A Rent Pressure Zone is an area in which the rent cannot be increased by the landlord over 1% per year, which is in line with the rate of inflation.
Note: If the general rate of inflation increases by more than 2%, then the rent increase caps at 2%.
These zones are typically located where rent prices are at their highest and steadily increasing. They are used to cap rent in an affordable bracket for tenants maintaining the rental market at a sustainable and achievable rate. Such areas include Dublin City Centre and nearby suburbs. This ensures that local market rents are not excessively exceeded by landlords.
Landlords are subject to 24 month certainty laws when conducting rent reviews. This means that landlords cannot increase rent or conduct a rent review 24 months from the commencement date of the tenancy. After the first rent review takes place, the landlord may conduct a rent review every 12 months.
In addition, a landlord must provide their tenants with a period of notice of rent review which amounts to 90 days. Failure to do so may amount to an invalid notice of rent review.
Rent may be reviewed without an obligation to increase the rent on the landlord.
To calculate the amount of rent in line with the rules of Rent Pressure Zones, click here.
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