Katherine Zappone (Independent) | Oireachtas source

I applaud its intent and acknowledge the need for regulation and prudence. However, I am concerned that the proposed changes could be devastating to an entire generation of young people seeking to buy their first homes. As Members are aware and as many have raised in this House, rents are soaring and this issue also must be addressed urgently. However, most working couples are not in a position to save up to 20% of their home mortgage. They are struggling to pay mounting bills ranging from debilitating child care costs to ever-increasing everyday expenditures, as well as water charges when they ultimately come down the line. Moreover, one particularly important point is the proposed rule changes could create a market for cash buyers that is inaccessible for normal working people and which may foster greater inequities in Irish society. As for the wider implications, Members regularly raise the issue of pensions here but how could young people invest sufficiently in their overall financial future, such as saving money for pensions or retirement, if they are struggling to meet hefty mortgage deposit requirements? Is that outcome desirable? I acknowledge that the Minister for Finance, Deputy Noonan, has suggested the introduction of mortgage insurance in Ireland as a possible solution to the issue. Such insurance would protect banks against default of mortgages that go beyond 80% of the value and I welcome his innovation in this area as in many others. Consequently, I suggest to the Leader that he might perhaps invite the Minister, Deputy Noonan, or even perhaps the Minister of State, Deputy Harris, to the House to update Members on the Minister's progress with regard to mortgage insurance, which I am aware will be considered by the finance committee.