Mr. Bob Jordan:

There are no legal impediments. It is just custom and practice in the residential sector to sell with vacant possession. We have come across situations where tenants are being put out. These tenants were on fixed term leases. Receivers have had no problem selling on properties - in one development there were four or five properties - with tenants in situto a willing buyer. This must change. I totally agree tenants should be allowed to remain in the property, particularly where the property is being sold on again for rental - in other words, where there is no buyer moving into the property. This area needs to be examined. One of the reasons the regulations were introduced last year was because lower paying tenants, perhaps in receipt of rent supplement, were being bumped out of properties in favour of higher paying tenants. We need a stronger rule in regard to moving on tenants in the context of the sale of properties.

The issue of rent certainty in the current market was mentioned. The Minister said at a conference this morning that while he is sympathetic to this, he does not feel he will be able to introduce it in the current dysfunctional market. We must therefore look at the issue of supply because this is the only factor that will impact on rents. A suggestion that arose recently was for purpose built student accommodation. I believe students could be taken out of the mainstream private rental sector. Very often that market does not work for them because they are only in the accommodation for nine months of the year. They sign up to a one year lease and then lose their deposit. Moving students into purpose built accommodation could be done rapidly and I believe firewalling them against the mainstream private rental market would be good. However, if any section 50-type break was introduced again, it would need to be linked to affordable rents for students. I am dismayed by the fact that universities around the country have essentially followed the private rental market in raising rents.

That is totally inappropriate as it is a different market. That area would certainly be one way of freeing up supply.

I know that the Minister for Finance was before the committee to talk about the Living City initiative and creating something similar in rural areas. There has not been huge take-up on that. However, there are spaces - I see them all over Dublin 7 - above commercial properties that could be used for the private rental sector. I believe the main impediment tends to involve issues of fire safety and planning but those things are surmountable. In the absence of the Minister doing anything else other than the rent freeze, we must look at supply. I believe there are possible measures there.

The home renovation incentive was extended to both home owners and landlords. Home owners are extending their properties. They should be encouraged to do so and to take more people under the rent a room scheme. Landlords should also be encouraged to extend their properties. There has been good take-up of the home renovation incentive but perhaps it could be looked at even more.