Renters expected to fall into difficulty as wage supports are withdrawn - SCSI

(PA)

Ellie Donnelly Twitter Email

August 24 2020 08:29 AM

Renters are expected to fall into difficulty as wage supports are withdrawn, according to a survey from the Society of Chartered Surveyors Ireland (SCSI).

To-date the residential rent sector has largely been protected from the worst impacts of the global pandemic through the use of both income and rental supports.

However, around 8pc of tenants have failed to pay their monthly rent as a result of Covid-19, according to the report.

“As rental supports are reduced it is likely that the figures for rent arrears will grow,” TJ Cronin, SCSI vice president, said.

“It’s also likely that the rental market for young professionals and students will be especially impacted because of Covid although as with house sales, the market will be underpinned by the well documented lack of supply,” he added.

Meanwhile, two thirds of agents reported that property values had remained unchanged compared to pre-Covid-19 times.

Nonetheless, 28pc reported that values had declined.

Three out of four agents said that purchase inquiries had increased or remained the same compared to pre-Covid-19, while 63pc of respondents said there had been an increase or similar number of property viewings.

Elsewhere, Mr Cronin said he believes the dramatic rise in home working as a result of Covid-19 has made home ownership even more attractive in the post pandemic era.

“One of the trends we are seeing is increased interest in out of town properties which can facilitate home working,” he said.