Momentum Building in Ireland’s Housing Market, Claims Housing Minister
Ireland’s Housing Minister, Darragh O’Brien, has stated that momentum is building across all sectors of the country’s housing market. During an interview on The Pat Kenny Show, Minister O’Brien expressed confidence that the government has exceeded its target of constructing 29,000 homes in 2023. The official figures for annual performance will be published next week. Minister O’Brien also highlighted that 600 first-time home buyers are drawing down mortgages every week in Ireland.
Sinn Féin Motion to Address Investment Funds’ Bulk Purchasing
In related news, a Sinn Féin motion aimed at targeting investment funds’ bulk purchasing of homes through an increase in stamp duty is set to be heard in the Dáil (Irish Parliament) today. This motion reflects the ongoing concern regarding investment funds dominating the housing market and making it increasingly difficult for individuals and families to purchase homes.
Improving the Housing Situation in Ireland
Minister O’Brien acknowledged that Ireland’s housing situation is not perfect but emphasized that it is improving. He stated that momentum is building across all sectors of the housing market. Last year, the country witnessed the construction of more new social homes than in the past 50 years, and this momentum has continued. Currently, there are approximately 24,000 social homes under construction across Ireland.
Positive Impact of Help to Buy Scheme
Minister O’Brien highlighted the positive impact of the Help to Buy Scheme, which was introduced in 2017. The scheme has played a significant role in increasing the number of first-time buyers able to purchase homes. Through the scheme, first-time buyers can receive up to €30,000 of their tax back towards a deposit. The Minister expressed strong support for home ownership and emphasized that the government is fully backing it.
Introduction of Cost Rental Scheme
Minister O’Brien also praised the introduction of the Cost Rental scheme as another positive addition to Ireland’s housing market. Recognizing that the rental market has not been functioning as intended for several years, the government is introducing alternative forms of renting, such as cost rentals. Cost rentals offer long-term, secure tenancies with rents set at least 25% below market rates. This scheme aims to provide people with both security of tenure and affordability in the rental market.
Addressing High Rents and the Need for New Rental Properties
The Housing Minister acknowledged that rents for new properties entering the market are too high. He noted that existing rents are approximately 18% lower than those for new rentals. Minister O’Brien emphasized the importance of having an adequate supply of rental properties to cater to individuals and families who choose or need to rent. He acknowledged that the market has seen a decline in individual landlords over the years, making it crucial to address the shortage of rental properties.
Government Support for Home Buyers
Minister O’Brien encouraged anyone looking to buy a home to explore the available government support. He assured listeners that these supports are working for real families and individuals. The government aims to provide assistance to those seeking homeownership and improve the affordability of housing options.
In conclusion, Minister Darragh O’Brien highlighted the positive developments in Ireland’s housing market, with momentum building across all sectors. The government’s focus on social housing, the Help to Buy Scheme, cost rentals, and addressing high rents demonstrates its commitment to improving the housing situation in Ireland. The ongoing concern regarding investment funds’ bulk purchasing of homes will also be addressed through a motion in the Dáil.
