Banking Sector Supports Extension of Help-to-Buy Scheme12th August 2019
Up to 92% of all first-time-buyers used scheme to buy a new property with a mortgage in 2018/2019
Banking & Payments Federation Ireland (BPFI) has today highlighted the importance of the Help-to-Buy (HTB) incentive scheme for the stability of the housing market and is supporting its extension. The scheme, which is due to expire at the end of this year, provides a tax rebate of up to €20,000 for first time buyers purchasing a new home.
Figures produced by BPFI show that up to 92% of all first-time buyers buying a new property with a mortgage used the HTB scheme in the period 2018-2019. They further show that the scheme is benefitting all areas including Dublin (29%), Meath (12%), Cork (12%) Kildare (9%) and Galway (4%).
Speaking about the significance of the scheme and the importance of its continuation, Brian Hayes, BPFI Chief Executive stated:
“At 48%, the first-time buyer (FTB) share of the mortgage market is more than double that during the years 2006-2008 so they are a very significant segment of the market today. The Help-to-Buy scheme has been instrumental in supporting FTBs with between 80% and 92% of all FTBs utilising the Scheme in the period 2018-2019, doing so across all parts of the country.”
“The scheme has had a positive effect in supporting demand for FTB houses and in encouraging house builders to build homes to meet this demand. In addition, purchase of a new home generally creates further expenditure of benefit to the economy across a range of items including furniture and fittings, white goods, insurance and utilities. For these reasons BPFI believes that the scheme should be extended for a clearly-defined period to provide the certainty that is needed going forward.”
For further information contact Jillian Heffernan, Head of Communications, BPFI, 087 9016880 or email@example.com
About BPFI: Banking & Payments Federation Ireland (BPFI) represents the banking, payments and fintech sector in Ireland. Together with its affiliates, the Federation of International Banks in Ireland and the Fintech & Payments Association of Ireland, BPFI has 100 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace here.