Ciarán Lynch (Cork South Central, Labour) | Oireachtas source

One concern that has been brought to my attention relates to the difficulty for people in coming up with a deposit at this time. There is massive price inflation in the rental sector and that is probably distorting the market. Rents are so far in excess of property values currently. This is creating a difficulty for people who wish to purchase and there is pent up demand in the area. Therefore, for somebody to come up with a deposit so as to meet the requirements for a 92% LTV can be difficult. Let us say, for example, a property is for sale for €200,000 and somebody needs to borrow the full amount to buy that property, but cannot do so because of the LTV requirements and the Central Bank guidelines issued in 2009. Is there a practice within AIB whereby the property is revalued at €220,000, thereby meeting the 92% LTV? Does that sort of activity take place in AIB?