Pat Rabbitte (Dublin South West, Labour)
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Question 614: To ask the Minister for the Environment, Heritage and Local Government the action he will take to deal with the matter of the affordable housing clawback clause in relation to the proceeds of the sale of an affordable home should the market value of the home be less than when the home owner purchased it; and if he will make a statement on the matter. [25329/07]

Batt O'Keeffe (Cork North West, Fianna Fail)
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Where an affordable home is sold within a period of 20 years from the initial purchase, a proportion of the proceeds must be repaid to the relevant local authority. This requirement, known as clawback, is necessary to ensure that there is no short-term profit taking on the resale of houses provided under the various affordable housing schemes at a discount from market value. Where the clawback amount payable would reduce the proceeds of the sale below the initial price actually paid, the legislation provides for the amount payable to be reduced to the extent necessary to avoid that result.