Government must get tough on investment funds - Eoin Ó Broin TD
Sinn Féin spokesperson on Housing Eoin Ó Broin TD has called on the government to act now and get tough on investment funds as rents continue to spiral and funds continue to acquire homes.
Teachta Ó Broin said:
“A research report by BNP Paribas Real Estate published today highlights how 4,900 Private Rented Sector (PRS) properties were bulk-purchased by investment funds in 2021.
“They were purchased for 32% over average asking prices.
“The government’s sweetheart tax deals with these funds locks out purchasers from the new supply coming on the market. It also leads to sky high rents being charged, as today's Daft.ie rent report shows.
“Both reports confirm that some supply can actually make the housing crisis worse. Unfortunately, government policy is incentivising the wrong kind of unaffordable supply to the detriment of genuinely affordable homes.
“The government needs to stop these investors from bulk-buying these properties. We must see a dramatic increase in stamp duty, as proposed by Sinn Féin.
“We accept that some developments require forward purchase agreements to be viable. This is where the state must step in.
“Government must fund local authorities and approved housing bodies to purchase such developments for the provision of social, affordable rental and affordable purchase homes.
“The status quo is not sustainable. The government must prioritise the delivery of the right kind of supply of homes.”