Auctioneers want different lending rules in Dublin so buyers can afford homes

Auctioneers want different lending rules in Dublin so buyers can afford homes

The mortgage rules introduced 18 months ago need to be revised, according to the Institute of Professional Auctioneers and Valuers (IPAV).

Its new survey shows that although property prices have stabilised, the market has stagnated.

At the moment first time buyers can only borrow three and a half times their salary and must have a 20% deposit.

IPAV said property developers are not building new homes in the country as they will not make a profit, while Dublin buyers cannot afford the properties on offer.

Chief executive of IPAV Pat Davitt said the price difference between Dublin and neighbouring counties was one of the main problems.

"There needs to be different rules in the country and in the city," he said.

"We're asking that the three and a half times loan-to-income (ratio) be changed to four and a half times, and also that the 20% deposit be changed to 15% throughout the country. We find the deposit is one of the biggest impediments to people buying a property at the moment."


More in this Section

Fifth of college students from ‘affluent’ homes - studyFifth of college students from ‘affluent’ homes - study

Second Fianna Fáil TD admits voting in another party member’s nameSecond Fianna Fáil TD admits voting in another party member’s name

Founder of air ambulance charity declared bankruptFounder of air ambulance charity declared bankrupt

Two divers rescued off south Dublin coastTwo divers rescued off south Dublin coast


Lifestyle

Volunteers from the multinational tech company harvest food fresh from Fota Gardens, writes Peter Dowdall.Made in Munster: The tech giant Apple harvesting food from Fota Gardens

Peter Dowdall takes a look at a plant that thrives in damp soil and is a key part of Ireland’s biodiversityThe wonders of willows: A key part of Ireland’s biodiversity

Pollutants can have an impact on your health, but there are things you can do to reduce the potential damage.High pollution days ‘lead to more cardiac arrests and strokes’: 5 easy ways to protect yourself

Even if you only have room for one pot in the smallest space, plant some tulips in it to make your garden spring to life, says Hannah Stephenson.7 design tips to make your tulips in garden pots stand out in a crowd

More From The Irish Examiner