COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL

MEETING OF SOUTH DUBLIN COUNTY COUNCIL

Monday, May 10, 2010

QUESTION NO 12.

QUESTION: Councillor E. Tuffy

To ask the Manager if there how many shared ownership agreements, if any,  have been entered into by the Council with purchasers in the years 2006 to 2009 inclusive, and if the Council envisages increased activity in this form of home acquisition in the near future as a result of the substantial drop in house prices? 

REPLY:

During the  period from 2006 to 2009 the Council advanced two Shared Ownership loans. To date South Dublin County Council has advanced 1,184 shared ownership loans from 1999 to 2009. Shared Ownership was a very successful way of allowing first time buyers to enter the property market.

The number of Shared Ownership Loans advances decreased due to the increase on the amount the Council could advance through the Affordable Housing and House Purchase loans which are traditional annuity based mortgage models. The maximum amount available is currently €220,000. The amount advanced would be dependent on the borrower(s) income and credit history. For more details on these schemes see links below;

House Purchas Loan Application Form

Eligibility and Income limits for House Purchase Loan

Affordable Housing Application Form

The House Purchase Loan has a major advantage over the Shared Ownership Loan model in that the borrowers do not have to make any additional provisions to pay off the rented equity lump sum as it is an annuity type mortgage. The loan will expire within its original term, once the repayments are kept up to date.

As the economy recovers it is envisaged that activity under the House Purchase Loan will increase as the amounts available under the loan would cover the market value of a substantial number of properties around the county.