Recent Residential Tenancies Board (RTB) and Central Statistics Office (CSO) statistics regarding rental increases and housing price increase have again highlighted the affordability difficulties faced by renters and households looking to get a new home. It's a multifaceted problem that needs a combined collaborative approach between public and private sectors to increase housing supplying make homes available.

With shadow cost of funding currently at 130% to the state it makes sense not to charge the 10% stamp duty when the units are going to be rented on to the state.

This situation has existed in PPP projects for some time now where the state is charged a mark up on a number of taxes. 

They take with one hand and give back with another - eliminating the charge lowers the overall funding cost to the state of the transaction as the above example shows.

With housing demand continuing to increase supply will take a while more to catch up with demand. Significant year on year growth in output is required to eliminate the supply deficit by 2026. 

Lots of discussion over the past week on whether #apartments should have been included in new planning permission conditions & owner occupier guarantee.

The all in cost of apartments is higher than an equivalent sized house and there are a lower number of purchasers that can afford an apartment.

Institutional investment has a role to play in supporting new supply, particularly in delivering high density apartments that would otherwise not be built.

Delivering houses and apartments by the State at a lower cost will require an amount of subsidy in addition to efficient procurement & delivery - there will also be a significant lead in time to delivery of the homes.