The Government is sending out mixed messages on whether it intends to increase the stamp duty rate on the bulk purchase of homes by investment firms, according to Social Democrats TD Cian O’Callaghan.
Deputy O’Callaghan, who is the party’s housing spokesperson, said:
“In 2021, the Government introduced a 10 per cent stamp duty rate in cases where 10 or more houses in a single development are purchased by a single buyer or investment firm.
“However, this tokenistic measure has been hopelessly ineffective in discouraging vulture funds from bulk purchasing homes at the expense of ordinary buyers.
“Earlier this year, the Government undertook to review the stamp duty rate after it emerged that an investment fund had purchased 46 out of 54 homes in a north Dublin housing estate.
“It has been reported that this review has now been completed but the Minister for Finance has no plans to hike the stamp duty rate – despite there being a strong case for doing so.
“This appears to be at odds with the Taoiseach’s understanding, who told me in the Dáil today that the stamp duty review is ongoing and the Government had not ruled out going further.
“I had previously proposed a 100 per cent stamp duty rate on the bulk purchase of homes, which would have amounted to an effective ban on the practice. Regrettably, this was not supported by the Government, who seem intent on kicking this urgent issue further down the road.”
May 1, 2024