New data from estate agent Sherry FitzGerald suggests that around 6,000 tenancies were lost in the rental market in the first six months of the year.
In its latest quarterly report, the agency said that between January and June only 12% of purchasers of second-hand homes through them were investors while 35% of vendors were investors selling their properties.
Managing Director Marian Finnegan said this suggested a net loss of about 6,000 tenancies to the rental market.
“The analysis of the first six months reveals a return to a more normal level of price inflation in the residential market. This comes after two years of heightened inflation in the post-Covid period,” she said, having reported that the price of second-hand homes had risen by 3.4% on the 12 months to June, down from a rate of almost 10% this time last year..
“However, the underlying challenges in the residential market remain, including the risk surrounding output in the new homes sector and a further net loss of 15,000 units from the private rental market,” she said.
“Therefore, urgent policy changes are needed to address both the immediate and long-term challenges in the lettings market in order to stabilise the emergency in the rental sector,” said Ms Finnegan.
