NAMA to trial payment plan soon

THE National Asset Management Agency (NAMA) has defended its plans to introduce a deferred payment scheme which would insure buyers of NAMA-controlled property against the threat of negative equity for a five-year period.

It follows concerns voiced by Housing Minister, Willie Penrose, that NAMA could artificially inflate the market at a time when property prices appeared to be correcting themselves by placing thousands of homes on the market.

Under the proposed scheme, NAMA will waive up to 20% of the purchase price if the market value of the property falls over the following five years.