Arthur Morgan (Louth, Sinn Fein)
Link to this: Individually | In context

Question 569: To ask the Minister for the Environment, Heritage and Local Government if he will conduct a full and thorough review of the shared ownership scheme in order to reflect the reality of the property market and address the inability of many first time buyers to purchase a home; and if he will make a statement on the matter. [38522/06]

Noel Ahern (Dublin North West, Fianna Fail)
Link to this: Individually | In context

The loan limit for the Shared Ownership Scheme was reviewed and increased with effect from 1 January 2006. The maximum loan that may be advanced by a local authority in respect of the share of the dwelling being purchased (minimum 40%) is €185,000. While the cost of a dwelling may substantially exceed this amount (up to €462,500), the borrower's income must be sufficient to meet the financial commitments involved under the scheme. Accordingly, local authorities may also apply a house purchase price upper limit to reflect local market conditions, to ensure priority of funding for lower income groups and to avoid any significant impact on house prices in their area.

While there are no plans at present to alter the terms of the scheme, I am committed to keeping it under review.