Dáil Éireann Debate, Tuesday - 12 February 2019
747. Deputy Jack Chambers asked the Minister for Housing, Planning and Local Government the details of the new affordable home purchasing scheme (details supplied) being introduced; the qualifying criteria to be eligible for the scheme; when the scheme will be open to applicants; the way in which potential house buyers can apply for the scheme; if it is only open to first time buyers; and if he will make a statement on the matter. [6245/19]
View answerThe relevant provisions of Part 5 of the Housing (Miscellaneous Provisions) Act, 2009 have been commenced. It provides a statutory basis for the delivery of affordable housing for purchase by local authorities.
The primary legislation will be supported by associated regulations, which are currently at the final legal drafting stage, following extensive consultation between my Department, the Housing Agency and local authorities. The regulations, once finalised shortly, together with guidance, will be issued to local authorities.
The Scheme is based on local authorities providing, directly or indirectly, below market price housing. The local authority takes a charge against the property equal to the discount provided. The Act provides for a charge up to a maximum of 40% of the market value. The charge is fully repayable at re-sale or at the end of the charge period. Repayments will be paid into a centralised Affordable Housing Fund which will administered by the Housing Finance Agency.
To be eligible for the Scheme the applicant must be a first-time buyer, having never previously purchased or built a dwelling in the State, or owned or be beneficially entitled to an interest in any dwelling or land in the State or elsewhere, but there are limited exceptions to this, such as in the case of separation, divorce and nullity. This Scheme complements other Government actions which help first-time buyers to buy a home, such as the Help to Buy Scheme and the Rebuilding Ireland Home Loan.
