Dáil Éireann Debate, Thursday - 16 February 2012
73 Deputy Michael Conaghan asked the Minister for Finance if the provisions of the Finance Bill that offer additional mortgage interest relief to first-time buyers who purchased their homes between 2004 and 2008 can be extended to second and third-time buyers who purchased during the same period. [9123/12]
View answerThe position is as I stated in my Budget day speech, that the Government has now fulfilled its commitment contained in the Programme for Government to increase the rate of Mortgage Interest Relief to 30 per cent for first-time buyers who took out their first mortgage in the period 2004 to 2008. I have sought to be as flexible as possible within the constraints pertaining. The increased rate of mortgage interest relief will be available to individuals who made their first qualifying purchase during the specified period, 2004 to 2008 inclusive. If these individuals made subsequent qualifying purchases in that period, they will also be able to avail of the increased rate in respect of those purchases.
Individuals who did not make a first time qualifying purchase during 2004 to 2008 will not be entitled to the increased rate. However, non-first-time buyer's relief is available at a rate of 15% on ceilings of €3,000/€6,000 for single/married. Mortgage Interest Relief is set to end for all individuals at the end of 2017.
I do not intend to extend the parameters of the measure any further as the initiative would become less targeted and would increase the cost of the measure.
