Fianna Fáil has announced plans to introduce a new tenant purchase scheme for over 125,000 families across the country. The new Right to Buy local tenant purchase scheme will allow people living in local authority houses buy their homes at a discounted price. A 3% discount would be applied on the value of the home for every year of occupancy – up to a maximum of 10 years.
This means that a homeowner living in their local authority house for over ten years may be eligible for a 30% discount on buying their home. Additional income level criteria may also be agreed with local authorities on discount rates with low income households eligible for total discount rates of 40-60%.
Fianna Fáil Environment Spokesperson Barry Cowen explained, “The right to buy has been an important tool in extending home ownership opportunities to low income households. The option to own a valuable long term asset has empowered thousands of families across the country. However, this government has continued to delay on this, denying thousands the opportunity of somewhere to call their own.
“Opening up a path to home ownership across society is at the very heart of Fianna Fáil policy. We strongly believe that home ownership is good for families and good for communities. Ireland cannot afford a divided society where home ownership is confined to a few while the rest struggle with unstable tenure and rent levels.
“As part of this innovative new plan, dividends from the sales of Local Authority homes will be specifically earmarked for investment in further social housing construction to help tackle the social housing waiting list. Combined with our €4.5bn social housing programme this will help get on top of the 130,000 households waiting on place to call home under this government. The scheme will include a claw back provision for homes that are sold within 20 year period to ensure the loss borne by the state is compensated for.
“I believe that building homes for first time buyers and launching a right to buy for those in local authority units who want to own their own place is vital in giving families a secure safe place to call home,” Deputy Cowen concluded.
