Batt O'Keeffe (Cork North West, Fianna Fail)

Obviously, what happened in 2005 and 2006 was unsustainable. There was a frenzy, with people afraid they would not get on the property ladder. They bought property and the amount of finance made available led to price inflation. That could not be sustained. From the point of view of people in the market at present, it is time the Construction Industry Federation learned again how to sell. There will no longer be queues for houses. There is good value for money in the market for individuals.

People talk about interest rates increasing on eight occasions by 0.25%. The last budget provided mortgage interest relief which equated to three of the ECB interest rate increases. Stamp duty was removed for first time house purchasers and income tax was reduced. In the intervening period the affordability of houses has gone from 29.9% to 24%. There is far greater affordability. People who are selling houses must realise that they are now in a different market. They must go out and sell their houses, whether it is to auctioneers or customers, and not wait for the Government. The Government will act in the interests of the consumer in the next budget through the promise of further mortgage reliefs.

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