Modular homes: Government drops plans to cap rental income on back-garden units

Move comes amid a warning that the measure could lead to a proliferation of 'poor quality, very expensive' rental units
Work in progress on a modular home from Big Man Tiny Homes in Bandon

Work in progress on a modular home from Big Man Tiny Homes in Bandon

Homeowners will be allowed charge market rents for modular units in their back gardens after the Government decided to drop plans to cap annual rental income at €14,000.

Cabinet will agree today to permit such units to be rented on the open market, shelving earlier proposals to restrict their use to the rent‑a‑room scheme, which permits up to €14,000 a year in tax‑free rental income.

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