19 new Rent Pressure Zones created across 11 counties 1 year ago

19 new Rent Pressure Zones created across 11 counties

Has your county been affected?

19 new locations have been designated as Rent Pressure Zones following a change in the criteria.

The changes will be implemented from today (2 July) after reforms were made to the Residential Tenancies Act.

The new criteria means that areas can be compared to more regionally appropriate standardised average rents.

The new legislation has also extended all existing Rent Pressure Zones to 31 December 2021 and it has also provided the Residential Tenancies Board with the power to directly investigate and sanction, where appropriate, specific breaches of Residential Tenancy Law.

With regards to the 19 new Rent Pressure Zones that were created, the areas are located across 11 counties - Cork, Galway, Kilkenny, Laois, Limerick, Louth, Meath, Waterford, Westmeath, Wexford, Wicklow.

Essentially, it now means that rent increases in the following areas are limited to a maximum of 4% each year. This applies to new and existing tenancies (unless an exemption is being applied).

Rent Pressure Zones have been created in the following places:

  1. Fermoy LEA, Cork
  2. Midleton LEA, Cork
  3. Athenry-Oranmore LEA, Galway
  4. Gort-Kinvara LEA, Galway
  5. Kilkenny LEA, Kilkenny
  6. Portlaoise LEA, Laois
  7. Graiguecullen-Portarlington LEA, Laois
  8. Limerick City West LEA, Limerick
  9. Limerick City North LEA, Limerick
  10. Dundalk-Carlingford LEA, Louth
  11. Dundalk South LEA, Louth
  12. Ardee LEA, Louth
  13. Kells LEA, Meath
  14. Trim LEA, Meath
  15. Waterford City South LEA, Waterford
  16. Waterford City East LEA, Waterford
  17. Athlone LEA, Westmeath
  18. Gorey LEA, Wexford
  19. Arklow LEA, Wicklow

Rent Pressure Zones are located in parts of the country where rents are highest and rising, and where households have the greatest difficulty finding affordable accommodation.

They are intended to moderate the rise in rents in these areas and create a stable and sustainable rental market that allows landlord and tenants to plan financially for their future.

In order for an area to be designated a Rent Pressure Zone, the following criterion must be met.

1) The average rent in the previous quarter must be above the average national rent in the quarter.

2) The annual rate of rent inflation in the area must have been 7% or more in four of the last six quarters.