Government shall be implementing legislation that will provide a Rental Market Reform addressing accessibility to the rental market. The law seeks to ensure stability and predictability through various incentives, which include establishing a minimum rent period, formal registration of Rent Agreements and fiscal advantages for the landlord.
The following are a few of the reforms that will come into force as of 1st January 2020:
- Rent Agreements are to be registered on line and run on a blockchain-based system overseen by the Housing Authority
- Penalties will be incurred on failing to register
- Rent increases will be capped at 5% annually for long term leases
- Rental period may not be less than a year
- Fiscal incentive for landlords renting property for 2 years and over as per below:
- One-bedroom property: €200 for two years, €300 for three or more years
- Two-bedroom property: €300 for two years, €400 for three or more years
- Three-bedroom property: €400 for two years, €500 for three or more years
- Minimum of 3 months’ notice is to be served on the tenant by landlord for termination of rent to be valid or else there is an automatic renewal of the rent agreement for the same period
- In the case the tenant wishes to terminate the rental agreement, the notice period is 1 month in the case the rent period was for a year, 2 months in the case the rent period was for two years etc.
- Short rent contracts for a maximum of 6 months may only be provided to non-residents.
- A new adjudicating panel for private residential leases shall be set up to decide on disputes related to deposits or maintenance fees of no more than €5,000
- Tenants shall have access to water and electricity bills
- Laws Courts shall be able to pronounce itself on eviction on first hearing.
The Bill will be tabled in Parliament for debate.
