Welcome for extension to the current Help-to-buy scheme

SHERRY FitzGerald has welcomed the measures set out in Budget 2022, most notably the extension of the Help-to-Buy scheme to the end of 2022.

However, according to Marian Finnegan managing director, Sherry FitzGerald: “the failure to introduce any serious policies to combat the systematic challenges in the rental sector is disheartening”.

“The Help-to-Buy scheme has been crucial in facilitating greater numbers of first-time buyers to make their first step onto the property ladder, while also acting as an important stimulant for the construction industry.

“As such, we welcome its extension. However, the limited time frame of the extension is unfortunate, as a longer term would have provided greater reassurance to buyers and indeed suppliers.

“Budget 2022 represents another wasted opportunity to tackle the continued decline of the private investor from the Irish rental market.

“The number of properties available to rent has fallen significantly in recent years with private investors abandoning the buy-to-let market.

“For much of the past decade, for every single investor buying into the market, two are exiting. There is nothing of note in the budget that addresses this situation.”

Additionally, the Government committed to implementing a new Zoned Land Tax, which had been previously announced in last month’s Housing for All publication.

Ms Finnegan said: “All efforts to stimulate additional residential construction are laudable, however, additional details are needed, specifically how this new tax will be implemented.

“The journey from site acquisition to completed housing supply is a complication process, which is intertwined with service delivery and a challenged planning process. If this tax is to be effective, it needs to be cognisant of these factors.”