Upcoming Events

National | Housing

no events match your query!

User Preferences

  • Language - en | ga
  • text size >>
  • make this your indymedia front page make this your indymedia front page

Blog Feeds

forward

Cedar Lounge
For lefties too stubborn to quit

offsite link Someone?s not too happy? 19:52 Wed Oct 01, 2014 | WorldbyStorm

offsite link Sickening? 19:47 Wed Oct 01, 2014 | WorldbyStorm

offsite link More on 1914, and 1916, 1969 and 2014 too! 13:48 Wed Oct 01, 2014 | WorldbyStorm

offsite link Posturing over unfunded tax cuts? 12:44 Wed Oct 01, 2014 | WorldbyStorm

offsite link What you want to say ? 1st of October, 2014 03:46 Wed Oct 01, 2014 | WorldbyStorm

Cedar Lounge >>

Dublin Opinion
Life should be full of strangeness, like a rich painting

offsite link Global Finance, Money and Power: Lecture Four - Global and State Institutions 17:17 Wed Oct 01, 2014

offsite link HOUSING AND THE IRISH STATE 10:48 Tue Sep 30, 2014

offsite link Boomer Times 10:26 Tue Sep 30, 2014

offsite link FALLEN FRUIT 08:26 Mon Sep 29, 2014

offsite link Irish Labour Movement 1880-1924: Lecture Two - New Unionism 09:26 Fri Sep 26, 2014

Dublin Opinion >>

Human Rights in Ireland
www.humanrights.ie

offsite link NASC: Invitation to Tender for Immigration Research Tue Sep 30, 2014 11:24 | Liam Thornton

offsite link Update: Ireland ratifies UN complaints mechanism for children Thu Sep 25, 2014 14:51 | Edel Quinn

offsite link Understanding Children?s Rights: A Training Programme on Children?s Rights and Effective Internati... Mon Sep 22, 2014 17:44 | Edel Quinn

offsite link Conference on EU Counter-Terrorism, Dublin, 13 October Sat Sep 20, 2014 10:36 | Fiona de Londras

offsite link Rooney on Hassan v UK: ?symbiotic approaches?, ?subsequent practices? and amicus curiae Fri Sep 19, 2014 11:13 | GuestPost

Human Rights in Ireland >>

NAMA Wine Lake

offsite link Farewell from NWL Sun May 19, 2013 14:00 | namawinelake

offsite link Happy 70th Birthday, Michael Sun May 19, 2013 14:00 | namawinelake

offsite link Of the Week? Sat May 18, 2013 00:02 | namawinelake

offsite link Noonan denies IBRC legal fees loan approval to Paddy McKillen was in breach of E... Fri May 17, 2013 14:23 | namawinelake

offsite link Gayle Killilea Dunne asks to be added as notice party in Sean Dunne?s bankruptcy Fri May 17, 2013 12:30 | namawinelake

NAMA Wine Lake >>

Banks seeking to artificially inflate house prices

category national | housing | other press author Wednesday September 09, 2009 11:22author by Stoph Report this post to the editors

From Respond! Housing Association

Respond! spokesperson Aoife Walsh asserts that many buyers are unable to access mortgage finance as it is not in the interests of the banks to lend to those seeking mortgages less than €150,000.

Banks seeking to artificially inflate house prices
19 Aug 2009
Respond! News
Ireland’s largest housing charity fears that Irish banks may be distorting the property market. Respond! Housing Association is concerned that some banks are not lending below certain levels in order to maintain higher house prices. The effect of this policy is that house prices are remaining artificially high which is important for banks prior to the assessment of house and land prices by the National Asset Management Agency (NAMA).

Respond! spokesperson Aoife Walsh asserts that many buyers are unable to access mortgage finance as it is not in the interests of the banks to lend to those seeking mortgages less than €150,000.
“It was recently reported in the media that some young people seeking mortgages for €150,000 were being refused on the grounds that banks are now operating a minimum mortgage amount. Considering the number of vacant properties currently in the country, this is a scandalous situation. Respond! has witnessed some strange banking decisions in relation to some of our own affordable properties whereby applicants who seem to fit the criteria perfectly are not able to access a mortgage of less than €130,000. This is in spite of having the adequate income. It is akin to the shopkeeper withholding goods in order to stimulate demand so that higher prices can be charged. We are calling on the Competition Authority to take note of these practices and protect the Irish Consumer.”

Respond! argues that banks should be lending to fully qualified applicants irrespective of the cost price of the house. Banks in receipt of the Government Guarantee should be making mortgage finance available to those with the ability to repay according to the housing charity. Given the number of vacant properties, banks should be facilitating potential homeowners and not hindering them. This is critical in order to boost the housing market and restore confidence once more.

“It seems clear to us that banks are trying to keep pricing levels elevated ahead of the establishment of NAMA” added Ms Walsh. “It is in their interest to keep house prices artificially high and this could result in NAMA paying too much for the bad loans the banks will be transferring to it. This does not represent value for money and once again it will be the Irish taxpayer who will be forced to pay for the actions of our banks. “

Respond! maintains the number of vacant properties in Ireland is set to rise in the future. With the number of repossession cases before the courts increasing every month, and with little information available on the suspected high level of voluntary home surrenders, the housing market could soon be flooded with even more empty properties. This is not good news for an already struggling property market says the housing charity.

Related Link: http://www.respond.ie/Media_Detail.aspx?rowid=246561
© 2001-2014 Independent Media Centre Ireland. Unless otherwise stated by the author, all content is free for non-commercial reuse, reprint, and rebroadcast, on the net and elsewhere. Opinions are those of the contributors and are not necessarily endorsed by Independent Media Centre Ireland. Disclaimer | Privacy