New income eligibility limits for Cost Rental take effect from August 1st 2023. The new limits were announced recently as part of the Government’s launch of the Secure Tenancies and Affordable Rent (STAR) Investment Scheme.
The new limits will see those with net household income of €66,000 or less eligible for Cost Rental housing in Dublin while in the rest of the country the limit is €59,000. This replaces the former national net income limit of €53,000.
The increased thresholds recognise that prevailing rents in the private market have increased significantly in recent years and a large cohort of private renters are experiencing severe affordability challenges, particularly in Dublin. The new thresholds will apply across the Cost Rental sector to all delivery streams – by AHBs, Local Authorities, the LDA, and any Cost Rental landlord.
Commenting about the changes in income eligibility limits, Minister Darragh O’Brien said, “the changes we are making to the income eligibility limits are in recognition of the fact that significant inflation, interest rates and prevailing rents in the private market have all increased. These changes will result in more families and individuals being able to avail of Cost Rental.”
“Cost Rental is a new form of housing tenure in Ireland. It’s State backed and the tenancies are long-term, a minimum 40 years. Tenants are charged an amount that covers the cost of delivering, managing, and maintaining a home only which means it’s not driven by profit and is more affordable for tenant.”
“Government are focussed on increasing the number of Cost Rental homes which will ultimately have a positive impact on the overall rental market. We want to see thousands more safe and secure cost rental tenancies in place and the announcement last week of the new STAR investment scheme will help us to do just that.”
