Landlords to receive an extra €600 income.

[Cruzer123]

The exodus continues so.

Todays Indo…

“Meanwhile landlords will received tax relief at the 20pc standard rate on a proportion of their rental income – once they agree to keep their properties on the market.

It could see the first €3,000 of €10,000 income become sheltered under 20pc relief - meaning an extra €600 income for landlords. The relief is likely to be spread over three or four years in return for landlords maintaining properties as available to rent in that period, or with sitting tenants”

Homeowners will also be able to claim 20pc tax relief on mortgage increases between this year and last year, capped at around €1,250 under a new scheme to be announced by Finance Minister Michael McGrath.”

 

[Cameo]

Wonder is that per property?

 

[MrViking]

Wonder is that per property?

No chance unfortunately. It will be in total. All the fuss about landlord support…..and this is the end result? If anybody thinks that €600 is going to mitigate the current uncertainty and political meddling with property rights, then it clearly demonstrates a lack of understanding.

 

[Premos]

They were all about attracting new entrants, I don't see it happening with €600. I don't see what they want to achieve. They will be hammered by the opposition for "helping" landlords, but at the same time, I would not think that any investor/potential investor would change their mind based on that.

 

[Knuttell]

Utterly pointless, in fact it's almost a waste of money as it will achieve nothing.
Neither work to retain or attract Landlords.

 

[MrViking]

Utterly pointless, in fact it's almost a waste of money as it will achieve nothing.
Neither work to retain or attract Landlords.

exactly. I understand the politics of it, but would have thought it's time to put on the big boy pants and actually try to implement something which may actually encourage investment in the area. I personally would have invested more if the environment and incentives were sufficient to partially balance out some of the meddling risks that are on the horizon.

 

[Purple]

The exodus continues so.

Not according to the CSO. Their figures show 330,632 tenancies. The RTB think there are 246,453 tenancies. The Government and people of Ireland is let down yet again by incompetent Public Servants with bad decisions being made because of the inaccurate data the RTB provides.

 

[MrViking]

Not according to the CSO. Their figures show 330,632 tenancies. The RTB think there are 246,453 tenancies. The Government and people of Ireland is let down yet again by incompetent Public Servants with bad decisions being made because of inaccurate data.

You're assuming that the RTB have an accurate count of what they have in their own database.....which based on both (i) the experience of using their website, and (ii) the poor quality of the responses you get from their staff, is a BIG assumption!!!

 

[Leo]

We know the CSO data is not 100% accurate as it relies on the ability of the general public to complete a form accurately, however, I'd trust the trend data they provide more than anything coming from the RTB, and that data is not indicating an exodus of rental properties from the market.

Based on those numbers, if I was the one looking to balance the books, I wouldn't be throwing any massive incentive towards private landlords at a time we don't have the capacity to build in sufficient quantities.

 

[imalwayshappy]

Not according to the CSO. Their figures show 330,632 tenancies. The RTB think there are 246,453 tenancies. The Government and people of Ireland is let down yet again by incompetent Public Servants with bad decisions being made because of the inaccurate data the RTB provides.

If they look at reality. There are many landlords who drive around on monthly basis collecting cash from tenants to avoid the lunacy of the RTB and crippling tax on income. Like anything else in this world when you make a complete balls of a sector you will always drive a proportion under ground which is clearly what has been identified here. The whole sector needs to be overhauled and the reset button hit. The Irish anti landlord sentiment needs to change also.

 

[imalwayshappy]

Based on those numbers, if I was the one looking to balance the books, I wouldn't be throwing any massive incentive towards private landlords at a time we don't have the capacity to build in sufficient quantities.

Surely this is the reason to incentivise Landlords to stay in the market until such time as you can build sufficient quantities though? You want to keep as many houses available in the rental sector until such time as the supply has caught up.

 

[Leo]

Surely this is the reason to incentivise Landlords to stay in the market until such time as you can build sufficient quantities though? You want to keep as many houses available in the rental sector until such time as the supply has caught up.

The CSO data shows an increase in private rental accommodation since 2016, It's a catch 22 situation with insufficient supply, incentivise private rental and you price first-time buyers out of the market.

 

[Steven Barrett]

Homeowners will also be able to claim 20pc tax relief on mortgage increases between this year and last year, capped at around €1,250 under a new scheme to be announced by Finance Minister Michael McGrath.”

So let me understand this, someone who paid almost no interest for over a decade on a tracker, can now get mortgage relief for increased rates if they stayed on their tracker. Meanwhile, someone who isn't on a tracker but has always paid a higher rate and fixed when they saw rates increase can't??

The government shouldn't be giving tax breaks due to increased rates. What they should be doing is going after the lenders (vulture lenders) who aren't allowing their mortgage holders avail of fixed rates.

 

[Purple]

If they look at reality. There are many landlords who drive around on monthly basis collecting cash from tenants to avoid the lunacy of the RTB and crippling tax on income. Like anything else in this world when you make a complete balls of a sector you will always drive a proportion under ground which is clearly what has been identified here. The whole sector needs to be overhauled and the reset button hit. The Irish anti landlord sentiment needs to change also.

Yes, tax evasion by criminals will always be a problem but it should be prevented by prosecuting the criminals, not giving them tax breaks.
I think that our pro-criminal sentiment needs to change.

 

[Purple]

You're assuming that the RTB have an accurate count of what they have in their own database.....which based on both (i) the experience of using their website, and (ii) the poor quality of the responses you get from their staff, is a BIG assumption!!!

No, I'm assuming that the employees of the RTB are incompetent and are unable to maintain key data. That's based on both the CSO figures and anecdotal information from those who are unfortunate enough to have to deal with those employees.

 

[Sconeandjam]

That sounds like the same scheme they set up forcing landlords to take HAP or rent allowance tenants and hold onto the tenants for a number of years. The landlord had to wait years in order to recoup a small reduction in tax. This was at a time when the ECB rate was really low.
Also property tax, insurance and other costs have gone up so that would eat up the €600 so say €150 per year. That would not stop landlords walking away but sounds good in the papers.