Demand for homes in Cork cost rental schemes far outstripping supply 

A cost rental housing scheme in Cork saw 56 times more applicants as there were homes available, as a local councillor said such schemes are having a “small to negligible effect” on the housing crisis.

Figures provided by Cork County Council showed that 1,862 families or individuals have applied for just 85 homes across its cost rental schemes - meaning less than 5% of applicants were successful in their bid.

These schemes target middle-income households with incomes above the social housing limits, but who are struggling to meet private market rent levels.

Under the model, rents for homes are set to cover only the cost of financing, building, managing, and maintaining the homes rather than being subject to market driven movement.

State subsidies reduce the initial capital cost and make the starting rent more affordable.

In Carrigtwohill, there were 268 applicants for just eight homes in phase one of a scheme, and 683 applications for 12 homes in the second phase.

Ringaskiddy saw 398 applications for 17 homes; Midleton 199 for 10, and Youghal 105 for eight.

The demand was slightly lower in West Cork, with 159 applications for 20 Bandon homes, and 50 for 10 homes in Bantry.

Affordable Purchase Scheme

Further figures by Cork County Council showed that there were 1,254 applicants for 266 homes under the Local Authority Affordable Purchase Scheme, which makes council-provided homes available at a reduced price for eligible applicants.

In return, the local authority takes a percentage equity stake in the affordable purchase home equal to the discount of the purchase price from the full market value.

The most popular scheme was in Carrigaline, where 229 people applied for 30 homes, while on the lower end of the scale, there were 20 applications for 28 homes in Kanturk, the only scheme where the majority of applicants were successful.

Hundreds more applied for housing schemes in Midleton, Macroom, Youghal, Cobh, Fermoy, Mallow, Bandon, Carrigtwohill, Bantry, and Gaeltacht village Baile Mhic Íre.

East Cork Social Democrats councillor Eamonn Horgan said that the figures were “stark but not surprising.

“Any time an affordable or cost-rental scheme opens up, I get a huge surge in communication from constituents.

“The cost of housing to buy or to rent is now beyond so many working people or families and these schemes offer a real opportunity for many to have a home. But the fact is we are still building too few social, affordable, and cost rental homes.”

Mr Horgan said that despite “huge development” of housing in his constituency, the fraction of affordable and cost rental homes built has been proportionately small.

“There seems to have been so many schemes launched by this and previous governments, with a small to negligible impact on the overall housing crisis.”