Dáil Éireann Debate, Tuesday - 16 May 2023
404. Deputy Cormac Devlin asked the Minister for Housing, Local Government and Heritage if he will consider amending the regulations around cost rental to allow people marginally under the current income threshold to access cost rental schemes, where affordability can be demonstrated; and if he will make a statement on the matter. [22613/23]
View answerThe policy intent of developing a Cost Rental sector in Ireland is to support the housing needs of those on moderate incomes for whom high open market rents are unaffordable and who do not qualify for social housing supports. The Government’s Housing for All plan targets the delivery of 18,000 Cost Rental homes by 2030, primarily through delivery by Approved Housing Bodies (AHBs), Local Authorities, and the Land Development Agency (LDA). Funding has been allocated by my Department to AHBs through the Cost Rental Equity Loan (CREL) scheme, and to Local Authorities through the Affordable Housing Fund (AHF).
All Cost Rental providers are legally obliged to make Cost Rental homes available in line with the provisions of Part 3 of the Affordable Housing Act 2021 and associated Regulations. My Department has no direct role in advertising homes, assessing applications, or the allocation of Cost Rental tenancies, which is the responsibility of the landlord who has arranged for the cost rental designation of the homes.
Eligibility and income parameters are a key tool in targeting State-supported homes at those who fall within the moderate income cohort and are considered most in need of affordable housing interventions. The primary eligibility condition for accessing Cost Rental housing is a maximum net annual household income (less income tax, PRSI, USC and superannuation contributions) of €53,000.
All Cost Rental properties must be leased to a tenant whose household falls within prescribed eligibility conditions, but because rents must cover costs on an ongoing basis, a landlord must be assured that a prospective tenant can be expected to reliably pay the monthly rent. Therefore, a designated cost rental landlord has final discretion on whether to enter into a tenancy agreement.
