Residential Tenancies Act 2026 creates ‘layered system’ after 100 days

Residential Tenancies Act 2026 creates 'layered system' after 100 days

This week marks just over 100 days since the new residential tenancies rules came into effect on 1 March 2026. The initial effects of the legislation on tenants, landlords, and housing supply have been widely felt across the country.

Since the introduction of the legislation, the real estate Team at Whitney Moore has seen a marked increase in enquiries from both landlords and tenants seeking advice on the rules that apply in their specific tenancy. While landlords and tenants may previously have been clear on what their rights and obligations were, the position has become more complex.

The implementation of the new rules coincided with reports of rent increases and a surge in termination notices.

Rory McDonald, partner at Whitney Moore, said: “Reports of significant rent increases around the introduction of the new residential tenancies rules come as no surprise. The ability to reset rents to market levels between tenancies was always going to have an immediate inflationary effect.”

Regarding the high volume of termination notices issued in the run-up to the new rules, Mr McDonald said: “The record level of termination notices issued in the lead-up to commencement was also a predictable market response, particularly the high proportion of them citing an intention to sell. Landlords concerned about the possibility of significantly restricted termination rights under the new six-year Tenancy of Minimum Duration regime understandably would have acted in anticipation of that. The Residential Tenancies Board has itself acknowledged that a downward trend is now emerging, which is encouraging, but the transitional pain for tenants has been real.”

The Act has changed how legal rights and duties are determined, dividing the market based on dates, landlord types and certain accommodation types.

Mr McDonald explained the operational impact: “One of the more complex legacies of this legislation is the multi-layered system it has created. The first question in any tenancy matter is now: when was the tenancy created? Everything flows from that. The grounds on which a termination notice can be issued and the procedures that must be followed to make that notice valid in the first place. Get the answer wrong, and the legal position that follows may be entirely different from what was assumed.

“The distinction between small and large landlords adds another layer. The same termination ground that is available to a landlord/individual with two properties may be entirely unavailable to one with four, or to a company with one.

“Different rent control rules again apply to new apartments and student-specific accommodation.”

Despite the initial disruptions, data regarding future housing supply show some positive developments.

Mr McDonald noted the supply-side trends. He commented: “The more encouraging story here is on the supply side. The pipeline data from Dublin is genuinely positive — apartment construction activity is up, planning permissions are increasing, and institutional capital is beginning to move. The Sisk/D-RES partnership and the Oaktree IPO are exactly the kind of developments the Government was hoping to catalyse. If that supply comes through at scale, it will do more to stabilise rents than any control mechanism ever could.”

On the overall outlook after the first three months, he concluded: “It is too early for a final verdict on the 2026 Act. The short-term market disruption was real and was borne disproportionately by the tenants the legislation was designed to protect. But the structural direction of travel — greater security of tenure, a national rent control framework linked to CPI with the availability of resets to market level between tenancies, and a regulatory environment that is at last attracting institutional investment at scale — points in the right direction. The test will be whether the supply pipeline delivers. If it does, we may look back on this period as a necessary, if painful, reset. In the meantime, careful consideration by landlords and tenants as to what rules apply to their specific tenancies is imperative and legal advice should be sought if there is any doubt.”

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