Cost Rental, the State scheme to supply accommodation at below market prices, offers properties at a discount of 29.9% to private tenants, an analysis by the Economic and Social Research Institute has found.
The study, funded by the Department of Housing, said that the scheme is concentrated in Dublin area.
The ESRI said expanding the presence of Cost Rental to other urban centres and regional towns facing affordability challenges will be important.
Cost Rental sets rents based on the economic cost of the provision of the accommodation rather than the price in the open rental market.
Professor Conor O’Toole, co-author of the report, said: “These findings show a clear affordability benefit for households in Cost Rental properties relative to what they would face in the private market.”
The study recommended that periodic reviews of the scheme such as income thresholds and affordability criteria could help broaden access across and support wider geographic delivery.
