Showing posts from September, 2006

Creating and Sustaining a Rental market

By Ian Casolani - PRO of the Federation of Estate Agents

The continued increase in property prices, the unfortunate growing number of separated couples, the substantial number of new properties and large developments coming on the market, all highlight the need for a healthy rental market. This is now needed more than ever before, both to provide alternative accommodation for those who cannot afford to buy their first property, and for the vendor to satisfy the objective of those buying property for investment purposes or rental return.

To date, this market is governed by outdated and inadequate licensing policies and tax structures. Properties rented out on a long let basis for some reason still fall under the same tourism authority licensing guidelines for holiday premises, and the landlord is expected to pay an exorbitant licence fee equal to one month’s rent. This applies to rentals to foreigners and is subject to various conditions, including how long the tenant has been residing i…