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Calls For The Return Of 100% Mortgages

By Gary Brennan
3 days ago
Est. Reading: 2 minutes

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There's a call for the return of 100% mortgages.

Independent Ireland wants them introduced to help first time buyers get their first home.

Central Bank rules don't allow for such mortgages since the financial crash.

It comes as the product, synonymous with the Celtic Tiger era, has increased in popularity in the UK.

In Ireland, however, 100% and 95% mortgages are not available under Central Bank lending rules that came into force in 2015.

Last week, another lender in the UK introduced a 100% mortgage to the market. It is not available for new build properties and comes with an initial higher interest rate (5.99% compared to an average of about 4%).

Meanwhile, Opposition parties involved in 'Raise the Roof' initiative are calling for a housing demonstration in June.

The Cabinet is not expected to discuss proposals that could potentially change the rules around rent pressure zones this week.

The matter will not be examined by Government party leaders tonight either, amid a growing sense that any changes in this area will require detailed work.

The Housing Agency recently delivered a report on rent pressure zones to Minister for Housing James Browne.

The legislation underpinning the current system expires at the end of the year and it is currently under review.

However, Social Democrats housing spokesperson Rory Hearne warned there would be fireworks if renters' protections were removed.

He was speaking at the launch of a 'Raise the Roof' protest in Leinster House, which is being coordinated by Sinn Féin, Labour, People Before Profit-Solidarity and the Social Democrats.

The parties will put down a joint motion on housing on 17 June and are calling for a demonstration outside Leinster House at 6pm that evening.

Sinn Féin's Eoin Ó Broin said the biggest offenders when it comes to the housing crisis are the Government.

"Our biggest problem is that the State is not investing enough and not delivering social, affordable rental and affordable purchase homes faster," he said.

People Before Profit-Solidarity TD Paul Murphy warned that if things continue on their current path there will be more than 20,000 people in emergency accommodation by the time of the next election.

Labour's Marie Sherlock accused the Government of going backwards rather than forwards with regards to housing.

"That is why people must come out for that Raise the Roof protest in June, because we have to make it very clear to Government that we cannot continue, we have to have a radical reset," she said.

It is expected that a major forum involving housing bodies, advocacy groups, charities and builders will be convened by the Housing Minister next month.

This meeting will then feed into the revised Housing for All strategy, which is expected to be published in July.

 

 

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