Landlords threaten to target tenants with new charges if rent cap is introduced

Tenants in Dublin and Cork could be landed with a variety of new charges if the mooted rent cap comes into force in the coming year.

The new 'Rent Pressure Zones' plan was outlined by Housing Minister Simon Coveney earlier this week, citing Dublin and Cork as the two areas that are in need of some form of ruling that would stop landlords from continually hiking the cost of rent in those areas.

The new legislation means that landlords can only raise the cost of rent by 4% each year, which is a welcome ruling to some tenants who have faced increases of up to 7% in three of the last four quarters.

The cap has come under fire from property groups however, with the Irish Property Owners Association threatening to charge their tenants registration fees, car parking fees and asking for money for collecting keys.

“The measures being introduced are so severe that rents will not cover costs and devaluation of property will be significant all adding to the exit of the Investor,” said a statement from the IROA.

“It is notable that Government and those demanding change are oblivious to the huge burden that all these measures will have on the tenants and the loss of supply.”