Single income families the real housing losers
This was enough, however, to buy an average family home, the cost of which was governed by the amount that could be borrowed.
In more recent years, the moneylending fraternity increasingly made available maximum loans based on two incomes, doubtless claiming that this was in response to ‘customer pressure’ but really as a means of greatly boosting profits.
The effect of this was that after a few years, the average house price doubled, needing two salaries instead of one to support an average mortgage.
All this has been excellent news for the moneylenders, builders, developers, house agents and, to some extent, solicitors.
But it has been extremely bad news for the thousands of families relying on a single income who cannot afford even basic housing.
Renting a home - the only option for many single income families - is an ever increasing cost burden with scant legal protection and security for tenants.
The Irish Examiner of July 15 reported a 14-month study of first-time buyers by the Irish Mortgage Corporation which concluded that, while house prices were rising at double-digit rates, there seemed to be few signs that affordability was a problem.
This is a lot of codswallop, as thousands of young Irish families know to their cost.
There is a huge problem with the currently distorted house price situation. The true cost to society of both parents having to go out to work to cover the cost of the mortgage, while leaving their children effectively to be brought up by others, has yet to emerge.
Until a government with true concern and foresight takes the housing problem for single income families seriously and imposes sensible and adequately policed mortgage loan limits on the moneylenders, the present bizarre situation can only get worse.
Martin McDonald
9 Liosbourne
Carrigaline
Co Cork
