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Tenant Purchase Scheme

Dáil Éireann Debate, Tuesday - 26 March 2019

Tuesday, 26 March 2019

Ceisteanna (1363, 1388, 1397, 1410)

Eoin Ó Broin

Ceist:

1363. Deputy Eoin Ó Broin asked the Minister for Housing, Planning and Local Government the number of tenant purchase sales approved in each year since 2000, in tabular form. [12847/19]

Amharc ar fhreagra

Mattie McGrath

Ceist:

1388. Deputy Mattie McGrath asked the Minister for Housing, Planning and Local Government if a review of the tenant purchase scheme is nearing completion; if the qualifying conditions of same will be changed for persons, particularly older persons who may be in receipt of a pension but have a proven capacity to purchase their house using sources such as from savings or help from family members or proven income; when he expects to issue the report and its recommendations; and if he will make a statement on the matter. [13087/19]

Amharc ar fhreagra

Charlie McConalogue

Ceist:

1397. Deputy Charlie McConalogue asked the Minister for Housing, Planning and Local Government the status of the final report on the tenant purchase scheme; if it will be published; and if he will make a statement on the matter. [13292/19]

Amharc ar fhreagra

Willie Penrose

Ceist:

1410. Deputy Willie Penrose asked the Minister for Housing, Planning and Local Government the way in which a couple with a tenancy of more than 20 years can participate in the tenant purchase scheme (details supplied); and if he will make a statement on the matter. [13525/19]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1363, 1388, 1397 and 1410 together.

The Tenant (Incremental) Purchase Scheme is open to eligible tenants, including joint tenants, of local authority houses that are available for sale under the Scheme. To be eligible, tenants must meet certain criteria, including having a minimum reckonable income of €15,000 per annum and having been in receipt of social housing support for at least one year.

The minimum reckonable income for eligibility under the scheme is determined by the relevant local authority in accordance with the detailed provisions of the Ministerial Direction issued under Sections 24(3) and (4) of the Housing (Miscellaneous Provisions) Act 2014. In the determination of the minimum reckonable income, local authorities include income from a number of different sources and classes, such as from employment, private pensions, maintenance payments and certain social welfare payments, including pensions, where the social welfare payment is secondary to employment income.

In determining reckonable income, the income of all tenants of the house, including adult children that are joint tenants, is included, as is the income of the spouse, civil partner or other partner/co-habitant of a tenant who lives in the house with them, thus ensuring the appropriate level of discount is applied to the purchase price.

The minimum income criterion was introduced in order to ensure the sustainability of the scheme. Applicants must demonstrate that they have an income that is long-term and sustainable in nature. This ensures that the tenant purchasing the house is in a financial position, as the owner, to maintain and insure the property for the duration of the charged period, in compliance with the conditions of the order transferring the ownership of, and responsibility for, the house from the local authority to the tenant.

My Department publishes information on the sale of local authority houses each year. This can be accessed on my Department's website at the following link:

www.housing.gov.ie/housing/statistics/social-and-affordble/other-local-authority-housing-scheme-statistics.

Sales of houses between the years 2000-2015 were made under the terms of the 1995 Tenant Purchase Scheme or the 2011 Fixed term Tenant Purchase Scheme for long-standing tenants.

The Housing (Sale of Local Authority Houses) Regulations 2015 set the commencement date as 1 January 2016 for the introduction of the current incremental tenant purchase model. All sales from 1 January 2016 have been made under the terms of this Scheme.

In line with the commitment given in Rebuilding Ireland, a review of the operation of the first 12 months of the Tenant Purchase (Incremental) Scheme has been completed and a full report has been prepared setting out findings and recommendations. Following consideration of a number of implementation issues arising, I expect to be in a position to publish the Review shortly.

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