Set aside 30% of housing developments for first-time buyers, FF say

Up to 30% of units in new housing developments should be set aside solely for first time buyers.

That's according to Fianna Fáil who outlined proposed legislation to guarantee more young people get a home as opposed to vast investment funds buying up developments. The plans will be debated in the Dáil tomorrow night.

Housing spokesman Darragh O'Brien said that thousands of apartments had been bought by big funds and struggling first time buyers were left in limbo as they watched them being sold.

The Dublin-Fingal TD said:

“The falling rates of home ownership as the consequence of Fine Gael government policy has been to shove a whole generation of people into a rip off rental market, and actually allow the dream of home ownership to slip further and further away from working people in this country.

"And we have now seen that Ireland falls behind the EU average in home ownership rates, and that's continuing to fall.”

Housing spokesman Darragh O'Brien

Under the legislative proposals, local authorities and planning authorities would be given the power to set aside up to 30% of any development for first-time buyers.

Developers would propose what level for such buyers is included in their construction project. But each council would have a remit to set its own target for first-time buyers.

Mr O'Brien added:

“When we look at this city and others, whole swathes of them are being bought by pension funds and embed and investment funds.

There are situations with people who are scrimping and saving and paying rent of over €2,200 a month, who aren't able to get on the property ladder, they're looking at new developments being built, and they're seeing that they are all being sold.

But Fine Gael questioned the radical proposals.

Louth TD Fergus O'Dowd argued the idea had all the marks of “pub talk”. He argued:

Louth TD Fergus O'Dowd

“This latest one will actually incentivise institutional investors to stop providing social housing in developments, rather than do anything to help first time buyers. It does nothing for affordability, and it’s unworkable.

This bill does the exact opposite of what it claims to do. Such poorly thought out policies are quite dangerous.

Meanwhile, Fine Gael TD Martin Heydon has introduced a Bill into the Dáil to ensure that Opposition proposals are properly costed by the Irish Fiscal Advisory Council. The move, he said, would ensure all ideas would also be vetted ahead of Budgets. Mr Heydon added:

“If that’s their policy, that’s their policy – however we need to know how they are going to pay for it. Increased taxation? Increased borrowing? Cutting spending in other areas?"