The cuckoos have come home roost – because the government incentivised them to come here
Cuckoo funds outbidding ordinary buyers for family homes by up to 32pc is a direct consequence of government policy, according to Social Democrats Housing Spokesperson Cian O’Callaghan.
“Young workers and families don’t stand a chance when they try to buy a home. Cuckoo funds with deep pockets are paying up to 32pc more for properties than households. This equates to a premium of more than €100,000 per home.
“Funds are not just buying properties in the build-the-rent sector – which the government has deliberately designed to lock out first-time buyers. Last year, cuckoo funds spent €2.27 billion snapping up nearly 5,000 homes for the private rented sector.
“They were actively encouraged to do this by the government, which last year slashed stamp duty rates for cuckoo funds that lease properties back to local authorities. At the time, the Social Democrats warned this tax cut would destroy ordinary buyers’ dreams of home ownership. The government did it anyway.
“On Monday, a government Minister said people should “stop complaining” and “shop around” to tackle the cost-of-living crisis. But, there is no escaping house price and rental inflation. Wherever workers and families look, they are locked out – of home ownership and, increasingly, even rental accommodation.
“The housing market in this country is broken, but this is not an accident. It has been destroyed by design. Government policy has incentivised cuckoo funds to swoop in and snatch up homes from under the noses of first time buyers. Government ministers then cry crocodile tears when it is revealed that an entire generation has been condemned to a lifetime of rent.
“The cuckoos have come home roost – because the government incentivised them to come here.”