asked the Minister for Local Government if he will state in respect of the Dublin Corporation tenant purchase scheme whether any allowance is being made to prospective purchasers, consideration of whose applications was delayed for a period of one year or more, by the corporation's valuer.
Ceisteanna—Questious. Oral Answers. - Dublin Tenant Purchase Scheme.
44.
Yes. The corporation proposed and I agreed last July that there should be a reduction in the approved price for tenants who applied to purchase in the year ended 31st March, 1970, and who were not notified in that year of the price at which the corporation could sell. This reduction enables the corporation to sell the houses at their market value at the date of valuation, or in the quarter in which the purchase application was made, whichever is the lower, provided the reduced price is within 10 per cent of the market value in the approved purchase scheme.
In applying the 10 per cent, the corporation allow the full reduction where the application was received in the March-June quarter of 1969; 7½ per cent where it was received in the July-September quarter; 5 per cent in the case of the October-December quarter and 2½ per cent in the case of the January-March quarter of 1970. Tenants were notified of the net value after the deduction had been made. I have now asked the corporation to quote the gross price and give the deductions separately. Under the scheme, a tenant who applied in, say, March-June period to purchase a house valued in the scheme at £2,000 could have the price reduced by up to 10 per cent, to £1,800. If he were entitled to the full tenancy discount he could get a further reduction of £600 bringing the net price of the house to him to £1,200.
Is the Minister aware that because the purchasers were not acquainted of the discount, this led to understandable dissatisfaction among them? Can he say whether his request to the corporation will be changed to a direction that in future they should tell applicants that this discount is being allowed to them?
I expect that the corporation will comply with my request so that the purchasers or intending purchasers will be aware of the amount of the deduction from the gross price quoted. The maximum reduction which can now be made is 40 per cent from the price quoted originally.