Written answers

Tuesday, 23 January 2018

Department of Housing, Planning, and Local Government

Residential Tenancies Board Remit

Photo of Peter BurkePeter Burke (Longford-Westmeath, Fine Gael)
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637. To ask the Minister for Housing, Planning, and Local Government the options available to persons whose rent has increased by 68% in one year in a non-rent pressure zone; the role the Residential Tenancies Board can play in such disputes between a landlord and a tenant; and if he will make a statement on the matter. [3020/18]

Photo of Eoghan MurphyEoghan Murphy (Dublin Bay South, Fine Gael)
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Part 3 of the Residential Tenancies Acts 2004-2016 prescribes the procedures that landlords must adhere to in the setting and review of rents.  Section 19 prohibits the setting of a rent above the market rent. Section 24 defines a market rent to mean:

‘the rent which a willing tenant not already in occupation would give and a willing landlord would take for the dwelling, in each case  on the basis of vacant possession being given, and having regard to:

a. the other terms of the tenancy, and

b. the letting values of dwellings of a similar size, type and character to the dwelling and situated in a comparable area to that in which it is situated.’

Essentially, the amount of the rent payable is agreed between the landlord and tenant, cognisant of local rents for similar dwellings.

The Residential Tenancies Board (RTB) publishes its Quarterly Report of the RTB Rent Index, which are based on the actual rents being paid for private rented properties and is compiled by the Economic and Social Research Institute (ESRI) from the RTB’s own register of tenancies.  This extensive database is the largest in the country and is populated with information on actual/agreed rent, location, six categories of dwelling types, accommodation size and number of occupants and tenancy length. These Reports are available to view on the RTB website, ,by tenants and landlords who wish to check the current market rents in their region.

Section 20 of the Residential Tenancies Act 2004 provides that a review of rent may not take place more than once in any period of 12 months or in the first 12 months of the tenancy.  The Residential Tenancies (Amendment) Act 2015, which was enacted on 4 December 2015, amends section 20 to provide that rent reviews can only take place every 24 months rather than every 12 months, unless there has been a substantial change in the nature of the accommodation that warrants a review.  This measure will have effect for a period of 4 years, after which the duration between reviews will revert to 12 months. The review of rent will still be on the basis that the market rent cannot be exceeded.  A rent review could give rise to a rent decrease/increase or to no rent change.

Tenants must be given 90 days’ notice of new rent and can make an application for dispute resolution to the RTB, if they have not been given the required notice, or if they feel the rent increase is in excess of the market rent.  These provisions have effect notwithstanding any provision to the contrary in a lease or tenancy agreement.

Both Threshold, the national housing charity, and the RTB are available to provide detailed and practical assistance to tenants. Threshold operates the Tenancy Protection Service (TPS), a national service providing advice and support to households living in private rented accommodation who are experiencing tenancy problems, including where a tenancy is at risk of termination. The TPS seeks to protect existing tenancies, keeping people in their homes and preventing them from having to access homeless services. The TPS helpline is available from Monday to Friday, 9am to 9pm on free-phone 1800 454 454. Further information is also available at www.threshold.ie.

In addition, the RTB has a central role in supporting the residential rental sector. It deals with disputes between landlords and tenants, including disputes about rent reviews. It also provides information about rent reviews and lawful rent increases.  If there is a dispute about the amount of rent being proposed, either party can refer the dispute to the RTB.  Evidence should be provided of rental rates for similar properties in the same area. Further information is available at www.rtb.ie/tenants and through the RTB helpline - Lo-call on 0818 30 30 37 (mobile operators might charge a premium rate to the Lo-call number) or 01 702 8100 - available from Monday to Friday, 8:30am to 6.30pm.

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