The Residential Tenancies (No. 2) Bill 2021 was signed into law by the President Michael D Higgins last Friday. This means that from the 16th of July you can no longer apply a 4% rent increase and must instead link any rent increases on properties in Rent Pressure Zones (RPZs) to inflation.
The Bill ensures rent increases must now be in line with the Harmonised Index of Consumer Prices (HICP).
The Residential Tenancies Board confirmed the new rent increase rules will only take effect from 16th of July. Accordingly, any valid notice of rent review now served in relation to a tenancy in a Rent Pressure Zone cannot provide for a rent increase that exceeds inflation.
It has been confirmed that any valid notice of rent review in a Rent Pressure Zone served prior to the 16th of July can give effect to a rent increase of up to 4%.
Landlords must use the RTB’s Notice of Rent Review Form when issuing a rent review – other forms of communication about the rent increase, such as emails, text messages and spoken messages are not valid forms of notice under the law.
Tenants must get at least 90 days’ notice of a rent review, meaning the new rent cannot then apply until 90 days after the notice has been issued.
The landlord must also notify the RTB of the revised rent so that it can update the registration details of the tenancy.