Property owners group considers challenge to rent laws

The Irish Property Owners’ Association said it will consider a legal challenge to proposed new legislation which would see residential rent prices being frozen for a period of two years.

The association said the new law, designed to strengthen tenants’ rights, may be unconstitutional because it takes from one group and gives to another group without providing compensation.

Margaret McCormick, information officer with the IPOA, said the new measures being spearheaded by Minister for the Environment Alan Kelly amounted to "rent control". She said the association, which represents 5,000 landlords, is seeking legal advice and will consider challenging the measures in court.

Mr Kelly said the Government was “very pleased” with the new measures, which he said will “go a long way” to solving the housing problem.

As well as the decision to increase the rent review period from 12 months to 24 months for a four-year period, the Government will also give the Private Residential Tenancies Board additional powers in an attempt to tackle the rent crisis.

The measures also include a 90-day notification of a rent increase and 100 per cent mortgage relied for landlords who take on social-security tenants.

Speaking on RTÉ's Morning Ireland, Mr Kelly said he wanted to ensure that the PRTB was "almost policing certain aspects" of the tenant landlord relationship. He added that he wanted to place a legal obligation on landlords to inform tenants of their rights.

He also said if a landlord wishes to evict a tenant in order to sell their house or move a family member into the property then they will have to sign a statutory declaration outlining their intentions. They would face prosecution and a €4,000 fine if they make an invalid declaration, he said.