You are correct, professional, large-scale landlords with staff and an expert legal team can deal with this. Problem tenants will be a cost of the business and factored in to how much rent is charged on the portfolio overall in the same way as an employer factors in the risk of underperforming staff. In fact the cost of RTB compensation to difficult tenants will be factored in as well as I'm sure employers factor in WRC awards. It'll be far more professional overall. Monthly inspections, formal letters to tenants telling them to rectify faults etc. (A tenant of mine who relocated from Dublin and rented from one of the funds told me about this system).Yes. But, in the same way, employment protection laws make it difficult to get rid of underpeforming employees. Publicans will tell you that equal treatment legislation makes it difficult to exclude problematic customers, etc, etc.
I think the idea here is that if you have professional, large-scale landlording, dealing with a proportion of less-than-desirable tenants within the framework of the regulatory regime for landlording, including protections for tenants, has to be managed as a cost of the business.
If you are a 'large' landlord with, say, 5 properties, that is not the case. You just haven't the scale for this and, as I keep stressing, a permanent tenant will be a disaster.
The future is the large, professional landlord. It is just too complex and risky now for the amateur with a small portfolio.