Oireachtas Joint and Select Committees

Wednesday, 28 June 2017

Joint Oireachtas Committee on Housing, Planning, Community and Local Government

Housing and Rental Market: Discussion (Resumed)

1:30 pm

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael) | Oireachtas source

I welcome the Airbnb economist. I wish to clear up a few points. Mr. Robinson stated that there had always been a significant rental market in Dublin. While that is so, there has never been a housing crisis like the one we have now. Therefore, we have a greater burden to ensure that whatever properties are available for significant periods ought to be family homes or for people who need to live in them for work or other purposes rather than for tourists. Notwithstanding everything Mr. Robinson says, that competition is creating a burden on our society.

Airbnb's rents are not subject to rent control and I believe they cannot be. I was shown information, but I cannot relay it exactly because I do not have access to my emails right now. A Scottish company was offering double the market price for houses in Dublin and claimed it would do everything and the money would flow into owners' accounts. It is happening. Houses that are available in Dublin city are being hoovered up by attractive ads and incomes, but many of them are family homes. I object to that. We need controls on Airbnb in areas where housing needs are not being met and the market is being abused, albeit not by Airbnb. I appreciate that Airbnb is there on business, but people are getting much higher rents through it while displacing others who need houses as homes. There is no control over that.

I have read about the issues concerning short-term letting. We should set a maximum letting period in certain zones of 30 or 40 days per annum beyond which the accommodation cannot be let. We are dealing with what Deputy Casey spoke about, namely, a person who is on holidays for a couple of weeks and making a few bob from his or her vacant house. That is fine and we have no problem with that, but Airbnb is competing with families who have nowhere to go. That is not accusatory, it is just a fact. We need to control where Airbnb can operate within city limits and where there is a defined housing crisis.

We must ensure Airbnb's rents meet rent pressure zone demands. In other words, what applies to a rent pressure zone should apply to Airbnb's lettings. That is where the problem lies and is why people are being kicked out. I understand that single young people who cannot live in Dublin because they cannot pay the rents are moving out of the city. I do not know whether others who are present have experience of that among their families, friends or communities, but it is real. I am concerned about it.

Regarding short-term lettings, I do not know whether other jurisdictions place obligations on Airbnb, but we should make ours as strict as possible where there is a significant housing need and, where there is none, relax them completely.

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