Landlords claim they are not to blame for housing crisis

Landlords have defended themselves from claims they are to blame for the housing crisis and said the Government should take responsibility.

Amid growing concern over rising homelessness — driven by rising rents and a limited housing stock — the Irish Property Owners’ Association said government actions had directly contributed to the problem.

Its chairman, Stephen Faughnan, said many landlords were in negative equity and had to charge market rental rates to break even.

“The average number of properties owned by private landlords is one, with many in negative equity and with heavy mortgages attached,” he said.

“Landlords need to let their property at market rent, not approximately 15% below, which is the average rent supplement level, in order to be able to try and pay the costs of being a landlord, never mind making a profit from the business of letting property.

“The Government penalises people in receipt of rent supplement by capping it, but then blames landlords for not being willing to subsidise the accommodation.”

Mr Faughnan said the State “blatantly decided to penalise landlords by a long series of indirect taxation measures”, with more landlords in arrears and lenders “aggressively forcing sales”, with the Government accused of giving in to lenders’ “bullying” tactics.

The property tax and other costs were also cited by the Irish Property Owners’ Association, with Mr Faughnan saying: “All this has driven up costs, and the mantra continues that landlords are to blame.”

Barnardos, the Homeless Agency, and Fr Peter McVerry are among those who have voiced concern at what has been called a housing crisis, with some families unable to meet climbing rents or facing property repossession also on the brink of entering the growing number of people struggling to secure viable living arrangements.

Jennifer Gargan, director of Empowering People In Care, said the situation was particularly acute for people leaving the care system, who are more vulnerable to homelessness.

Ms Gargan said there had been a cut in supported accommodation, and homeless hostels were not suitable for vulnerable young people, due to exposure to drug abuse and violence.

“One young person known to Epic said, ‘I would rather sleep rough on the streets, and I would feel safer, than sleeping in a homeless hostel’,” she said.

The group recommended specific additional housing for young care leavers, a Dublin weighting system to meet the high cost of rent in the capital, and a review of rent supplement caps.

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