Fianna Fáil Spokesperson on Finance Michael McGrath TD has said the pitifully low number of completed mortgage to rent cases since 2012 is evidence that Fine Gael in Government has abandoned those deep in mortgage arrears.
Deputy McGrath commented, “The fact that a mere 282 mortgage to rent transactions have been completed in the past 6 years is evidence Fine Gael in Government really has no interest in helping those deep in mortgage arrears to stay in the family home. This figure represents less than 8% of those who have applied for the scheme in that time.
“Minister Eoghan Murphy’s Dáil reply to me talks about ‘reviews’, ‘alternative funding models’ and ‘pilot operating models’. There is no talk of individuals, families and the daily misery of facing the prospect of losing your home – a prospect that is a reality for far too many.
“The simple fact of the matter is neither the Government nor the Housing Agency has a desire to fund the mortgage to rent scheme. Perhaps they privately believe that it is the borrower’s own fault for getting into that situation. There seems to be no appreciation of the fact that – in the midst of a horrendous housing crisis – it makes perfect social and economic sense to keep families in their home.
“Lenders too have a role to play by agreeing up-front what will happen to any residual debt following a mortgage to rent transaction. On top of this, the Government designed an insolvency system in a manner that allows creditors to frustrate the process. The appeal option to the insolvency court is in tatters following recent Court judgments and the Government shows no desire to fix the situation with legislation.
“With over 39,000 family home mortgages a year or more in arrears, one would think their Government would ensure a functioning mortgage to rent scheme would be in place as a credible safety net. It is an indictment of Government that the only source of hope (for some borrowers) in this area has come from the new mortgage to rent initiative agreed by AIB, the Irish Mortgage Holders Organisation and the new social housing organisation iCare.”