Dáil Éireann Debate, Tuesday - 24 January 2017
236. Deputy Ruth Coppinger asked the Minister for Housing, Planning, Community and Local Government the current rate of return for landlords on private residential property with a buy to let mortgage and with no mortgage in view of his previous statements that the rationale for allowing rent increases of up to 4% in rent pressure zones was to ensure a rate of return for landlords of 4%. [2546/17]
View answerThe widely varying market conditions in the residential rental sector across the country mean that estimating rental income against landlords’ costs in providing rental properties in any meaningful aggregate manner is extremely difficult. Not only do rents vary significantly across the country but so do levels of indebtedness among landlords with buy to let mortgages and hence the costs they face in servicing their borrowings. Whether a rental property is financed through debt or equity, the issue of a return on investment still arises.
Neither my Department, nor the Residential Tenancies Board, collects information on the cost and value of landlords’ investment or on their operating costs.
