Dáil Éireann Debate, Thursday - 8 September 2022
608. Deputy Sean Sherlock asked the Minister for Housing, Local Government and Heritage if he will provide an update on strengthening the mortgage to rent scheme under Housing for All to ensure that it meets the needs of those in long-term mortgage arrears. [43321/22]
Amharc ar fhreagraBoth the Programme for Government and Housing for All commits to strengthening the Mortgage to Rent scheme (MTR) and ensuring that it is helping those who need it. Building on the significant amendments already made to the scheme in 2017, the 2021 Review, which was published on the 24 January 2022, examined the impact of these changes and what further changes would benefit those in need of the scheme. While the scheme is performing well, it was assessed that some further enhancements were needed to enable more households in need of State support with their long-term housing needs to avail of this scheme. Four broad categories of actions are identified in the review, including:
broadening eligibility criteria;
improving the scheme process, structure and financing;
increasing communication and awareness raising; and
responding to developments around mortgage arrears solutions.
Full details of the recommendations and associated actions are outlined within the 2021 Review of the Mortgage to Rent scheme for people who have borrowed from commercial private lending institutions and this review is available on the Department's website under Publications: www.gov.ie/en/publication/ed57b-2021-review-of-the-mortgage-to-rent-scheme-for-borrowers-of-commercial-private-lending-institutions/
One key priority action was to broaden the eligibility criteria of the scheme. This was implemented under the scheme on 14 February 2022. These include changes to the following aspects of the scheme, which will enable more borrowers to apply:
Positive Equity: Three new limits varying from €25,000 to €35,000 apply depending on the location of the property.
Property Acquisition Limits: Increases of up to 14% on the previous limits have been implemented across two threshold areas. These limits take account of current market conditions and the recent research by the Central Bank.
Flexibility on over accommodation: The scheme now allows flexibility on the over accommodation rule where a member of the household is aged 65 or over, or has a disability.
Progress is also ongoing around the other actions outlined within the review.
