This is the third half-hearted and ineffective attempt to deal with big funds buying up entire housing developments
The proposal going to cabinet today to allow local authorities reserve up to 50% of new developments for owner-occupiers does not go far enough, according to the Social Democrats Housing Spokesperson Cian O’Callaghan.
“With this latest measure, the Government is staying true to form. This is the third half-hearted and ineffective attempt to deal with big funds buying up entire housing developments.
“How can the Government, on the one hand, organise international roadshow events to invite more institutional investors into the residential property market and on the other tell us they are serious about limiting the involvement of these funds?
“The proposed measures could see just up to half of new developments being reserved for those who want to own their own home. The Minister must explain why this measure is being capped at 50%. This signals the Government is happy for investment funds to buy up the remaining new-build homes and runs the risk of institutionalising this practice.
“Thousands of renters around the country are hoping to buy a home to escape the trap of paying extortionate rents. Effectively reserving large swathes of new-build developments for investment funds will make it harder for individual buyers to compete and will only serve to push up prices even further.”
9 November, 2021