New rent rules incentivising evictions, Social Democrats say

The Government’s new rental rules are incentivising evictions, the Social Democrats have said.

Housing Minister James Browne has defended the rental reforms after it was widely reported that 36 households in his home constituency were served with eviction notices on Friday, with the landlord intending to sell.

The eviction notices at the Hazelwood estate of Bridgetown, Co Wexford, came two days before rental reforms came into effect.

The new rules allow landlords to reset rents to market rents for new tenancies every six years, and place restrictions on grounds for evictions.

Speaking on Wednesday, Mr Browne said he did not think the evictions were connected to new rental rules but said it “must have been absolutely horrifying to receive those notices to quit”.

He said he immediately had his department “reach out to” the Residential Tenancy Board (RTB) to assess the matter.

Mr Browne said he was limited in what he could say due to an active investigation but added: “I’ve asked the RTB to to assess the case.”

Renters are offered some protection under the “Tyrrelstown Amendment” which places restrictions on the ending of more than 10 tenancies in the same development within six months.

In these cases, the RTB says tenancies can only be ended if the property’s sale price with an existing tenant living in it is more than 20% lower than the market value if sold empty, or preventing the termination of the tenancy would be “unduly onerous” or “cause undue hardship”.

Mr Browne said his department was “monitoring” to “ensure the Tyrrelstown Amendment is fit and effective”.

He said: “But remember, in the new legislation, we have significantly tightened up tenants’ rights, so we’ve moved beyond the Tyrrelstown Amendment in new legislation.

“We’ve brought in security of tenure for new tenants. We’ve effectively ended all evictions for large landlords for no-fault evictions and, for smaller landowners, really tightened it up.”

Asked to explain why he thought the evictions came right before the rental rule changes, the minister said he could not “step into the mind of the landlord of what motivated them” but claimed there was nothing in the rental reforms that offered an economic benefit to the decision.

Social Democrats housing spokesman Rory Hearne said it appeared the minister “did not understand the reality of the private rental market”.

He said: “The whole issue of allowing the rent rise to market rent between tenancies – the landlords have been lobbying for that for years, the investor funds have been lobbying for it.

“And there’s no dressing it up – this is incentivising more economic evictions.”

Sinn Fein leader Mary Lou McDonald said the Government should intervene to ensure the families do not lose their homes.

Speaking in the Dail, she said: “These families are panicked, stressed and worried about the upheaval in their lives.

“There is a serious lack of homes available to rent in the locality. Even if they could find new places to live, they will face massive rent increases due to your new legislation.”

Mr Browne said RTB funding has increased 70% on last year.

He was speaking at the opening of the first cost-rental and social homes in the Coyne Woods area of the Oscar Traynor Woods project in Dublin 17.

Coyne Woods comprises 64 new homes which includes 24 social, 24 cost-rental and 16 affordable purchase homes.

The overall Oscar Traynor Woods project will deliver 850 A-rated new homes in partnership with Glenveagh and Cluid, which is made up of a mixed tenure development of affordable purchase, cost-rental and social homes.

The landlord in Wexford has been contacted for comment.