Setting Rents for Private Tenancies

From March 1st 2026, a new national system of rent control was applied to all private tenancies, that commence after this date. The new legislation has come under plenty of media scrutiny and much of the reporting has created fear and uncertainty. Hopefully this piece explains the legislation clearly and assuages peoples fears. Before continuing, it is important to note that the legislation only applies to tenancies that commence after March 1st 2026.

The new legislation affects three main areas:

1. Ability to set Rent at Market Level

Provided a tenant serves notice, a landlord can reset the rent to market level when re-letting. Any rent increases during a tenancy are restricted by the Rent Caps; more information on the caps is covered in this blog post on Guide to Rent Caps.

However if a no fault eviction notice is served and the property is becomes available for rent within two years of the last tenant leaving, then the rent stay with in caps. This extends to when a property is a sold and a new owner decides to rent out the property.

In the case that a landlord serves notice that is not a no fault eviction, then rent can be re-set to market level for the next tenancy. These include:

• The property is no longer suitable for the needs of the tenants
• The tenants are in breach of their obligations

More information about notices are covered in Part 4 of the Residential Tenancies Act Explained.

2. Increased Compliance

When setting rent a landlord is obliged to consult with the RTB Rent Register.  By inputting the below details,

• Dwelling type
• BER
• Number of Bedrooms
• Floor space in Sqm

The register will select the 10 closest matches to properties that have been registered in the last 3 months.  There seems to be scope to set rents above the levels quoted on the register, however there needs to be strong justification.  We feel that for a very marginal gain in most cases, a landlord is leaving themselves open to challenge and potential resultant consequences.

We are finding that there are already strong rents being quoted on the register.   Conversely, rents advertised at unrealistically high levels obviously aren’t being achieved, otherwise these rental levels would be reflected on the register.

Once a tenant is sourced, a Notice of Rent Setting must be submitted both to the tenant and the RTB on the same day.  The Notice of Rent Setting, can be downloaded on the RTB website and a copy of the Rent Register results must accompany this.  If the RTB and the tenant are not notified on the same day the notice can be deemed invalid.  We advise this is done on receipt of the deposit from the tenant, which is often prior to the commencement date.

3. Security of Tenure

Tenants now have rights of occupation of up to six years from the commencement date.  Properties can still be sold during this time but only with tenants in situ.  Whether you are a small landlord or a large landlord has further bearing on this.

A small landlord as defined by the legislation is one that has three or more registered tenancies and have the below rights:

• Ability to terminate tenancy for personal or family use. In the first six years, this must be for immediate family only.  After six years, this extends to non-immediate family members.
• At the end of the first six year period, notice to sell can be issued. This needs to be issued prior to the end of the period.

A large landlord as defined by the legislation is one that has four or more registered tenancies. In this case a tenant has indefinite rights of occupation.  There is no break in year six allowing a landlord to sell with vacant possession.

For both small and large landlords, rent can be re-set in year six, following the notice of rent setting process outlined above.

Tenant selection, correct procedure and compliance have never been more important and a misstep can prove costly.  Brock Delappe have both an experienced letting team and a dedicated compliance team to ensure your property interests are protected.  Contact us anytime and we’d be delighted to discuss your property needs.