Stamp duty hike is being planned by the Irish Government to deter investors from buying properties bulkily. Long term lease agreements are not preferred and local authorities are advised not to agree such agreements with institutional investors. The government sources said that no decisions had been finalised on how to address the issue.
If a stamp duty intervention applying to multiple unit sales was pursued, sources said it would have to be carefully designed as not to impact buyers such as approved housing bodies and local authorities. There are also concerns the wrong balance could drive off institutional investors, which the Coalition believes have a role in financing home building. Minister for Housing Darragh O’Brien had planned to consult Attorney General on options on housing planning including restricting bulk purchase of homes in less dense areas.
Despite pressure, a Government spokesman said on Tuesday night it was “hard to put a timeframe” on action. He said the Government was addressing the issue with “absolute urgency” but “can’t say what that means” in relation to identifying and implementing new rules.