Réada Cronin (Kildare North, Sinn Fein)
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177. To ask the Minister for Finance if he will examine the situation in which a company (details supplied) reported to have informed prospective buyers in a development that their contracting Covid-19, receiving the PUP and being unable to draw down their mortgage would see them forfeit their deposit which, in the case of a person who felt they had to withdraw from the purchase would have been in excess of €36,000; and if he will make a statement on the matter. [41547/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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I have a functional responsibility for the regulatory framework governing the provision of residential mortgage credit to consumers by Central Bank regulated entities.  However, I do not have a functional role in the regulation of contracts for the purchase and sale of residential property.  The terms of such contracts which are entered into by the purchasers and sellers of residential property, including the issue of a purchase deposit and the circumstances relating to such a deposit if the purchase/sale of a property is not completed, are contractual matters for the parties entering into the purchase/sale of the property.  However, house purchasers usually engage the services of a legal practitioner in relation to  the conveyancing requirements associated with the purchase of a residential property and it will be the responsibility of the legal practitioner to advise and represent his/her client in such conveyancing and contractual matters including, as necessary, in relation to any particular requirements or conditions in a mortgage offer that the purchaser will need to be take into consideration where the purchaser is availing of mortgage finance to purchase the residential property.

 In relation to the mortgage aspects of the question, the Central Bank has advised that it expects all regulated firms to take a consumer-focused approach and to act in their customers’ best interests at all times, including during the COVID-19 pandemic.  It also indicated that regulated lenders continue to process mortgage applications and have supports in place to assist customers impacted by COVID-19. If mortgage applicants have any queries or concerns about the impact of COVID-19 on their mortgage application, they should contact their lender directly.  However, within the parameters of the regulatory framework, the decision to grant or refuse an individual application for mortgage credit, and/or the conditions which may attach to a mortgage offer, is ultimately a business and commercial decision to be made by the regulated entity and I cannot become involved in such matters.