Vol. 543 No. 4
63 Mr. N. Ahern asked the Minister for Finance if European or national data is available on the affordability of houses; if he will outline the trend on affordability over recent years; the way in which Ireland compares with other EU countries in this regard; if the price of houses com pared to income is a cause for concern; and if he will make a statement on the matter. [27341/01]
The Government interventions in the housing market over recent years have been designed to increase supply, reduce pressure on house prices, and afford greater access to the housing market for first-time purchasers. It is clear from a variety of indicators, including house completions, price data and new house grant applications, that these interventions have been effective.
The Central Bank's Winter 2000 Bulletin indicated that the mortgage repayment burden as a percentage of average household disposable income stood at 28% in 2000 compared to 33% in 1992 and 49% in 1982. This reflects a number of complex components such as average size of mortgage, obviously related to house prices, the rate of interest charged which has fallen substantially in recent years as well as disposable income which has also improved considerably during this Government's term.
Comparative data on housing affordability in EU member states is contained in Housing Statistics in the European Union 2001, a copy of which is available in the Oireachtas Library.
