” 

Advocates of RPZs argue they are needed to landlords increasing their tenants rents to extortionate levels, all at a time when the cost of housing spirals ever upwards. 

Main image: A person holds keys to a rental property. Picture by: Anna Berkut / Alamy Stock Photo