MyHome.ie Blog
  • MyHome Living
  • News
  • RetroFit Hub
  • Buyers Advice Hub
  • Selling
  • Renting
  • Mortgages
  • Property Report
MyHome.ie Blog
  • MyHome Living
  • News
  • RetroFit Hub
  • Buyers Advice Hub
  • Selling
  • Renting
    • Mortgage Learning Center
    • Calculators
    • Best Mortgage Table
  • Property Report
    • All Properties
    • Houses For Sale
    • Apartments For Sale
    • Available To View
    • Overseas Holiday Homes
      • Properties For Auction
      • Upcoming Auctions
      • BER Assessors
      • Property Conveyancing Solicitors
      • Pre-Purchase Surveyors
    • Find Agents
    • All Properties
    • Houses To Rent
    • Apartments To Rent
    • Available To View
    • Share
      • Irish Holiday Homes
      • Overseas Holiday Homes
  • New Homes
    • For Sale
    • To Rent
    • Auction
      • Residential Land
      • Commercial Land
      • Farm Land
      • Farms
      • Sites
    • MyHome Living
    • Buyer Advice Hub
    • Property Report
    • Property Price Register
    • Price Changes
  • Mortgages
    • Rental
    • Holiday Homes
    • Commercial
    • Sharing
Advertisement
  • Home
  • Uncategorized
  • Just 2% of mortgage-to-rent scheme application are approved
Uncategorized
Apr 24, 2014 - 14:48

Just 2% of mortgage-to-rent scheme application are approved

MyHome Content Studio
By MyHome Content Studio
Share this article
Facebook Share Twitter Share Linkedin Share Email Share Whatsapp Share
Just 2% of mortgage-to-rent scheme application are approved

A scheme to allow people with unsustainable mortgages give up ownership of their homes and rent them instead has seen less than 2% of applications approved.

Under the Government-backed initiative, a property is bought at a market price from a bank by a voluntary housing agency which then lets the home to the occupants.

Since the mortgage-to-rent scheme was rolled out nationally almost two years ago, 38 properties have transferred ownership.

However, banks had proposed 2,337 cases for approval.

Advertisement

Dublin properties must be bought for less than €220,000 and homes outside the capital for less than €180,000.

The details have been disclosed in a Dáil reply by Housing Minister Jan O'Sullivan to Fianna Fáil's finance spokesman Michael McGrath.

"With thousands of repossession proceedings in the system, it is deeply concerning that the Government's mortgage-to-rent scheme is failing miserably to provide a safety net for those in arrears facing the prospect of losing their home," Mr McGrath said.

"The Government needs to urgently review the scheme, remove the unnecessary bureaucracy and complexity inherent in it, and make it workable," he added.

To be eligible a mortgage must be unsustainable, the owners must agree to surrender their home, the property must be in negative equity and the home owners must be eligible for social housing.

Advertisement

The two biggest banks - AIB and Bank of Ireland - have only completed one mortgage-to-rent scheme each.

Pepper, which manages mortgages originally issued by GE Money, has had 24 mortgage-to-rent schemes approved.

In her reply Minister O'Sullivan said 464 cases "have been advanced and are under negotiation, with 988 cases in the initial stages of the process." She added that 847 cases are not progressing.

Subscribe to our weekly MyHome Living eZine today

Processing your request...

You are subscribed now!

<

  • Tags
  • AIB
  • approval
  • approval rate
  • Bank of Ireland
  • GE Money
  • Jan O'Sullivan
  • Minister Jan O'Sullivan
  • mortgage
  • mortgage to rent scheme
  • mortgage-to-rent
  • mortgages
  • negative equity
  • occupants
  • Pepper
  • rent
  • social housing
  • unsustainable mortgages
  • voluntary housing agency
MyHome Content Studio
By MyHome Content Studio
Share this article
Facebook Share Twitter Share Linkedin Share Email Share Whatsapp Share

Helpful Links

Find your home on MyHome
Read more Articles
Calculate what you can afford to borrow
Welcome to the Retrofit Hub
Advertisement
Advertisement

Related News

What is a Heat Pump?
Uncategorized

What is a Heat Pump?

Feb 27, 2025
Living Cities Initiative
Uncategorized

Living Cities Initiative

Jan 14, 2025
Digital Services Act
Uncategorized

Digital Services Act

Mar 31, 2024
Avant Money and Finance Ireland announce new rates
Uncategorized

Avant Money and Finance Ireland announce new rates

Dec 09, 2021
Average deposit of first-time buyer was €52,000 in first half of the year
Uncategorized

Average deposit of first-time buyer was €52,000 in first half of the year

Dec 07, 2021
Frequent And Popular Searches
MyHome.ie Blog
Help
Jobs
About
Equality Guidelines
Brand Safety
Contact
Terms & Conditions
Cookie Policy
Privacy Policy
Digital Services Act
Sitemap
© Copyright MyHome.ie 2025
Advertisement