Ireland must build 50,000 new homes per year to solve the housing crisis, according to a Mason Hayes & Curran industry survey.
A total of 76 per cent of Ireland’s property sector believe 50,000 houses are needed a year, with the majority (56 per cent) believing the introduction of residential zoned land tax will disincentivise the hoarding of residential development land.
The business law firm surveyed more than 200 agents, developers and property managers at its recent ‘Real Estate, Planning and Development – Reflections & Predictions’ webinar.
A total of three out four (75 per cent) believe a developer’s planning contribution towards ‘public infrastructure and facilities’ should be set according to the estimated cost of the infrastructure
Speaking about the findings, Áine Quigley, partner with Mason Hayes & Curran said: “Residential zoned land tax was introduced by the Finance Act 2021 with a view to replacing the vacant site levy, and has the same aim – to encourage the early development of sites suitable for housing.
"Owners or others with development rights of relevant sites must either take steps to develop the land, or pay a tax of 3 per cent of the market value of the land.
"Local authorities published draft maps identifying the relevant sites on November 1st, and we expect a lot more discussion on this topic before the tax becomes payable in 2024.”
The event also discussed some key Government initiatives introduced as part of the ‘Housing for All’ plan, including Land Value Sharing Contributions.
When surveyed, three out of four (75 per cent) believe a developer’s planning contribution towards ‘public infrastructure and facilities’ should be set according to the estimated cost of the infrastructure, as opposed to any uplift in land value from being zoned residential.
