Rent Cap Locks Billions of Euros Out of Irish Housing, CBRE Says
- Controls curbing investment, on top of increased costs: report
- Irish housing market is suffering from chronic under supply
Housing is one of the biggest issues facing the Irish government ahead of an election that must be held by March next year, as demand for accommodation outstrips supply.
Photographer: Paulo Nunes dos Santos/BloombergIreland’s rent controls are deterring overseas investors in the local residential real estate market and keeping out billions of euros, according to a study by CBRE Group Inc.
Only one forward structured residential transaction — in which an investor agrees to buy a development early or mid-construction stage — has been reported since the start of 2023, the property broker’s research arm said in a report Wednesday. That compares with forward commitments that formed the bulk of the €9.5 billion ($10.6 billion) injected into the market by institutional investors between 2018 and 2022, it said.