Vacant Homes Tax (VHT) exemptions

Paula listed her vacant one-bedroom apartment for sale with an asking price of €500,000. Similar properties have recently sold for €200,000. As the price sought for the property far exceeds the market value, the VHT exemption does not apply.

Pat listed his vacant four-bedroom detached house for sale with an asking price of €600,000. Similar properties in the same estate have sold for €400,000 in the previous 12 months. Pat recently redecorated the property and feels the higher price is appropriate. This is not a genuine and objective reason to justify the higher asking price. The price sought for the property exceeds the market value in this case and the VHT exemption does not apply.

Helen listed her vacant three-bedroom detached house for sale with an asking price of €550,000. Similar properties in the same estate have sold for €425,000 in the previous 12 months. However, the garden of the property is twice the size of every other house in the estate. There is potential to develop another residential property with independent access on its grounds. In this case, the higher asking price is justifiable and the VHT exemption may be claimed.

Toby is selling his vacant residential property in a seaside town. He wishes to retain the right to put a mobile home on the lawn each summer. This is an example of a condition that is designed to impede or disrupt a sale. Toby could not expect this condition to be acceptable to a reasonable purchaser. The VHT exemption will not apply in this case.

Claire owns two properties next to each other and decides to sell the one she is not living in. She wishes to retain a right of way over the avenue leading up to the residential property for sale. Her home has always been accessed via the avenue to the residential property for sale. There is no reasonable alternative access available to Claire. This condition is not designed to impede a sale and the VHT exemption may be claimed in this case.

Liam listed his vacant one-bedroom apartment for rent at €3,000 per month. Similar properties have recently rented for €1,500 per month. As the rent sought far exceeds the market rent, the VHT exemption does not apply.

David advertised his vacant apartment for rent at €2,200 per month. He sought six months’ rent in advance as a security deposit. This condition is likely to impede or disrupt putting a tenancy agreement in place. Therefore, David is not entitled to the benefit of this VHT exemption.