I think the reason for that is because Landlords feel if someone is paying for something they technically should have more respect for it so it a couple are forking out €800pm with their money as a security deposit then they want to keep the house/apartment nice and get their deposit back.
Whereas RA don’t fork out €800 out of their own pockets so could be less concerned about the upkeep.
I think the point being made is that the workers, in this instance, get a property that could be rented at the RA limit of Euro 875 at a rent that is lower. So, they are getting a “discount” versus the market rate because they are presumed to be more desirable tenants. If landlords have a preference for non-RA tenants its probably inaccurate to assume workers “get to rent properties that are less desirable than RA properties”
My own theory is that some landlords are not paying tax/correct tax on their ‘hobby’. If a tenant is in receipt of rent supplement, there is an obligation to provide your pps number and apparently government computers are talking to each other now.
No doubt you can tell us how many of these landlords are registered with the PRTB (as they have to be to accept Rent Allowance)? Aren’t only about 60% of tenancies registered? I would imagine that a large majority of the higher value rentals are legitimate so there is probably a disproportionate number of the lower end of the market that is not. That seems like a fair conclusion, no? Do you bother with the PRTB? Why not?
I remember being screwed by a landlord who once I had commited myself to an apartment insisted on cash payment only and insisted on letting himself in to collect it every month. f8cker of a cute hoor landlord. as I was stuck with nowhere to rent the next month my principles had to be set to one side. Estate Agent was dealing with payment details so it was purely the landlord who was being the sly f8cker here.
My workmate pays €350 cold rent for a 48sq. metre(520 sq ft) 2 bed apartment in a nice green part of Darmstadt. When we start getting down to those sort monthly rental figures then come back to me about rent allowance not having an impact on the dublin rental market.
Eg, for two people sharing a 2 bed apt in Dublin, the maximum rent is €600. Only in the case of a couple with one child, or single parent with child, and only in Dublin, does the figure of €875 apply.
This is the maximum rent that you can pay while being eligible for RA… it’s not the amount received by tenants. They will have to contribute a minimum of €30 per week. So in the case of the two single people sharing above, they would only receive approx €350 per month towards the total rent.
Finally, I have never ever heard of a case of tenants getting deposit/first month’s rent through RA - although a Welfare Officer may award it to people coming from a homeless background.
There is so much misinformation in this country around welfare.
Eh? Based on what evidence? You have found a couple of hundred properties priced below the Rent Allowance threshold and you have been presented with numerous reasons why your massive leap towards your conclusion has fallen short.
However, it is one of the Government’s stated policies to set the levels of Rent Allowance at a level to undermine the rental market, so for the good of the wider society we can only hope that they are successful. There is no economic loss in distributing wealth from one sector to another, right?