Reliefs for negative equity ‘good news’

RELIEFS for the tens of thousands of home owners now sunk in negative equity have been welcomed as “a surprise, but really, really good news.”

Extending Mortgage Interest Relief (MIR) in the budget up to 2017 for those who had bought at the property market’s peak was “fabulous news for the hard-pressed home buyer”, said Frank Conway of the Irish Mortgage Corporation, noting that between 150,000 and 200,000 people may now be in negative equity.

The extension of MIR would be a welcome fillip to them, he asserted, noting it can be worth between €50 and €100 a month. “It will lessen the impact for those who bought at the peak of the market,” agreed Diarmuid Kelly of 900-member strong mortgage broker body PIBA.