https://www.businesspost.ie/news/uk-fund-snaps-up-85-of-dublin-17-housing-estate-originally-aimed-at-individual-buyers/
I though they banned this from happening?!
The government are doing nothing and hoping it just fixes itself.
So what happens after 25 year of living rent free? R they evicted or pay rent at market rate?
The tenants buy the house at a 40% discount.
I doubt its rent free for most tenants. Possibly an option for council and/or tenant to purchase outright.
There was a golden opportunity for the government to get into home building with NAMA but they refused. There were also tens of thousands of unemployed tradesmen who were allowed emigrate after the crash when they could have been kept here with a NAMA linked company.
Everything has to go through private sector for some reason and the government/public sector has completely lost the ability to actually build anything. The private sector then just take the government for a ride, eg childrens hospital.
Yep all it did in reality was alter the numbers on the investment proposition rather than remove it. Add 10% stamp duty, fund/institutional investor increases rent to be charged to recoup it.
Just to remind you- in 2016 they launched the Rebuilding Ireland scheme. Scheduled to last from 2016 to 2021 and was essentially a promise to end the housing crisis.
In Dublin your average house price must have near on doubled since then. Rental crisis has got even more chronic.
I'll give them their dues, there is A LOT of social housing gone up since about 2019 and continues to go up- but that's a closed shop off limits to the vast majority of people who can't afford to buy a home.
Vast majority of houses are been bought by people in Ireland and home ownership rates are going up
Yes we need more properties and we should be mass building apartment but saying people are not buying houses is incorrect
There was about 10 years after the crash though when house building was minimal and it will take years to catch up.
Good for renters. Less need for the government to prop up small landlords.
Why though? Genuine question, what is the motivation behind such seemingly crazy policies.....
Is it ideology gone mad or is there money changing hands at higher levels...
I'm genujnely struggling to understand why they seem to have gone full (I'm afraid to finish the phrase in case anyone takes offence!)
I didn't say nobody was buying, I said the vast majority of those who cannot afford to buy are not eligible for the plentiful amount of new social homes being doled out.
Then you have nonsense like cost rental, which is basically a council house only you pay more in rent than you would a mortgage and, unlike a council house, you won't ever get the chance to buy it at a massive discount.
Or the shared ownership purchases, which seem nothing more than a scheme to deny your kids the right to inherit the home.
It would bring prices down for purchasers but the rental market would get worse for tenants and fewer overall dwellings would be built.
Essentially if people are upset about this purchase, the blame is sky high rents. Sky high rents means it profitable for landlords to snap up properties to rent or commission estates and blocks to be built for rent.
The solution is to allow them to be built and purchased to rent. Allow rents to come down and and then the landlords will stop outbidding private purchasers.
They have been purchased to rent by the fund.
That isnt going to bring rent prices down.
And almost all of that social housing is rented by the govt/local councils.
It is stealing from the private market (which keeps private rents high) so councils can reduce their social housing list and ignore everyone that works for a living on average salaries or above.
Local councils need to build their own social homes and leave the private market to build private homes, then the cost will come down for private rentals as stock will make it to the private market, instead of being diverted to social housing.
Increased supply will have the tendency to bring prices down. Of course there are going to be demand factors such as more people coming into the country needing accommodation so overall prices will still rise. But they would rise more severely if there wasn't housing being made available to rent such as this purchase.
burn them to the ground
40 UNITS snapped up, happening everywhere, these homes are brand new, only coming available.Now most are gone.
More good news for renters.
None of the links to the articles work anymore.
Can't read linked article. Sales like this should just be illegal.Fullstop!
Messing around with stamp duty rates is just a minor inconvenience to funds when they can get 3k a month supported or guaranteed by the State.
Meanwhile lots of property owners nearby are legally prohibited from charging more than that half rent, while paying more income tax in Ireland than these funds will pay.
It's obscene what the State has created by limiting free market rents.
NAMA was the vehicle the State should have used to create lots of State owned and managed social housing to benefit the nation's wealth. After all, property is an assett class that can benefit wealth long term. Instead, with short term thing as always, they sold most of the assets at a discount to market only to lease them back long term at top dollar on the tax payers dime. Obscene!
Ireland, a country with large budgetary surplusses and high economic growth, yet it will never be a classed as a rich developed country because it blows its wealth at the first opportunity....
I think in fairness if you invest in a property fund you'll have to pay tax on returns at the same rate as if you owned the property directly. What is needed is some sort of tax incentive for Irish individuals to invest in funds.
Not sure why the article was deleted, but here's an archived link: https://archive.is/20240108171758/https://www.businesspost.ie/news/uk-fund-snaps-up-85-of-dublin-17-housing-estate-originally-aimed-at-individual-buyers/#selection-635.0-635.86
Yes, I am aware of the REIT structures for tax but still septical as to whether the State benefits as much as they say. If the loopholes can be created, they can be closed or modified consideray in a finance bill. The REIT ship looks to me like it has sailed.
Instead, they tinker with stamp duty so they can continue to say inward investment into Ireland is strong ...but another section of the State is paying handsomely for that investment. Almost like a.ponzi ..good while the money is rolling and then it collapses
Maybe I am aiming way off target here. I cannot read the linked article. The link leads nowhere
But the thing is the government will pay the rent, these units are never meant for working folks. The units are being leased back to the state because we aren't competent enough to build our own units. The family out working their arses off won't get near these units but your taxes will.
Nail on the head. It’s scandalous and simply fucked up that this is the model. I hate punching down - but some families will get those and they will never have contributed **** all to the state.
It's not blown. Its given to the ekitle and rich
Here's more of the same, either incompetence and laziness by the Co Co or corruption.
If the government stopped subsidising 50pct of the rental market, rents would likely come down
The majority of people in social housing work and pay taxes.
