Seán Sherlock
Ceist:296. Deputy Sean Sherlock asked the Minister for Housing, Local Government and Heritage if he will report on the Housing for All support for 4,000 affordable purchase homes on average each year. [17524/22]
Amharc ar fhreagraTuesday, 5 April 2022
Ceisteanna (296, 297)
Seán Sherlock
Ceist:297. Deputy Sean Sherlock asked the Minister for Housing, Local Government and Heritage if he will report on the Housing for All new local authority led affordable purchase scheme targeting average prices of €250,000. [17525/22]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 296 and 297 together.
The Housing for All Strategy delivers on the Programme for Government commitment to step up housing supply and put affordability at the heart of the housing system, with an ambitious target of 300,000 homes over the next decade for social, affordable and cost rental, private rental and private ownership housing.
Measures to deliver this housing are supported by over €4 billion in funding annually, representing the highest ever level of Government investment in building social and affordable housing. 54,000 affordable home interventions will be delivered between now and 2030 to be facilitated by local authorities, Approved Housing Bodies, the Land Development Agency (LDA) and through a strategic partnership between the State and retail banks.
Delivery of affordable housing, in accordance with the schemes set out in the Affordable Housing Act, 2021 and the funding being made available, will be underpinned by local authorities' Housing Delivery Action Plans. Local authorities submitted their Plans to me in December 2021. Preparation of these Plans allowed each local authority to assess the level of demand with affordability constraint in their area based on the Housing Need and Demand Assessment and plan provision accordingly. The Plans are being revised and updated by local authorities in the light of ongoing engagement and clarifications, and I expect that they will be ready for publication by local authorities before the Summer. They will provide a comprehensive overview of projected delivery of affordable housing nationally.
Funding is being made available by Government to assist local authority of affordable housing delivery, for purchase and rent, through the Affordable Housing Fund, and Approved Housing Body delivery and the Cost Rental Equity Loan.
The first local authority affordable purchase homes to be completed will be at Boherboy Road in Cork City next month, where 22 two and three-bed dwellings are expected to be delivered at discounts of up to 20% on market value. These homes will range in price from €218,000 to €243,000.
Affordable purchase homes will also be delivered at Dun Emer in Lusk, Co Dublin by Fingal County Council in three phases this year. These two and three bed dwellings are expected to be delivered at an average discount of 25% on market values, ranging in price from €166,000 to €258,000. In addition, South Dublin County Council recently advertised 16 affordable purchase homes in Kilcarbery, all to be delivered this year, that will cost between €245,600 and €285,300.
The LDA has an immediate focus on managing the State’s owned lands to develop new homes, and regenerate under-utilised sites. In the longer-term, it will assemble strategic land-banks from a mix of public and private lands, making these available for housing in a controlled manner, which brings essential long-term stability to the Irish housing market.
There are 7 sites that the LDA are currently engaged in which are at advanced stages of pre development with an addition three at the early stages of pre development.
The Government's Housing for All Strategy identifies a further 20 sites, in addition to the LDA's initial sites, with the potential to yield up to 15,000 units over time. These lands will transfer to LDA ownership as soon as practicable. The LDA, in consultation with the relevant Department, will undertake the process of due diligence on these lands, which will determine the appropriate residential yield for each site and other issues arising such as relocation of services.
The First Home Scheme will be delivered via a strategic partnership between the State and participating mortgage lenders and I can confirm that all parties are working with a view to deploying the scheme by the end of Quarter 2 this year. It will improve access to newly-built homes, below the median price point, by using a shared equity model to bridge the gap between mortgage finance and the cost of new homes. This measure, targeted at First Time or fresh start buyers, will allow purchasers to exit the rental market, help to build developer confidence in realisable consumer demand, and contribute to the recovery of our construction sector following the Covid-19 emergency. It will be available nationwide.
Other measures to allow buyers to access newly-constructed housing affordably such as the Help to Buy Scheme and the Local Authority Home Loan (formerly the Rebuilding Ireland Home Loan), are also available to eligible purchasers nationally to make home ownership more affordable. Information on these schemes is available at the following links: revenue.ie/en/property/help-to-buy-incentive/index.aspx and localauthorityhomeloan.ie/.
Question No. 297 answered with Question No. 296.