Negative Equity – Hope For Home Owners (Mortgage To Rent Scheme)
HOPE FOR HOME OWNERS – MORTGAGE TO RENT SCHEME
The Government proposes to extend the “Mortgage to Rent” scheme.
It is hoped that the mortgage to rent scheme will see the involvement of private finance institutions who will lease the properties back to the State and the State will then grant a lease of 20 years to the troubled loan holders with an option for a further 20 years and possibly an option to buy back their homes at the market rate at any time they chose.
The new proposed scheme would see the price threshold for qualifying houses in counties Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow, increase to €365,000.00 and for apartments or townhouses, increase to €310,000.00/€300,000.00 respectively, with the thresholds for the rest of the country, increasing to €280,000.00 and €210,000.00.
The Government states that they will prepare some pilot schemes in advance of making a final decision for budget 2018.
At least these proposals offer some hope to those in difficult negative equity situations.
Author: John Gaynor
John Gaynor & Co. Solicitors LLP
42-46 Thomas Street