WHAT COST RENTAL IS?

Created on: February 15, 2024
Modified on: February 15, 2024

Cost Rental is a new form of rental tenure designed to assist a cohort of renters who face significant affordability challenges meeting high rents in the private sector.

Initial rents for Cost Rental tenancies are set based on the calculations of the costs of providing the homes over 40 years. This includes an assumption for inflation of both rents and the ongoing costs of managing and maintaining the properties. This gradual increase in rents not only ensures that rents remain constant in real terms over the long-term, but also ensures that the initial rent charged to the tenant is as low as possible.

According to Affordable Housing Act 2021. It offers a long-term, secure rental option that will contribute to the development of a sustainable housing market in Ireland which provides choice across all tenures. The rent on these units is based on the cost of building, managing, and maintaining the homes.

To be eligible for consideration for Cost Rental Housing, you must meet the following criteria:

  • Your net household income is below €66,000 per annum for Dublin and €59,000 for elsewhere in the country. Applicants will have to prove how they have calculated their net household income.
  • You are not in receipt of any social housing supports (including Rent Supplement or HAP)
  • You do not own a property
  • Your household size matches the size of the property advertised (All members of the household must be living in Ireland at time of applying.
  • You can afford to pay the cost rent for the home.
  • Your household has only entered one application for a specific cost rental property

 

Terms and conditions for cost rental housing in Ireland are set out in the Affordable Housing Act 2021.