Ciarán Lynch (Cork South Central, Labour)
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Question 196: To ask the Minister for the Environment, Heritage and Local Government if the owner of an apartment under the affordable housing or shared ownership scheme is entitled to release equity in the property by way of remortgage without triggering the clawback provision; the other consequences which may apply; and if he will make a statement on the matter. [20794/09]

Michael Finneran (Roscommon-South Leitrim, Fianna Fail)
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Legislative provision to facilitate arrangements under which a local authority could agree to its clawback charge ranking in second place behind a new or topped-up mortgage charge, thereby facilitating persons in affordable housing wishing to re-mortgage with a private lender, is included in the Housing (Miscellaneous Provisions) Bill 2008 which is currently before the Oireachtas and is targeted for enactment by the Summer recess.

Where a purchaser of an affordable home bought by way of shared ownership wishes to buy out the local authority's share at any stage within 20 years, current legislation requires that the clawback also be bought out at that stage. Provision is also included in the Bill to allow these purchasers, who wish to buy out the local authority's share of their home, to re-finance with a private institution for this purpose, without being compelled to buy out the clawback at the same time.