Rise in number of landlords leaving rental markets

LANDLORDS across Ireland are leaving the rental market due to fear of being unable to regain possession of their properties.

A new survey by Institute of Professional Auctioneers & Valuers (IPAV), identified the fear as the most common factor for landlords when deciding whether to remain in or leave the rental market.

The national survey highlighted that more and more landlords are losing confidence in the Irish rental system.

Almost 90 per cent of agents believe the new rental regulations has significantly impacted the landlord’s confidence in the system, while more than 87 per cent noted that Residential Tenancy Board (RTB) processes or rent regulations influenced landlord’s decision about remaining in or leaving the rental market.

Factors impacting such decisions also include delays in dispute resolution, complexity of notices of termination, perceived bias in the systems and difficulty in enforcing RTB determinations along with uncertainty around future regulations.

Residential Tenancy Board (RTB)

More than 75 per cent of respondents feel the RTB is strongly weighted in favour of tenants, which contributes to landlord’s lack of confidence in their ability to regain possession even when they are legally entitled to do so.

RTB’s recent update published in September found that a total of 292 private landlords left the market, with majority of them having just one tenancy.

IPAV’s Chief Executive, Genevieve McGuirk said that being a landlord has become a much less appealing enterprise in the last 10 years.

“It is particularly difficult for smaller landlords who are marching towards the exit gates,” she added.

She further said that the system of control and regulation introduced in recent years has “transformed the relationship between landlords and tenants, ridding it of flexibility and affordability, and replacing it with legality at every turn”.