Written answers

Wednesday, 17 January 2024

Department of Housing, Planning, and Local Government

Housing Schemes

Photo of Thomas PringleThomas Pringle (Donegal, Independent)
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733. To ask the Minister for Housing, Planning, and Local Government if it has been drawn to his attention that two local authority tenants (details supplied) applied to purchase their home under the tenant (incremental) purchase scheme 2016 and that the local authority would not allow a discount on the price of the house for the ‘material improvements’ carried out; if he will consider modifying the scheme, if necessary, in order that the local authority can be allowed to apply the discount for the ‘material improvements’ carried out on the house; and if he will make a statement on the matter. [56425/23]

Photo of Thomas PringleThomas Pringle (Donegal, Independent)
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735. To ask the Minister for Housing, Planning, and Local Government if it has been drawn to his attention that council tenants (details supplied) applied to purchase their home under the tenant (incremental) purchase scheme 2016 and that the local authority would not allow a discount on the price of the house for the ‘material improvements’ carried out if he will consider modifying the scheme, if necessary, in order that the council can allow apply the discount for the ‘material improvements’ carried out on the house; and if he will make a statement on the matter. [56460/23]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal, Fianna Fail)
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I propose to take Questions Nos. 733 and 735 together.

The Tenant (Incremental) Purchase Scheme provides for the purchase by eligible tenants of local authority houses which are available for sale under the scheme. All applications for the Scheme must satisfy the requirements outlined in the Housing (Miscellaneous Provisions) Act 2014 and the associated regulations.

The Act includes provision for a local authority to take into consideration any material improvements made to the house by tenants, where written permission has been obtained in advance of these material improvements taking place. Local authorities have been issued with detailed written guidance regarding the operation of the Scheme.

Section 63(3) of the Local Government Act 2001 provides that, subject to law, a local authority is independent in the performance of its functions. The operation of and any decisions made in respect of the Scheme is therefore, entirely a matter for the local authority and it would not be appropriate for me to comment on an individual case.

My Department monitors schemes on an ongoing basis to ensure that they remain effective and sustainable. However, no changes to the method by which local authorities determine a purchase price or determine the allowance for material improvements are being considered at this time.

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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734. To ask the Minister for Housing, Planning, and Local Government if he will clarify the situation regarding eligibility for the first-home scheme in circumstances where a letter of loan approval has issued from the bank to the applicant but where due to escalating costs and being several months since the loan offer issued, the loan offer and savings and the help-to-buy scheme are no longer sufficient to meet the contractual costs; and if in such circumstances, eligibility for the first-home scheme can be considered. [56432/23]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal, Fianna Fail)
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The First Home Scheme, which launched in July 2022, is a shared equity scheme designed to help bridge the affordability gap for eligible first-time buyers and other eligible homebuyers. The Scheme was expanded in April to include the Tenant Home Purchase Scheme, and was further expanded in September to include self-build homes. Details of the First Home Scheme are available at: www.firsthomescheme.ie. Specific information on rules and eligibility are available in the FAQ section of the website, which also contains information in relation to the type of situation outlined.

The First Home Scheme DAC (Designated Activity Company) is fully responsible for the operation of the First Home Scheme on behalf of all shareholders (State, AIB, Bank of Ireland, and PTSB). Specific queries relating to an application can be raised with the First Home Scheme directly, either by e-mail, or by using the dedicated call centre which is open Monday to Friday. Contact details are available at:

www.firsthomescheme.ie/get-in-touch/.

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