Government needs to develop a plan to provide affordable housing instead of telling landlords to lower rental prices, according to Opposition Housing Minister Wayne Furbert.

In yesterday's Royal Gazette, Housing Minister Ashfield DeVent criticised "greedy" landlords who forced "an average family out of a house" by charging high prices for rent. Mr. DeVent made his remarks after The Royal Gazette highlighted a five bedroom property that was on the market for $32,500 a month.

But yesterday Mr. Furbert defended rental rates, saying: "There will always be a certain market for certain people who will pay that price."

Mr. Furbert said a property owner could rent for whatever price they want if there are people who can afford those rents.

He said Government has failed because it had no plan.

"Government hasn't come up with a clear policy and has let people down," he said.

"These houses that are $32,000, there are very few people who can afford that type of property, but there are people who will pay that price."

He said "tax incentives" for property developers would help lower rents.

"Government needs to get on with tax incentives to allow for rents to fall so contractors will build homes that are affordable."

Developer and former Progressive Labour Party candidate Rodney Smith also said Government should give tax breaks and deferred customs payments to entrepreneurs to allow cheaper housing on the market.

On publicly-owned land, Government could write off costs which would mean the house price would be reduced when a home came on the market.

"If this system is to work, then this cannot be seen as a free gift to prospective home owners, but to the contrary, it must be viewed as an assistance and, as such, the true benefit has to be reaped by the Government and people of Bermuda," he said.

"This is accomplished by both limiting the cap on the resale price of the homes and also giving back to the Government the first option to buy the house at that reduced price."

He also argued that international companies should not be allowed to enter the residential housing market without first having Bermudian landowners or investors as partners.

•Another high priced rental, listed through Rego Realtors, is a five-bedroom, five bathroom home on the waterfront in the exclusive residential area of Tuckers Town. The property rents for $75,000 a month.

Rego Realtors president Buddy Rego said rentals with such a price tag are "exclusively vacation rentals".

"Primarily the houses are more attractive to a family who wishes not to pay for many hotel rooms," Mr. Rego said.

He added that Tuckers Town homes are generally rented by families. The property is listed as a short- term rental on the companies website.